First Social Security Increase Set for January 2025 – Official Dates Announced

In 2025, over 70 million Social Security beneficiaries are eagerly awaiting confirmation of a new cost-of-living adjustment (COLA) increase. While the exact percentage hasn’t been finalized, estimates from the Senior Citizens League (TSCL) suggest a rise between 2.73% and 3.2%. This annual increase, aimed at offsetting inflation, will ensure beneficiaries maintain their purchasing power despite rising costs.

The final COLA adjustment will be officially announced in October by the Bureau of Labor Statistics. Until then, let’s take a look at how the Social Security Administration’s (SSA) payment schedule works and investigate the projected benefit amounts for 2025.

Schedule

Social Security payments follow a clear schedule. Beneficiaries of Supplemental Security Income (SSI) and Retirement, Survivors, and Disability Insurance (RSDI) programs receive payments at specific intervals each month. However, due to federal holidays and weekends, there are occasional exceptions.

Here’s what the schedule looks like for January 2025:

1. SSI Payments: January 1st is a federal holiday, so SSI beneficiaries will receive their payments a day earlier, on December 31st, 2024. The next payment for SSI recipients will come early on January 31st because February 1st falls on a weekend.
2. RSDI Payments: RSDI beneficiaries who filed before May 1997 will receive their payments on January 3rd. Those who applied after May 1997 will receive their benefits based on their date of birth:
   • Born 1st–10th: January 8th
   • Born 11th–20th: January 15th
   • Born 21st–31st: January 22nd

Projected Payments

The amount Social Security beneficiaries receive is based on several factors, including age, work history, and contributions made during their employment. A 2.73% projected increase has been floated, although the final figure won’t be confirmed until October.

Let’s investigate what the new Social Security checks could look like for different beneficiaries if the COLA increase stands at 2.73%.

Retirement Benefits

For retirees, Social Security payments vary significantly based on age. Early retirees (age 62) will see average payments around $2,784 per month, while those waiting until full retirement age (age 67) will receive approximately $3,926. Individuals who delay retirement until age 70 will receive the maximum benefits, around $5,006 monthly.

Survivor Benefits

Survivors of deceased beneficiaries receive Social Security payments as well. The projected monthly payment for survivors varies depending on family composition. For an individual, the average benefit could be $1,821. Families with two children could see payments as high as $3,753.

SSDI Benefits

For those receiving Social Security Disability Insurance (SSDI), the payments will also reflect the COLA increase. On average, disabled workers could receive around $1,579 per month. Blind recipients may receive larger payments, averaging $2,661, with a maximum possible benefit of $3,926.

SSI Benefits

Supplemental Security Income (SSI) recipients typically receive lower payments than other programs. In 2025, the average payment could reach $969 for individuals and $1,454 for couples. An essential person (someone helping a disabled person) would receive around $485.

Payments

It’s essential to remember that these estimates could shift based on the official COLA increase and other factors unique to each beneficiary. Payment amounts depend on age, work history, and whether the recipient qualifies for SSDI or retirement benefits. The increase will help beneficiaries keep pace with inflation, ensuring they don’t lose purchasing power as costs for basic goods and services rise.

While these estimates provide a helpful snapshot of what to expect, the official numbers will be available once the Bureau of Labor Statistics announces the final COLA increase in October.

In the meantime, it’s wise for Social Security beneficiaries to plan for any potential increase by reviewing their financial needs and how the adjustments could impact their monthly income.

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