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Arizona seniors, low-income families should act now to save thousands with IRA benefits

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For Arizona’s seniors, the daily struggle to manage expenses on fixed incomes has become increasingly challenging. The challenge also exists for low-income, working families. As the Arizona Alliance for Retired Americans leader, I’ve witnessed firsthand the difficulties our seniors and underserved communities face in maintaining their quality of life after many years of workforce contribution.

That’s why I recommend taking advantage of tax credits from the Inflation Reduction Act and the Infrastructure Investment and Jobs Act, which are valuable resources, especially as inflation and extreme heat continue to adversely affect the financial and physical health of those in vulnerable communities.

By providing tax credits that help save money on energy bills and health care costs while making homes more comfortable, these programs provide tangible relief to Arizona's seniors and low-income families.

Lowering energy costs for seniors and working families

Seniors and low-income families face unique financial pressures. Many live on fixed incomes from Social Security or pension programs, limiting their ability to manage rising costs.

Compounding this challenge, many seniors reside in older, inefficient homes that are expensive to maintain. One in four seniors rely on Social Security for 90% of their income. Addressing steep energy bills or replacing outdated equipment can feel impossible under these circumstances.

In Arizona, where air conditioning is essential, energy costs take up a significant portion of household budgets. The Arizona Department of Housing’s Weatherization Assistance Program helps seniors and families keep their homes comfortable year-round while reducing energy use. Federal incentives through the IRA amplify these efforts, offering homeowners up to $3,200 annually in tax credits to cover up to 30% of energy-efficient upgrades like solar panels, weatherization and energy-saving appliances.

In 2023 alone, more than 3.4 million American families benefited from $8.4 billion in tax credits for clean energy and efficiency upgrades, according to the Office of Economic Policy. These savings are transformative for seniors on fixed incomes and working families managing tight budgets, offering financial relief and greater energy independence.

Contributing to a healthier Arizona

Arizona’s extreme heat, exacerbated by climate change, is a growing concern for seniors and vulnerable communities. Rising temperatures strain household budgets and intensify air pollution and smog, which pose serious health risks — especially for seniors and children, those more vulnerable to air pollution and extreme weather.

Through the clean energy initiatives supported by the IRA and IIJA, these communities can make upgrades that reduce their exposure to these hazards while saving money.

Beyond the financial benefits, these improvements have a profound impact on health. According to the Centers for Disease Control and Prevention, extreme heat can lead to heat exhaustion, heatstroke, and even death, especially for seniors and those with chronic conditions like asthma or heart disease.

Seniors and working families can better regulate indoor temperatures and air quality by weatherizing their homes and making energy-efficient upgrades, lowering the risk of heat-related illnesses and improving overall well-being.

The time to act is now

While these programs are already helping many across Arizona, the future of the programs is uncertain. It’s important to take action now to secure these savings while they are available. Whether installing solar panels, upgrading to energy-efficient appliances, or simply understanding how to access health care savings, now is the time to act.

At AARA, we recognize that the IRA and IIJA represent a significant opportunity for Arizona’s most vulnerable communities to improve their financial well-being and health, and we are committed to helping them navigate these opportunities.

Let’s ensure that these benefits remain in place for years to come so that all seniors and families struggling to make ends meet can live comfortably and safely, no matter their financial situation. For more information, visit azaffordableenergyseniors.org.

Editor’s note: Retired teacher Linda Somo of Fountain Hills is president of the Arizona Alliance for Retired Americans. Reader reactions, pro or con, are welcomed at AzOpinions@iniusa.org.

Inflation Reduction Act, IRA, Infrastructure Investment and Jobs Act, IIJA, seniors, fixed incomes, tax credits, energy bills, health care, working families, low-income families, families, energy costs, Social Security, Arizona Department of Housing, Weatherization Assistance Program, financial relief, clean energy, extreme heat, climate change, Centers for Disease Control and Prevention

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