SSA refers to the Social Security Administration providing help to millions of Americans for a long time. This post will discuss the increment of 3.2% in Social Security. Social Security hike decided to be increased by $200 in this year. Let’s bring some light on the depth and fact checks.
3.2% Increase in Social Security
Social Security Benefits and Supplemental Security Income are about to increase by 3.2% since 2024. As per the data analysis, approximately 71 million Americans access these benefits after retirement which will going to rise by 50 Dollars per month from the first month of the upcoming year.
When the cost of living increases federal government raises the amount of payment as they understand that inflation impacts the COLA that makes goods and services unaffordable for several people having low family income or no income at all. Department of Labor’s Consumer Price Index (CPI-W) measures these factors and represents reports that help the authorities to make effective decisions.
Overview table of increment by 3.2% in Social Security
|3.2% in Social Security
|Social Security Administration
|50 Dollars per month increment
|Amount rise adjusted by
|Cost-of-living by the US Government
|Date of Increase Implementation
$200 Social Security Hike in 2024
The maximum taxable amount under Social Security amount will increase to $168,600. Employees will have their income cap increased to USD 22,320 under the “full” retirement age. For individuals who reach full retirement age, their maximum income will reach 59,520 USD by 2024.
Social Security Hike by $200 Notice
Beneficiaries can refer to the Social Security COLA notices in December 2023 in the message section of their Social Security Account. COLA notices are received safely and conveniently through online mode and one of the benefits is that the messages can be saved for later reference. Beneficiaries have the option to receive the notices even by mail. There are no charges applicable to these services. Any reputable company or government agency will ask about any sort of irrelevant personal information as well they cannot demand any advanced fees for the services in the form of gift cards or wire transfers.
Beneficiaries should be concerned about fraud calls and messages and should not get trapped in any “phishing” schemes. They must be concerned before sharing any personal information, sharing any links, or clicking any unauthorized attachments.
Who is Eligible?
SSI payments and Social Security payouts in 2024 will increase helping millions of people in meeting their basic needs. Government pays taxes to survivors of deceased workers, disabled people, retires, and dependents buy sing taxes received from employees. Social Security Administration offers COLA letters through mail to retirees, eligible disabled people, SSI beneficiaries, survivors, and representative payees.
The current benefit level determines the payment received under SSI which can evaluated through employment and other variables. If you prefer to get the amount sooner, the Message Centre in your account can be used to recover online notifications from Social Security COLA.
Payment Dates of Social Security in 2024
January is the expected month when most of the beneficiaries who fall under Social Security start receiving COLA as per the agency’s schedule but it does not include the SSI recipients who will start receiving their benefits soon this year.
29 Dec 2023: Approximately 7.5 million participants of SSI within the country marked this day as the start of the increase in payments. 1st date of January was a holiday, so the amount was credited to the recipient’s account on Friday (prior Jan 1).
3 Jan 2024: Recipients who started claiming their benefits before May 1997 or the individuals who receive both SSI Payments and Social Security can expect their amount to be credited on the 26th of December otherwise January 3 will be the date of Social Security Payment.
10 Jan 2024: The first benefit check with the COLA will be credited between the first and 10th day of the month you were born.
17 Jan 2024: this will be the day of receiving the higher payment if your day of birth occurs on the 11th to 20th day of the birth month.
24 January 2024: When the birthdate of the beneficiary falls in any month. The new COLA will be added to your payment check on this day.
How inflation impact Social Security Checks
Inflation can significantly affect Social Security checks as they are designed to provide retirees with a stable income. Social Security benefits are typically adjusted annually based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), which measures changes in the prices of goods and services. If inflation is high, the cost-of-living increases, and Social Security payments may also rise to maintain the purchasing power of beneficiaries. However, the extent of the impact depends on the inflation rate and the effectiveness of the cost-of-living adjustment (COLA).
In periods of rapid inflation, there might be concerns that COLA adjustments may not fully keep pace with the rising cost of living, potentially eroding the real value of Social Security benefits. This could pose challenges for retirees who rely heavily on these payments for their financial well-being. Policymakers need to monitor inflation trends and make appropriate adjustments to ensure that Social Security benefits remain a reliable source of income for retirees, helping them maintain a reasonable standard of living despite changes in the overall economy.
Comparison of 2024’s COLA with previous years
In comparison to prior years benefit increase is higher in 2024, but still, it’s not higher than the seniors received in 2022 and 2023. Some COLA’S percentages are mentioned below over the last 10 years: