The Supplemental Security Income (SSI) programme will experience a $288 increase starting next year, thanks to the Cost of Living Adjustment (COLA). This adjustment, designed to offset the effects of inflation and preserve the purchasing power of recipients, is a key measure to ensure that people who depend on SSI can continue to meet their basic needs. Below, we look at what this increase means and how it will impact beneficiaries.
This increase is particularly relevant for older people and those with disabilities, as many of them live on fixed and limited incomes. SSI recipients often rely on these funds to cover essential expenses such as food, rent and medicine. Therefore, the $288 increase will help alleviate the economic hardship of this vulnerable group in a context of ongoing inflation.
What is SSI and who benefits from the increase?
SSI is a federal programme designed to provide financial support to low-income people who have a disability, are blind, or are 65 or older. Unlike other Social Security benefits, SSI does not require contributions to the system, but is based on financial need. For SSI recipients, this $288 increase in their annual payments, due to the COLA, represents a significant relief from the rising cost of living in areas such as housing, food and health care.
The COLA, which is calculated based on the Consumer Price Index for Urban Workers (CPI-W), seeks to adjust SSI payments for increases in the cost of goods and services in the economy. This year, with the COLA increase, recipients will see this adjustment reflected in their monthly checks, which will improve their ability to meet day-to-day living expenses.
Impact of the $288 increase on monthly SSI payments
The $288 increase in SSI, which represents an annual adjustment, means that recipients will get approximately $24 more per month. While this figure may seem modest, it has a significant impact for those who rely on limited income to meet their daily needs.
COLA increases in previous years have been instrumental in maintaining the purchasing power of SSI recipients, especially in times of high inflation. While the $288 increase does not eliminate the economic hardship faced by many of these individuals, it is an important step in ensuring that their income remains in line with the current cost of living.
Eligibility requirements to get SSI
In order to qualify for SSI, certain criteria set by the Social Security Administration (SSA) must be met. The main requirements include:
- Limited income: Applicants must have low and limited earned and unearned income (e.g. government helps or pensions).
- Disability status or age: Applicants must be over 65, or have a disability that prevents them from working on a regular basis. Blind persons are also eligible.
- Nationality or immigration status: Generally, beneficiaries must be U.S. citizens or lawfully present aliens with certain additional requirements.
- Limited resources: A person’s assets (money in bank accounts, property, etc.) must not exceed certain limits, which are $2,000 for individuals and $3,000 for couples.
Meeting these requirements is essential to qualify for SSI, a programme that remains a lifeline for millions of people with limited resources and special needs in the United States.