For more than 71 million people in the United States, Social Security funds are very important. The 2025 rise is based on the Cost of Living Adjustment (COLA). Its goal is to help retirees, disabled people, and others who have been hurt by the economic crisis deal with the effects of inflation on their income.
A report from the Senior Citizens League says that the COLA for people in the United States who get Social Security or SSI in 2025 will be 2.57 percent. This rise is welcome news in a world where prices are going up all the time, especially for basic services and food.
Possible increase in October for some SSI recipients, not for Social Security
Beginning in October 2024, many people in the United States who get Supplemental Security Income (SSI) will have to pay more each month. Some people who get SSI may also get Social Security at the same time. This change was made because the Social Security Administration made some big changes.
- The 2025 COLA increase projection is set at 2.57%.
- This adjustment addresses the impact of inflation on essential living costs.
- Beneficiaries include retirees, individuals with disabilities, and more.
- Changes for SSI will take effect starting October 2024 for SSI recipients.
The goal of this raise is to give people who depend on SSI payments extra money so they can better handle the rising cost of living.
This change is one of a number of reforms that are meant to make it easier for people to get these benefits and make things more fair for the most vulnerable people. A new rule that goes into effect on September 30 will no longer take food stamps into account when figuring out SSI payments.
Impact of the New Rule for SSI
Before, the agency listed food assistance from family, friends, or communities as income that wasn’t earned. This might lower the weekly payment or even make it impossible for someone to become a beneficiary.
Advantages of the Change
It’s important that this change happens because it will let people who depend on informal help get a bigger monthly amount without that help hurting their finances. It’s important to remember that Social Security hasn’t said how much the raise will be yet.
- Simplified Access: Easier for vulnerable individuals to receive benefits.
- Improved Equity: Ensures fair treatment for those in need.
- Increased Support: Higher monthly amounts for beneficiaries.
Remember the date October 10 to find out how much your retirement, SSDI, or SSI benefit may go up. Read on for more information from the SSA about the exact increase in benefits. The new COLA number for 2025 will be released by Social Security on October 10.