As long as there is a COLA increase in 2025, all Social Security recipients will get a new increase in 2025. However, if this were not the case, retirement, SSDI, and SSI could remain the same or even get a reduction.
Take for example SNAP benefits. USDA has just announced the 2025 COLA increase for October 1, 2024. Although the 48 contiguous States, Alaska, Guam and the U.S. Virgin Islands will get a boost, Food Stamp recipients in Hawaii will get a decrease. Anyway, the latest cost of living adjustment projections forecast an increase in Social Security benefits.
What is the 2025 COLA projection for Social Security?
So far, the latest COLA projection from the Seniors Citizen League is about 2.63%. That means that the increase seniors and disability recipients can expect is much lower than in the previous years.
Even if it is not the cost of living adjustment millions of beneficiaries expect, it is much better than not getting any extra dollars and, of course, a lot better than a reduction. Bear in mind that every little bit counts.
For example, if you receive Social Security retirement benefits and your payment is worth $1,000, you could get $1,026.3 after the possible 2.63 2025 COLA boost. Retirees who save the cost of living adjustment boost will have saved $312 if they get $1,000 in 2024.
2025 COLA announcement date
The Social Security Administration will probably announce the new COLA figure on October 10. That is the day when the Bureau of Labor and Statistics unveils the CPI for September. So, it will then be possible for the Agency to work out the increase.
However, retirees, SSDI, and SSI recipients will not get their cost of living adjustment for any of the payments for 2024. The first to receive the COLA boost will be Supplemental Security Income recipients because they get their January direct deposit on December 31, 2024.
The rest of the Social Security beneficiaries will have to wait until January to get their payments with the possible 2.63% increase. Those who delay retirement until 2025 will also get this boost.