Social Security will announce inflation adjustments to its biggest benefit in 40 years on Thursday. This is a welcome development for millions of older Americans who are struggling to keep up with their rapidly rising cost of living.
Based on the latest government inflation rates, the cost of living adjustment in 2023 could be around 8.7%. The final COLA, known as the adjustment, will be released when the Labor Department releases his September CPI. Medicare subscribers can expect some additional good news. Standard Part B premiums, which are normally deducted from Social Security benefits, will drop next year.
One of Social Security’s most valuable features, COLA will provide a significant boost to nearly 70 million Americans next year. Retirement comes to mind when most people think of social security, but programs play a much broader role in providing financial security.
In August, the program paid out benefits to 52.5 million people over the age of 65, but there were younger beneficiaries – insured survivors and recipients of disability benefits, and programs for very low-income people. In total, 17.9 million people were added, according to the Supplemental Security Income.To Social Security Administration data.
Annual inflation adjustments have been given since 1975 based on formulas enacted by Congress. Policy experts have debated whether the current formula accurately measures inflation affecting retirees, but her COLA’s importance in helping beneficiaries keep up with costs. There is little disagreement about sex.
With an eye-popping COLA just around the corner, The New York Times provides the story behind Social Security’s inflation adjustment (how it works and how it can be fixed) and how it fits into your pocketbook. I checked to see if it would affect