Millions of Americans receiving SSI, Social Security retirement, or Disability Insurance benefits must be wondering what the next 2025 COLA figure will be like. After a series of large cost-of-living adjustments, disappointment may be a common feeling.
The only recipients that will receive a payment boost on October 1 will be those receiving SNAP benefits. Social Security will send the increase to most recipients on January 3, 8, 15, and 22, 2025. SSI beneficiaries will get it on December 31, 2024, though.
Will Social Security payments increase above the 2024 COLA?
For your information, it is unlikely that retirement, SSDI, and SSI benefits increase above the 2024 COLA. This is because the previous COLAs were higher than average and this year’s seems to be lower.
Inflation has cooled down even if prices seem to have remained high for many low-income recipients who struggle to make ends meet in the United States. Let’s have a look at the history of COLAs in the last few years.
Year SSA benefits increased by
- 2020: 1.6%
- 2021: 1.3%
- 2022: 5.9%
- 2023: 8.7%
- 2024: 3.2%
- 2025 COLA projection: 2.57%
An important date for the Social Security 2025 COLA
The next COLA figure for 2025 will be unveiled on October 10. This is when the CPI-W for September will be known. Then, the Social Security Administration can use the CPI-W for July, August, and September in both 2024 and 2023 and compare them.
These will be the necessary months to work out the 2025 COLA amount. Even if the Senior Citizens League has projected a boost of just 2.57%, it is still positive for low-income Americans on retirement, SSDI, or SSI benefits. As a matter of fact, they will receive more money from the Administration.
For example, if the average retirement payment is worth $1,919 as of July 2024, these recipients can get about $1,968. Therefore, they will receive on average 49 dollars extra per month. In just one year, that could amount to $588. the higher your Social Security check is, the more dollars you will get.