Social Security COLA increase for 2024 could be higher than expected

nbcnews ^ | 09/14/2023

[devane617]

Payments to Social Security recipients may increase a bit more than expected in 2024, but an advocacy group says they'll still fall short of what retirees need.

The Senior Citizens League said Wednesday that the Social Security cost of living adjustment, or COLA, will likely be 3.2% for 2024. That would add about $57 to monthly benefits, raising them to $1,790 for the average recipient, according to the group's estimates.

The cost of living adjustment is calculated based on an average of the inflation readings for the months of July, August and September. Specifically, it's based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) published by the Bureau of Labor Statistics.

The CPI-W rose 3.6% in July and 3.4% in August.

Inflation rocketed to 40-year highs in 2022 in the wake of a combination of pandemic stimulus payments, an increase in shopping and spending, and widespread supply chain problems. That prompted the Federal Reserve to raise interest rates at a rapid pace. The benchmark U.S. interest rate is now the highest it's been in more than 20 years.

That has slowed the economy somewhat in 2023 compared to last year, but inflation remains higher than it was throughout the 2010s.

[devane617]

While Social Security benefits rise annually, the Senior Citizens League contends that the cost of goods and services that retirees need is increasing much faster than benefits are.

The advocacy group says that problem is the most serious for older beneficiaries, as people who retired before 2000 would need an additional $500 in benefits every month just to get back the purchasing power they had in 2000.

It's looking ugly folks for those of us on a fixed income. I am going to change my pronouns to "Illegal Alien"

[CatOwner]

I’m thinking about starting SS early next year. I’m nowhere near 70, but family health history is not on my side. Hopefully the raise for 2024 is higher than 3.2%.

[ChildOfThe60s]

Any increases are smoke & mirrors anyway. Medicare B premiums will go up and the *worthless* Part D premiums will soak up the rest.

[oldasrocks]

SS was never meant to be retirement income. Was passed as a RETIREMENT SUPPLEMENT.

It has hurt countless people because they believed it was a retirement package and did not save any of their own money.

[irish guard]

I filed as soon as I was fully eligible. 66 years and 2 months. After doing the math, I have to live to 84 to collect all that I paid in over the years. Sure I might outlive that, but by 84, I probably won’t be able to travel much, might be drooling in a cup, pissing myself and can’t remember my name.

Ha….perfect, I can be president of the United States.

[CatOwner]

LMAO! Perfect! :)

[Sacajaweau]

Not really...When it was passed, life expectancy was 65.

[Gay State Conservative]

Buying votes with newly minted bills.

[MNDude]

“Social Security COLA increase for 2024 could be higher than expected”

Of course. It must reflect inflation

[hardspunned]

Have you heard what the Medicare premium increase will be? Your COLA increase will cease to exist once that is factored in.

[Leaning Right]

I did the math, too. If I took early social security at age 62, my break-even point would be around age 78. Would I even be alive and mobile then?

I took the age 62 option, and immediately headed to the race track. No regrets.

But maybe I’ll have a regret or two if I’m still driving myself to the track at age 100.
Time will tell.

[JBW1949]

HILARIOUS!!!!!!!!!!!!!!!!!!!!!!!!!!!

[Noumenon]

Yeah, I won’t spend it all in one place.

[SaveFerris]

Considering that Bidenflation is now 16.7% it should be higher

Make demands on Joe Biden

Since some items are 80% higher under Joe

Joe wanted the job

Let’s hear some answers, Joe!

THIS kind of stuff is why Joe Biden needs World War III as a distraction

[Ronald77]

And by FDR reckoning very few people would live to collect. Another democrat program meant to screw the citizens that backfired .

[Reddy]

Hahahaha!

[Reddy]

We are being killed this year by a huge property tax increase, our home energy bill shot up, and grocery prices are leaving us shocked at what we get for our money. Not to mention gas for the car. I can’t imagine how those on a fixed income are making it...

Seriously feeling the Brandonomics pinch!

God help us all.

[Starboard]

“It’s looking ugly folks for those of us on a fixed income.”

*************

Indeed it is. And trying to increase one’s income through income focused investments can lead to increased risk exposure for retirees. Tough situation for sure.

The one saving grace is higher yields on CD’s and treasuries right now.

[TomGuy]

Joe wanted the job
Let’s hear some answers, Joe!

That should be a standard for every elected politician. Too many of them spend too much of their time blaming their predecessor.

[Leaning Right]

> Considering that Bidenflation is now 16.7% it should be higher <

Yep. A fair calculation would be to base any COLA on a basket of things that the typical senior citizen buys. We buy food and gasoline and health services. We do not buy things like the latest big-screen TVs.

But, no. Instead the COLA is based on manipulations and lies.