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How low? A ‘significantly lower’ COLA increase on 2024’s Social Security benefits

Retirees this year received a record-high 8.7% cost-of-living adjustment in their benefits – the largest increase in four decades – however, next year may be less than half that percentage due to inflation, according to a new estimate.

By Alan Goforth | May 12, 2023 at 11:03 AM
collage of blue tops of Social Security cards (Photo: Shutterstock)

Retirees this year received an 8.7% cost-of-living adjustment in their Social Security benefits, which was the largest increase in four decades. The 2024 increase, however, the declining rate of inflation points to a “significantly lower” COLA and may actually be less than half that percentage, according to a new estimate by The Senior Citizens League, a nonpartisan advocacy group.

The roughly 70 million people who rely on Social Security could receive a 3.1% COLA in 2024 (or possibly as low as 2% or less), the group estimates, based on April’s consumer inflation rate announced on Wednesday. For the average retiree who received a monthly check of $1,827 this year, this would mean an additional $56.64 a month in 2024, boosting the typical payment to $1,883.64.

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