Connect with us

    Hi, what are you looking for?

    OMD NewsOMD News


    Social Security COLA in 2024 May Be Smaller Than Expected: Here’s the Reason Why

    Social Security
    COLA in 2024, may not increase. (Photo: The Moltey Fool)

    It is essential to note that there is a chance that the cost-of-living adjustment (COLA) for Social Security in the year 2024 may not be as large as initially expected.

    Social Security

    COLA may drop in 2024 (Photo:

    Seniors May Struggle with Falling Inflation

    The current inflation rate drop in the United States benefits American consumers. Although, this could potentially lead to a decrease in the cost-of-living adjustment (COLA) for Social Security beneficiaries in the forthcoming year. The anticipated COLA could be as little as 2% or even lower.

    Cost of Living Adjustments (COLAs) are directly tied to the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). In 2023, there was a substantial 8.7% increase in COLAs, mainly due to the high inflation that occurred in the previous year of 2022. The projected COLA increase is expected to be around 3% for the upcoming year.

    The Senior Citizens League has predicted a consideration drop in the COLA for fiscal 2024. This forecast is based on the declining trend in the 12-month average rate for CPI-W. A recent report by the U.S. Bureau of Labor Statistics reveals that the overall inflation rate has increased by 6% for the 12 months ending in February 2023. Despite this, it is worth noting that this increase is the smallest recorded in 12 months since September 2021.

    Many elderly individuals who heavily rely on Social Security as their primary source of income may unfortunately not witness a substantial increase in their benefits for the upcoming year due to inflation. This, coupled with the rising costs of Medicare, could potentially lead to a reduction in next year’s COLA, resulting in further financial difficulties and hardships for seniors.

    Read Also: U.S. As A Resilient Economy: GDP Data Shows The U.S Economic Growth


    Click to comment

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    You May Also Like


    There is finally an update on 4th stimulus check for Social Security Recipients! Individuals who receive Social Security benefits can expect to receive a...


    The attack using 14 military choppers that Russian President Vladimir Putin planned was destroyed by Ukraine using US-supplied long-range tactical missiles. Russian President Vladimir...


    The Biden administration has announced recently that it plans to increase the monthly payments of seniors and veterans to $2,000. $2,000 in Monthly Payments...


    In Texas, this September the SNAP payments will end, worth up to $1,691, on Friday. The household income determines eligibility. A single-person household must earn more than...