Every year Social Security checks get an increase thanks to the Cost of Living Adjustment (COLA) and in 2025 we will see this increase, as usual. However, it is true that each citizen will get a corresponding increase. That is, there is not an equal dollar amount increase for everyone.
Depending on the amount we currently collect in 2024 we may have a higher or lower increase. And not only that, but we have to check well the dates when we will know what the increase will be in 2025 and when this new increase in benefits will take effect.
Undoubtedly, Social Security checks can be very helpful to citizens, but inflation means that the U.S. Government has to increase those checks. Therefore, thanks to the COLA, we find that retirees can cope with that inflation.
Key days for Social Security increases in 2025
As we have already discussed, there are two key days in order to get everything related to our 2025 Social Security increase under control. The first is the day when we will have the announcement of the final 2025 COLA. The second day is the time when that COLA will take effect on benefits directly.
Thus, we need to watch for:
- The day of the 2025 COLA announcement for Social Security: Although there is no exact date yet, what is certain is that it is always in mid-October when the U.S. Government announces outright what the increase in benefits will be next year.
- The day the COLA 2025 is applied to retirement checks: This will be sooner than it may seem. While it is true that the payments with the increase are in 2025, it is also true that the first of these payments will arrive in 2024. The reason for this is very simple: The first payment with the added COLA will be Supplemental Security Income and the January payment will arrive early on the 31st of December.
So, given that general predictions are talking about a 2.5% increase in Social Security checks, we may be looking at a maximum retirement check close to $5,000. This is only for the maximum checks, since the rest only have to add 2.5% to the payment they currently collect to have the final figure.