Seniors on Social Security Will Get a Huge Raise in 2023. Here's How Much You Can Expect
Social Security benefits can make or break retirement for many older adults. Millions of seniors rely on their monthly checks to pay the bills, and for some retirees, Social Security is their sole source of income.
For those living on a fixed income, surging inflation over the past year has made retirement more challenging.
Fortunately, seniors could be due for a historic raise in 2023. Here's how much you might receive.
Nearly every year, seniors on Social Security will receive a cost-of-living adjustment, or COLA. This is an annual bump in benefits designed to help your monthly checks maintain their buying power as inflation naturally rises over time.
When inflation is rising faster than average, though, retirees can expect larger COLAs. In general, an average COLA will fall around 2% to 4% per year.
This year, seniors received a whopping 5.9% COLA as inflation began to surge. And in 2023, the raise is almost guaranteed to be even bigger.
Nobody knows exactly what the COLA for 2023 will be just yet, as the Social Security Administration won't release the official number until October.
But a recent report from nonprofit advocacy group The Senior Citizens League projects that it could fall around 9.6%, based on the latest inflation data.