The Cost-of-Living Adjustment (COLA) for 2025 is here, and it’s good news for retirees in the United States. The Social Security Administration (SSA) is boosting monthly payments by 2.5% to help offset inflation and rising costs. If you’re at least 62 years old and receiving Social Security benefits, this increase will automatically apply to your payments.
Here’s a closer look at what this means for your benefits.
2025 COLA
The 2025 COLA increase ensures that Social Security payments keep up with inflation, preserving retirees’ purchasing power. The 2.5% boost applies to all recipients, regardless of the amount they currently receive.
How Much Will You Get?
Here’s how the 2.5% COLA increase will affect your monthly payments:
| Monthly Payment (2024) | COLA Increase (2.5%) | Monthly Payment (2025) |
|---|---|---|
| $100 | $2.50 | $102.50 |
| $1,000 | $25.00 | $1,025.00 |
| $2,000 | $50.00 | $2,050.00 |
For example, if your current payment is $2,000, the increase will add $50 per month, totaling an extra $600 for the year.
New Payment Amount
The SSA will notify beneficiaries about the exact payment changes in December 2024. If you don’t receive a notice, you can check your updated payment details by logging into your my Social Security account.
How to Check Online
- Visit the Social Security website.
- Sign in or register for a my Social Security account.
- View your updated benefits information, including the COLA adjustment.
January 2025 Payment Dates
The COLA increase will be reflected in the January 2025 payments. Here’s the SSA’s schedule:
| Payment Date | Who Receives Payments |
|---|---|
| January 3 | Recipients who began receiving benefits before May 1997 |
| January 8 | Birthdates from the 1st to the 10th of the month |
| January 15 | Birthdates from the 11th to the 20th of the month |
| January 22 | Birthdates from the 21st to the 31st of the month |
Don’t See Your Notice
If you haven’t received your COLA notice by late December, log into your my Social Security account to confirm the updated amount. Make sure to have your account credentials ready, or register if you’re new to the system.
Why Does COLA Matter?
COLA adjustments help retirees maintain their financial stability despite inflation. Even small increases can make a big difference when prices for essentials like food, utilities, and healthcare continue to climb. For retirees relying on Social Security as a primary income source, this boost is a welcome relief.
FAQs
What is the 2025 COLA percentage?
The 2025 COLA is a 2.5% increase in Social Security benefits.
How much extra will I get with the COLA?
It depends on your current payment. For $1,000, you’ll get $25 more.
When will I know my updated payment?
The SSA will notify you in December 2024, or check online.
When will I receive my COLA-adjusted payment?
Your January 2025 payment will include the COLA increase.
Where can I check my new payment amount?
Log into your my Social Security account to view the details.
