More than 72.5 million Americans will see a 2.5% increase in their Social Security benefits and SSI payments in 2025.
Jack Myers with Social Security indicates that will include nearly 68 million Social Security beneficiaries and nearly 7.5 million SSI recipients.
The increases will be effective with payments that will be received in January. Myers explains December 31st for SSI since January 1st is a holiday, so that will adjus the first payments for this increase.
Since 1975, the Social Security COLA has been automatically tied to inflation. According to Myers, the 2.5% COLA was computed using three factors.
When the Social Security COLA is announced, people often wonder about the Medicare Part B premium since it is deducted from the Social Security payment. Myers points out Medicare announced the standard Part B premium will be $185.00 in 2024 - up from 174.70 in 2024.
Myers stresses there is no need to call to check on this increase. Social Security will be mailing COLA notices throughout December, but the notice became available within your mySocialSecurity message center starting in late November.
To learn more about the 2025 COLA, visit www.ssa.gov/cola.
