Social Security benefits are expected to increase by 2.57% in 2025, adding about $50 per month, but this may not fully cover rising costs for retirees.
2025 Social Security COLA Expected to Rise by 2.57%: Will It Be Enough to Cover Rising Costs?
According to the Austin American-Statesman, Social Security benefits are likely to go up by 2.57% in 2025, which means an extra $50 a month for most people. This increase, known as the cost-of-living adjustment (COLA), helps benefits keep up with inflation and maintain their value over time. For 2024, the COLA is 3.2%, showing the ongoing need to adjust payments for rising costs.
However, some experts say that a 2.57% increase might not be enough to cover higher living expenses for retirees. A study from the Seniors League says retirees would need an extra $370 a month to have the same buying power they had in 2010. Plus, higher Medicare Part B premiums could further reduce the value of the increase.
READ ALSO: 10% Federal Tax Credit: Unlocking the Potential of Polluted Farmland for Renewable Energy
$2.57% Boost: 2025 Social Security Benefits to Increase by $50 Monthly – But Experts Warn It May Not Be Enough to Keep Up with Inflation (PHOTO: The Sun)
Final August Social Security Payments Set to Be Distributed: What You Need to Know
The Social Security Administration is getting ready to send out the last payments for August. Payments for retirees, Supplemental Security Income (SSI) recipients, and Social Security Disability Insurance (SSDI) recipients will be made based on their birth dates and adjusted for weekends and holidays to ensure timely delivery.
READ ALSO: $6,000 Child Tax Credit: Kamala Harris Unveils Ambitious Plan to Reduce Child Poverty and Income Inequality
