On October 12, 2023, the Social Security Administration (SSA) released the 2024 Cost-of-Living Adjustment (COLA). Those receiving benefits from the SSA can expect their benefits to increase by 3.2% in 2024. More than 71 million Americans will be impacted by this increase.
“Social Security and SSI benefits will increase in 2024, and this will help millions of people keep up with expenses,” said Kilolo Kijakazi, Acting Commissioner of Social Security.
Every year, the SSA announces the adjustment based on the Consumer Price Index (CPI-W). When the CPI-W increases, it reflects a higher cost of living and higher cost of goods. The SSA’s COLA helps those receiving benefits from the SSA keep up with the increasing costs.
How Much Is the COLA For 2024?
The COLA is set to increase payments by 3.2% in 2024. The SSA predicts that starting in January 2024, some benefits may increase by more than $50 per month. Increases in 2024 include:
|Trial Work Period||$1,050/mo.||$1,110/mo.|
|Max. Benefit at Retirement Age||$3,627/mo.||$3,822/mo.|
|SSI Standard Payment: Individual||$914/mo.||$943/mo.|
|SSI Standard Payment: Couple||$1,371/mo.||$1,415/mo.|
|Average Monthly Payments||Before 3.2% COLA||After 3.2% COLA|
|All Retired Workers||$1,848||$1,907|
|Widowed Mother and Two Children||$3,540||$3,653|
|Aged Widow(er) Alone||$1,718||$1,773|
|Disabled Worker & Child||$2,636||$2,720|
|All Disabled Workers||$1,489||$1,537|
See all increases on the SSA's 2024 COLA Fact Sheet.
Those receiving SSI will see the increases starting on December 29, 2023, while all other Social Security recipients will see the changes starting in January 2024.
How Much Will My New Payments Be?
If you are receiving Social Security or SSI from the SSA, you will receive a letter in the mail in December. This will outline your new benefit amount. You can also view your notice on your mySocialSecurity account. If you do not have an account, then you will need to create one by November 14, 2023, to receive your notice within your account.
Other Changes After 2024 COLA
The COLA does not just impact those currently receiving monthly benefits from the SSA. The Substantial Gainful Activity (SGA) has increased from $1,470/month to $1,550/month. If you are considering applying for disability benefits, you will now need to make less than $1,550 a month in 2024 to qualify for disability.
With the increases in benefits, those receiving the full disability amount may now receive up to $3,822 a month, or $45,864 a year. Our calculator can help you calculate disability payments you may be eligible for.