To What Extent Are Estimated Payment Increases Under Social Security?

The rising price of products, which compares with the declining rate of inflation, is likely to further contribute to a significant decline in the cost of living adjustment (COLA) for seniors in the following year.

The 2024 Social Security COLA is estimated to reach 3% and increase the average monthly payment of roughly $1,787 by roughly 53 dollars when it is announced by the Social Security Administration in October. The Social Security Administration welcomed the current 8.7 percent monthly rise in pensioners’ income as the greatest rise in forty years in October.

The Federal Open Market Committee (FOMC) raised interest rates by .25 basis points in July, bringing them from 5.25 percent to 5.5 percent, the highest level in twenty-two years and the 11th rise in the last 12 policy sessions of the U.S. central bank since March 2022. The FOMC has continuously worked to reduce inflation to 2%.