The Social Safety cost-of-living adjustment (COLA) is a yearly enhance in Social Safety advantages that’s meant to maintain tempo with inflation. The COLA is calculated based mostly on the Client Worth Index for City Wage Earners and Clerical Employees (CPI-W), which measures the change in costs for a basket of products and providers bought by city wage earners and clerical employees. In 2023, the COLA was 8.7%, the most important enhance in 40 years. For 2024, the COLA is projected to be 5.8%. The COLA is a crucial a part of Social Safety, because it helps to make sure that beneficiaries can sustain with the rising price of dwelling. With out the COLA, Social Safety advantages would lose worth over time, as inflation would erode their buying energy.
There’s a subreddit on Reddit referred to as r/SocialSecurity the place individuals can talk about Social Safety-related subjects, together with the COLA. The subreddit has over 100,000 members and is a priceless useful resource for individuals who wish to study extra about Social Safety. In 2025, the COLA is predicted to be round 3%. This can be a decrease enhance than in recent times, however it’s nonetheless vital for beneficiaries. The COLA will assist to make sure that beneficiaries can sustain with the rising price of dwelling and preserve their high quality of life.
