COLA Increase in 2023: What Are The Key Dates To Receive The First Few Benefits?
Multiple beneficiaries will receive an increase in pension. Plenty of American Social Security beneficiaries will soon get a pension increase along with an 8.7% cost of living increase in 2023. This increase will be the biggest one yet since 1981.
The annual cost-of-living adjustment(COLA) with December benefits goes into effect, although most of the payment won’t be made until next January, reported by the Social Security Administration. Thus, the average benefit will increase from $1681 this year to $1827 in 2023.
The adjustments were made according to the rate of inflation. This year’s levels of inflation are at their highest point so the adjustments are made accordingly. The average Social Security
Benefits were lagging behind inflation by more than $500 this year, estimated by the senior advocacy group Senior Citizens League.
According to a published post by Marca, this means 40% of seniors used up their emergency savings to keep pace with inflation. The 8.7% COLA adjustment in 2023 will help those seniors get by, though it will take time for some of them to regain back their emergency savings.
Payment Dates For Social Security Benefits In 2023
The ones who will receive their Social Security payment on January 3 are the people who applied for Social Security before May 1997 and the ones who receive both Social Security and Supplemental Security Income (SSI). On December 30 this year, SSI recipients will receive their first payment of 2023.
People whose birthday falls between the 1st and 10th of any month will receive their Social Security payment on the second Wednesday of the month, which is January 11.Those who are born between the 11th and 20th of any month will get their payments on January 18, the third Wednesday of the month in 2023.
If they’re born between the 21st and 31st, they will receive their payment on the fourth Wednesday of each month, with the first COLA of 2023 arriving on January 25.