New Social Security Raise Announced – But Is It Enough to Keep Up with Inflation?

If you rely on Social Security or Supplemental Security Income (SSI), your monthly payments are about to go up. Starting in 2025, benefits will increase by 2.5% thanks to the Cost-of-Living Adjustment (COLA).

It’s not a huge raise, but with the cost of groceries, rent, and healthcare still rising, every little bit helps. So, how much more will you actually see in your check? Let’s break it down.

How Much More Money Will You Get?

With this 2.5% increase, here’s what the new Social Security payments will look like:

• Retired workers will get an extra $49 per month, raising their average monthly payment from $1,927 to $1,976.
• Married couples (both receiving benefits) will see an increase of about $75 per month, bringing their payment from $3,014 to $3,089.
• SSI recipients will also get a bump, with higher payments starting on December 31, 2024.

It’s not a life-changing amount, but with inflation still making everyday expenses more expensive, it’s better than nothing.

When Will You Get the Higher Payments?

• If you receive Social Security: Your first bigger check will arrive in January 2025.
• If you receive SSI: Your first increased payment will come on December 31, 2024.

Social Security payments go out based on your birth date:

• Born between the 1st and 10th? You’ll get paid on the second Wednesday of the month.
• Born between the 11th and 20th? Expect your payment on the third Wednesday.
• Born after the 20th? Your money will arrive on the fourth Wednesday.

SSI payments are usually sent on the first of the month.

Why Are Social Security Benefits Increasing?

Every year, the Cost-of-Living Adjustment (COLA) helps Social Security payments keep up with inflation.

• In 2022, COLA was 8.7% because inflation was at a 40-year high.
• In 2023, it was 3.2%.
• For 2025, it’s set at 2.5%.

While this year’s increase isn’t as big, it’s still an important boost to help retirees and other recipients afford daily expenses.

Will Social Security Go Up Again in 2026?

Experts predict the 2026 COLA might be around 2.3%, but that could change depending on inflation. If prices continue to rise, there’s always the possibility of Congress stepping in to approve bigger increases.