Are you in search of the social security benefits Cola 2023? If so, then you visited the right website because here we will be discussing the social security benefits Cola 2023. Before coming to the main topic, let me tell you what Cola is. It’s the cost of living adjustment.
What is Social security Benefits Cola 2023?
There are more than 70 million Americans who receive the security benefits and now expect an increment to the monthly checks from the next year because of inflation.
Last month, the Senior Citizens League predicted an increment of 9.6%, but the revised prediction is 8.7%. This estimate of 8.7% was updated in September after the release of the CPI-U report. This will be the highest received Cola according to the league’s social security and medicare policy analyst.
As per this report, the overall hike rose 8.3% from 2021 because of increased prices of food, shelter, and medical facilities.
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The Social security cola is based on the consumer price index for CPI-W. Cola is measured by using the average inflation rate of the third quarter of any year. For finding 2023 cola, the 2022 number will be compared to that of 2021’s third quarter to find out the change.
The league and other groups have often criticized this formula for measuring Cola because it doesn’t include the medicare part B premium. And this leads to the social security amount falling short for senior citizens.
The Social Security Administration estimated that the benefits make up 30% of the income of elderly citizens. But still, the Senior Citizen League feels that even an increase of 8.7% in Cola won’t be enough to meet all the senior citizens’ needs.
Conclusion
There is no official announcement regarding the increment in the social security benefits cola 2023, so wait till mid of October for the official announcement.
Frequently Asked Questions
What will the COLA be for 2023 for Social Security?
For now, it’s estimated as 8.7%.
Will there be an increase in 2023 for Social Security?
According to estimations, yes, there will be an increase of around 8.7%, which is the highest in the last 41 years. But as of now, there is no official announcement on whether it will increase or not.
How much will COLA increase in 2023?
It’s not officially announced yet. So for an official announcement, you have to wait till mid of October. But according to predictions, it will be 8.7%.