October 17: Average Social Security Check to Increase by $63 per Month
October 17, 2008
The 5.8% increase in the cost-of-living adjustment (COLA), the largest since 1982, will raise the average recipient’s monthly benefit to $1,153 from the current $1,090.
“Social Security has protected four generations against poverty in their golden years,” said Congresswoman Kaptur. “Today, it is a vital lifeline for 57 million Americans.”
Kaptur said the COLA will help buffer senior citizens from the harshest effects of the current economic situation, including higher costs for food and fuel.
Fifty million Social Security recipients will begin seeing the effects of the COLA in their January checks, Kaptur said. Increased payments to more than seven million Supplement Security Income (SSI) beneficiaries will begin on December 31.
Social Security and SSI benefits increase automatically each year based on the rise in the Consumer Price Index from the third quarter of the prior year to the corresponding period of the current year.
Other changes that take effect each January are based on the increase in average wages. Based on that increase, the maximum amount of earnings subject to the Social Security tax (taxable maximum) will increase to $106,800 from $102,000 in 2009.