Today, the Social Security Administration made one of its most important announcements of the year!
The Cost of Living Adjustment (COLA) has increased by 3.2% for 2024. Supplemental Security Income (SSI) will also increase by 3.2% in 2024.
Increased payments for approximately 7.5 million people receiving SSI will begin on December 29, 2023. This is scaled back from the large increase of 8.7% in 2023, which was one of the biggest cost of living adjustments made since the 1980’s.
This COLA announcement will also affect the maximum amount of earnings taxable under the social security tax. This year’s maximum was $160,200, and starting next year that maximum will be raised to $168,600.
What does this mean for Social Security Benefits?
Social security benefits increase and decrease based on the economy. As a result of inflation, the cost of living has increased, and social security benefits typically match those percentages to help beneficiaries keep up with the changes.
In 2023, the average Social Security check for a retired worker was $1,848. After this cost of living adjustment, the average Social Security check should increase to $1,907 in 2024 – just under $60 per month.
Automatic Cost of Living Adjustments received since 1975:
You may view your personal COLA notice online by visiting:
As always, our team is here if you have any questions!
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