What 5.9 percent more means per month?
According to the Social Security Administration, 70 million Americans who receive Social Insurance benefits will see a 5.9% increase in 2022, the agency said.
In January 2022, more than 64 million Social Security beneficiaries will be covered by the 5.9% cost-of-living adjustments (COLA). On Dec. 30, 2021, more than 8 million SSI beneficiaries will be receiving increased payments.
The increase, the largest in 39 years, means an extra $92 a month for the average retired worker. The Social Security Act binds the annual COLA to the increase in the Consumer Price Index, as determined by the Department of Labors Bureau of Labour Statistics, which means that a lot of the rise will be eaten away by higher inflation costs.
This years COLA is a significant increase over the previous 10-year average increase of 1.65% per year. It is also the largest increase since 1983, when benefits rose by 7.4%. Last years increase was 1.3%.
Heres the monthly increase breakdown from the Social Security Administration:
- All retired workers Now $1,565; after increase $1.657
- Couple, both 65 years old, now $2,599; after increase $2.753
- Widowed mother and two children Now $3,009; after increase of $3.187.
- $1,467; after $1.553 increase, widow or widower alone, $14,427; and after increase $1-553.
- Disabled worker, spouse, and one or more children Now $2,250; after increase $2.383
- All disabled workers Now $1,282; after increase $1.385.