Each year’s COLA is a very important item for United States citizens who collect only one Social Security check. Having only this source of income, Americans may have some financial problems in this regard due to inflation. Of course, it is not always an excessively high income and it all depends on several factors, but what is certain is that we will get a little more money, even if it is only a little.
But it is thanks to the COLA that United States citizens with a low source of income can get a little extra money each year. Although the COLA may not seem to be very large, the truth is that if we add up all the extra payments we get each year, we do have a lot of extra money to enjoy.
When will we know the COLA 2025?
The truth is that we already have an official date when we will find out what the exact COLA of 2025 will be. Still, it is also true that until then we cannot know the exact figure but we can talk about forecasts and approximations of the new 2025 Social Security checks.
The date of the 2025 COLA announcement will be made official on October 10. This means that in the next week we will definitely have all the information to be able to calculate what our retirement check will be as of January of next year.
So there is very little time left to make the most effective economic plans thanks to the increase of the COLA that will help us to face inflation in an effective way. Although we can more or less make an approximation of what that final increase will be.
What will the COLA increase be in 2025?
As we have discussed, there is no exact number yet, but experts are talking about that we will get a 2.5% COLA for next year’s 2025 check increases. This would mean that for every $100 we collect in 2024 we would get $2.5 more.
On larger checks this will be more noticeable, as the maximum Social Security retirement benefit of $4,873 in 2024 would go to $4,994. This would make that group of retirees eligible for almost $5,000 per month.
The remaining beneficiaries who do not have the maximum check would also get the COLA increase at an equal rate. Considering that it could be 2.5%, we would have $25 more for every $1,000 we usually get.
Who will get the 2025 COLA?
There is no such thing as COLA eligibility. Therefore, any and all beneficiaries who receive a Social Security check today can get the COLA the following January. Thus, there is no United States citizen who will miss out on their benefit increase.
In addition, there is no need to do anything to apply for the Social Security check increase, as it is an automatic process. We don’t have to do anything but wait to see what the COLA will finally be and have it applied directly to our retirement benefit or Supplemental Security Income.