New Social Security COLA News: Smaller Increase for 2024. United States citizens who rely on Social Security benefits are bracing for a smaller Cost of Living Adjustment (COLA) increase in 2024 compared to the significant boost they received in 2023.
Disappointment Looms for Social Security Recipients
The much-anticipated announcement of the annual COLA increase has left thousands of Americans disheartened, as the upcoming 3.2% increase pales in comparison to the record-breaking 8.7% rise in retirement payments observed in 2023.
Battling Inflation: The 2024 COLA Increase
Despite the modest 3.2% COLA increase, it provides some relief against rising inflation. However, concerns persist, given the ongoing underfunding of retirement payments in recent years.
Waiting for the COLA: January 2024 Arrival
Although the COLA announcement was made on October 12th, 2023, the extra 3.2% will not be reflected in Social Security payments until January 2024. Thus, Americans must wait a few months to experience this annual increase.
No Action Required: Automatic COLA Adjustment
The good news is that recipients need not take any action to receive the payment increase. All Social Security checks, including Supplemental Security Income and retirement benefits, will automatically include the COLA adjustment.
Upcoming Payment Schedule
In October, a new round of checks will be distributed in a matter of days. However, these payments will not yet feature the COLA increase. The next payment day is scheduled for October 18th, and it will apply to post-1997 retirees with birthdays falling between the 1st and 10th of the month.
