October 12, 2023
Beginning January 2024, more than 66 million Social Security beneficiaries will see the 3.2 percent cost-of-living adjustment (COLA). Increased payments to approximately 7.5 million people receiving SSI will begin on December 29, 2023.
The Social Security Act ties the annual COLA to the increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) as determined by the Department of Labor’s Bureau of Labor Statistics. The increase is based on the CPI-W from the third quarter of 2022 through the third quarter of 2023. Starting in January, the average monthly Social Security retirement benefit will rise by $59, from approximately $1,848 to $1,907, according to the Social Security Administration (SSA). The average disability benefit will increase from $1,489 to $1,537.
In December, the SSA will mail COLA notices to retirement, survivors, and disability beneficiaries, SSI recipients, and representative payees to notify beneficiaries of the changes. Individuals can also set up a my Social Security account to view their COLA notice online.
Information about Medicare changes for 2024 will be available at www.medicare.gov. For Social Security beneficiaries enrolled in Medicare, their new 2024 benefit amount will be available in December through the mailed COLA notice and my Social Security's Message Center.