Social Security beneficiaries will receive a monthly benefit increase of 3.2 percent in 2024, according to an announcement from the Social Security Administration on Oct. 12. This figure is much lower than the hefty 8.7 percent increase seen in 2023, which was the largest single-year bump since 1981.
According to the Social Security Administration, the average beneficiary will see their benefits go up by more than $50 each month starting in January.
Every year, the federal government calculates the change in Social Security benefits based on inflation. This is the cost-of-living adjustment (COLA).
Specifically, the annual COLA is linked to the increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) as established by the Bureau of Labor Statistics. The 2024 COLA increase was based on the increase in the CPI-W from the third quarter of 2022 through the third quarter of 2023.
If you have any questions about the 2024 COLA or how it could impact your health coverage, our advisors are here to help.
If you’re currently a RetireMed client, call 877.222.1942 to speak with a client advisor.
If you’re new to RetireMed, reach out to us at 866.529.1181. We’ll answer your questions and help you get started!
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