Are you an United States or Philippine citizen? Here’s some good news to cheer yourself up for the new year. The Covid-19 epidemic caused significant economic slowdowns in nearly all of the countries, including Mexico and the Philippines.
But, these countries have begun a process of recovery in order to revive their slow economies. It faces challenges. Let’s look at what Social Security Benefits increase 2023 economists expect for the US.
Get the latest COLA 2023 news:
The Cost of Living Adjustments or COLA is an increase to Social Security and SSI in order to offset rising inflation.
Although the COLA 2023 actual numbers will not be available until spring, there are some predictions based on current inflation trends. These numbers have not been as high since 1981. Yes, that’s right! The COLA will rise by 10.5%. This marks the first time in history that these figures have reached double digits since 1981.
Social Security Benefits to Increase 2023
Nonpartisan Senior Citizens League attributed 10.5% to rising inflation to the COLA 2023. This would mean that the Social Security premiums for average retirees would rise by $175.10 each month.
Citizens will be receiving the highest level of Social Security benefits for four decades due to record high inflation. As such, Social Security recipients, including federal retirees and disabled veterans, might see an approximate $175 increase in their cheques starting next year.
But, these are only our expectations for the Social Security Benefits Enhancement 2023 in the event that current trends continue. This trend may change if there is deflation or no inflation.
The Special Minimum benefit program, which provides approximately $900 in monthly Social Security benefits, will see a significant increase in the income of the lowest-income earners.
Cost of Living Adjustments refers to the percentage of Social Security increases that are necessary to compensate for the rising costs of living.
COLA figures are dependent on the CPIW from the prior year’s 3rd quarter to the current 3rd quarter. So, the Social Security Benefits Enhancement 2023 will be announced later this year.
CPI-W (Consumer Price Index for Urban Wage Earners and Clerical Workers) is what COLA stands for. Social Security recipients do not receive a COLA if there is no CPIW increase. In the United States, the COLA is 5.9% for the year 2022.
For the Cost of Living Adjustments in 2013, there are many forecasts. Please remember that these predictions are just that and could change depending upon future circumstances. However, the Social Security Benefits Enhancement 2023 would be huge news for beneficiaries, provided that the figures are correct.