October 16 marks a major milestone for millions of U.S. citizens who depend on Social Security for their livelihoods. Today, program beneficiaries will receive payments adjusted for the annual cost of living increase for 2024, an adjustment that reflects efforts to mitigate the effects of inflation, although expectations about its effectiveness remain a matter of debate.
This year’s COLA increase has drawn both relief and criticism. On the one hand, those who rely on these payments have seen a slight increase in monthly amounts, a step toward offsetting prices that continue to rise, especially in food and energy. However, despite the 3.2% adjustment, many argue that the increase does not cover enough to compensate for full inflation, which has left some recipients feeling dissatisfied.
Today’s payments will not be higher than previous payments, with a maximum of $4,873 for those with the longest contribution period. The amount we will receive in October will be the same as in the previous months of this year. This payment, the highest amount available to those eligible, represents a subsidy, although it is known that it will not completely solve the financial challenges faced by the beneficiaries. Adjusted COLA payments also reflect ongoing market volatility and government policies that seek to preserve purchasing power for the most vulnerable Americans.
Who gets Social Security with COLA 2024 today?
Today, October 16, revised 2024 COLA payments affect millions of Social Security beneficiaries, including retirees, people with disabilities, and survivors of deceased workers. The increase applies to those who receive monthly payments through the program, which includes not only those in full retirement, but also those with disability benefits, survivor pensions and other categories of Social Security support.
Citizens who will receive Social Security payments with COLA 2024 today are those who:
Get your Social Security check after May 1997. Your birthday falls between the 11th and 20th of any month.
It doesn’t matter what type of benefit it is, nor does it matter how much we get each month. However, for those who qualify, the 2024 COLA increase can be significant, with payments varying depending on the type of benefit and the beneficiary’s contribution years.
In general, those with more years of contributions to the system will receive a higher payment, while beneficiaries with less contribution time will see a proportionately smaller increase. This amendment aims to help mitigate the effects of inflation, especially on basic expenses such as food, medicine, and utilities.
What will the Social Security Act of 2025 be?
COLA has already been confirmed for 2025 and a 2.5% increase will apply to Social Security payments. Although this adjustment is less than the 2024 budget budget, it is still crucial to help beneficiaries maintain their purchasing power in the face of rising costs. Next year, the maximum check will reach $5,180 for those with a longer contribution history, a significant increase from 2024.
Although the increase is more moderate, the decrease in the ratio is justified by the slowdown in inflation compared to the previous year. However, many continue to express concern that even this increase in Social Security COLAs will not be enough to cover the full impact of price increases in basic products such as food and housing, highlighting the limitations of the system in the face of global economic changes.
