Social Security and Supplemental Security Income benefits for approximately 70 million Americans will increase 8.7% in 2023, the Social Security Administration announced recently.
On average, Social Security benefits will increase by more than $140 per month starting in January. This is the largest cost-of-living adjustment increase since 1981.
The 8.7% COLA will begin with benefits payable to more than 65 million Social Security beneficiaries in January 2023. Increased payments to more than 7 million SSI beneficiaries will begin on Dec. 30, 2022. (Note: some people receive both Social Security and SSI benefits.)
The Social Security Act ties the annual COLA to the increase in the Consumer Price Index as determined by the Department of Labor’s Bureau of Labor Statistics.
“Medicare premiums are going down, and Social Security benefits are going up in 2023, which will give seniors more peace of mind and breathing room,” Acting Commissioner Kilolo Kijakazi said.
“This year’s substantial Social Security cost-of-living adjustment is the first time in over a decade that Medicare premiums are not rising and shows that we can provide more support to older Americans who count on the benefits they have earned.”
Increases in VA disability are directly correlated with the COLA increase. More than 5 million veterans can expect an increase in VA disability that ranges from $13.28 at 10% disability to $298.89 for 100% disability.
Those numbers only reflect single veterans. VA’s official compensation tables for veterans at 30% disability or higher who have dependents added to VA disability will be released in December.
Social Security and SSI beneficiaries are normally notified by mail starting in early December about their new benefit amount. The fastest way to find out their new benefit amount is to access their personal “my Social Security” account at ssa.gov/myaccount.