Millions of seniors are looking forward to October, when the official cost-of-living adjustment (COLA) will be announced. Many of these people depend on their Social Security checks to keep up with inflation and pay their living costs in retirement. The Consumer Price Index (CPI) is important for figuring out the COLA raise because it is based on inflation.
Most of the time, consumer price indexes are based on an objective standard that gives a rough idea of how much more a normal person or family needs over time to maintain their quality of life. But because of forecasts that have been made public over the years, most retirees are afraid that the expected raises will not be enough to stop inflation from going up.
The exact amount of money to be increased in retirees’ paychecks
The official estimate from the Social Security Administration won’t come out until October, but the Senior Citizens League has predicted a 2.63 percent COLA for 2025. If this annual percentage is put into action, retirees will get an average increase of $49.
People who get the most from Social Security, which is $4,873, will get an extra $128 thanks to the COLA increase. But a poll by the Senior Citizens League shows that two-thirds of retirees think their monthly costs will go up by 10% between 2022 and 2023.
It’s also worth mentioning that people who get Supplemental Security Income (SSI) will get an extra payment of about US$45 per month in a similar way.
On the other hand, people who get survivors’ payments will get an extra 44 US dollars every month. So, even with the yearly rise, Social Security recipients may not have enough money to cover costs and inflation that are going up.
The cost of living is going up faster than the COLA, which worries millions of recipients, especially older people. A policy analyst for Social Security and Medicare named Mary Johnson says that the COLA is not keeping up with the real costs that retirees are facing.
This means that they may not be able to pay the rising costs. Because of this, the cost of health care in retirement has gone up faster than overall inflation, which makes COLA less useful.
How will Social Security checks increase for retirees if the 2.63% COLA becomes effective?
If the October approved cost of living adjustment (COLA) of 2.63% is accepted, everyone who gets Social Security will get an extra check in January 2025 for the same amount. Remember that this is just a guess, and the real number may be different at the end of the year.
| Retirement benefits | Retirees’ paychecks | 2.63% COLA increase |
| On average | $1,900 | $1,950 |
| Age 62 | $2,710 | $2,781 |
| Age 67 | $3,822 | $3,923 |
| Age 70 | $4,873 | $5,001 |
| Survivor benefits | Social Security checks | 2.63% COLA increase |
| On average | $1,505 | $1,545 |
| Individual | $1,773 | $1,820 |
| 2 Children | $3,653 | $3,749 |
| Disability benefits | Social Security checks | 2.63% COLA increase |
| On average | $1,537 | $1,577 |
| Blind recipients | $2,590 | $2,658 |
| Maximum payment | $3,822 | $3,923 |
| SSI benefits | Social Security checks | 2.63% COLA increase |
| On average | $698 | $716 |
| Individuals | $943 | $968 |
| Couples | $1,415 | $1,452 |
| Essential person | $472 | $484 |
Could remarrying affect Social Security beneficiaries’ benefits?
If you get any of the following benefits or think you might get any of them, getting married again could affect your benefits:
- SSI payments: Your new spouse’s income and resources may affect your ability to get SSI and the amount of money you get each month. Your payment may change from a single rate to a couple’s rate if both of you get SSI. Report your marriage right away to avoid getting charged too much.
- Benefits for a surviving spouse or a divorced living spouse If you get married again before you turn 50, you can’t get disability or widow benefits unless the second marriage ends in divorce or annulment.
- Getting married again after age 50: If you were disabled and couldn’t work when you got married again after age 50, you can get benefits as a disabled surviving spouse. If you get married again before you turn 60 and the marriage ends, you might be able to get benefits based on the record of your ex-spouse who died.
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