The US Social Security Administration will implement changes next year to address inflation, affecting over 72 million recipients. These changes primarily impact individuals entering retirement and those receiving disability payments.
The lowest cost-of-living adjustment (COLA) in four years will take effect in January, increasing retirement benefits by approximately $49 per month. This adjustment accounts for inflation’s impact on the cost of living, with a typical average COLA since 2000 being 2.6%.
However, next year’s COLA is lower than the previous two years, indicating a cooling of inflation. The adjustment applies to all Social Security payments, including retirement, disability, survivor, and family benefits.
In addition to the COLA change, the SSA will increase the earnings limit for people reaching their full retirement age in 2025 to $62,160. Workers’ taxable earnings will also rise to a maximum of $176,100 in 2025.
The Social Security Administration is transitioning its services to appointment-based, reducing wait times and streamlining processes. Starting January 6, customers must schedule an appointment if they need assistance in person, including requests for Social Security cards. However, local offices will still accept walk-ins for vulnerable populations or those requiring immediate attention.
Source: https://www.newsnationnow.com/business/your-money/social-security-changes-2025