The Cost of Living adjustment was recently announced by Social Security.
The increase amount for 2015 is 1.7% for beneficiaries. For those who receive SSI, the increase is effective on December 31st. Jack Myers, with Social Security, explains they always pay checks the month after they are due. This means the raise will be effective with the December 2014 payment.
Myers mentions the Cost of Living Adjustment is determined by a numerical measure of inflation. He adds they look at last year's third quarter average Consumer Price Index for the determination. Both 2013 and 2014 are used to determine the CPIW for 2015.
Myers says the majority of beneficiaries are retirees, along with those on disability. He encourages anyone wanting more information on the Cost of Living Adjustment or any Social Security topic to visit www.socialsecurity.gov.