Cola Social Security increase 2022 update – $200 social security and military retirement cash revealed – do you qualify?

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About 72million Americans will see a 5.9 percent Cola increase in January 2022, including retired military members.

Based on the increase in the Consumer Price Index, there will be a 5.9 percent Cost of Living Adjustment (COLA) for most retired members of the military.

Moreover, those under the Survivor Benefit Plan annuities, and the Special Survivor Indemnity Allowance (SSIA), will also receive a raise, effective December 1, 2021.

The average cost of living allowance – or Cola, as it is commonly called – will increase by $92 per month from the start of 2022. But the exact amount for each recipient varies, according to CNBC.

Social Security Disability Insurance (SSDI) recipients will also benefit from the 5.9 percent increase, with the average monthly payments going up from $1,282 to $1,358 a month – $76.

The huge spike is due to a burst in inflation as the economy struggles to shake off the drag of the coronavirus pandemic. With the increase, the federal benefit will be at its highest point since 1982.

The estimated average Social Security payment for a retired worker will be $1,657 a month next year. A typical couple’s benefits would rise by $154 to $2,753 per month.

Cola affects household budgets for about 1 in 5 Americans. That includes Social Security recipients, disabled veterans, and federal retirees, nearly 70million people in all.

Read our Cola 2022 increase live blog for the latest news and updates…

  • Issues with COLA raise, continued

    The funds are running out because the Social Security Administration doesn’t collect enough taxes to cover what it pays out to claimants.

    If trust funds are depleted without reform, the funding is expected to only be enough to pay 76 percent of what the benefits are now.

    If this were to happen in 2022, then the average pensioner could find their checks reduced to about $1,259 per month.

    And that would make things even tougher for seniors who keep losing their purchasing dollar.

  • Issues with COLA raise

    The trust that funds Social Security benefits could run out of cash a year earlier due to the COLA increase.

    The Committee for a Responsible Federal Budget has projected that this could happen in 2032 following the hike, reports Fox Business.

    It comes after officials recently estimated that funding will run out in 2033 – a year earlier than previously predicted.

  • Problems with the COLA

    The trust that funds Social Security benefits could run out of cash a year earlier due to the COLA increase.

    The Committee for a Responsible Federal Budget has projected that this could happen in 2032 following the hike, reports Fox Business.

    It comes after officials recently estimated that funding will run out in 2033 – a year earlier than previously predicted.

  • Inflation triggers affect social security, continued

    According to the Senior Citizens League, healthcare costs and housing costs have gotten 145 percent and 118 percent more expensive, while COLA’s have increased Social Security checks by just 55 percent since 2000.

    Social Security claimants have lost 32 percent of their purchasing power, according to the study by the non-partisan group.

  • Inflation triggers affect social security

    Typically, inflation triggers when the supply doesn’t meet the demand – resulting in rising prices across the economy.

    Everything in necessities from food to gas has gotten much more expensive.

    Furthermore, the Congressional Research Service projects Medicare Part B premiums will spike from $148.50 to $157.70 per month.

  • Inflation takes its toll

    Inflation has become much worse in recent months, with Americans looking to return to normal life.

    The latest data on inflation from the Bureau of Labor shows that consumer prices rose 5.4 percent in the year to September – a troubling trend for seniors relying on Social Security checks.

    Typically, inflation triggers when the supply doesn’t meet the demand – resulting in rising prices across the economy.

    Everything in necessities from food to gas has gotten much more expensive.

  • Social Security changes: credit-earning threshold hike

    If you were born in 1929 or later, you must earn at least 40 credits over your working life to qualify for Social Security benefits.

    This is set at a maximum of four per year.

    The amount it takes to earn a single credit goes up slightly each year – and it’ll increase from $1,470 in 2021 to $1,510 in 2022 – a hike of $40.

    Meanwhile, the number of credits needed for disability depends on your age when you become disabled.

  • Social Security changes: workers to pay more taxes

    Alongside the COLA raise, the SSA also confirmed that the maximum amount of earnings subject to Social Security tax will increase in January.

    This will go up from $142,800 to $147,000, which comes following an increase in average wages.

    It means workers on high salaries will be paying tax on a larger proportion of their earnings.

    We explain why the COLA increase is bad news for retirees and future claimants.

  • Social Security changes: raise for disabled Americans

    The 5.9 percent COLA increase also applies to Social Security Disability Insurance (SSDI).

    In fact, the average monthly benefit for disabled workers will go up by $76 – from $1,282 to $1,358 a month.

    SSDI aims to provide relief for those with disabilities who can no longer work, or at the same capacity as once before.

    The benefit aims to replace a portion of the qualifying worker’s salary.

  • Social Security changes: raise for retirees

    In October, the Social Security Administration (SSA) confirmed the cost-of-living adjustment (COLA) will increase by 5.9 percent in January.

    It means the average 2022 check for a retired worker will increase by $92 – from $1,565 to $1,657 a month.

    Meanwhile, a typical couple’s benefits will rise by $154 – from $2,599 to $2,753 per month.

    Social Security claimants are usually notified by mail starting in early December about their new benefit amount.

  • Social Security changes: earnings limit increase

    Social Security claimants can expect a number of changes to their benefits next month.

    If you work while collecting Social Security benefits, then your benefits may be reduced, depending on how much you earn.

    If your income is more than $18,960 during 2021, the SSA will withhold $1 for every $2 you earn over the limit if you’re below the full retirement age.

    However, starting from 2022, this threshold will increase to $19,560.

    If you reach full retirement age in 2022, you’ll be able to earn $51,960 next year – up by $1,440 from the 2021 annual limit of $50,520.

    In that event, $1 is withheld for every $3 earned over that threshold.

    If you were born in 1960 or later, your full retirement age is 67. For others, it’s 66 and a specific number of months.

  • Spousal benefits

    If you have not worked or do not have enough Social Security credits to qualify for your own Social Security benefits, you may be able to receive spousal benefits.

    The spouse of a retired worker can receive up to half of their spouse’s benefits.

    To qualify for spouse’s benefits, you must be either at least 62 years of age or any age and caring for a child entitled to receive benefits on your spouse’s record and who is younger than age 16 or disabled.

    If you choose to begin receiving spouse’s benefits before you reach full retirement age, your benefit amount will be permanently reduced.

    The spousal benefit continues until one spouse dies, after which the survivor may be eligible for survivor benefits.

  • Benefits for children

    A child with a disability age 18 or older may get Social Security benefits when a parent gets retirement or disability benefits.

    The child’s disability must have begun before age 22.

    Dependent child benefits begin when a retired worker’s benefits start. They end when the child turns 18.

    The disabled person may qualify for continuing benefits as an adult who is unable to work.

    Benefits paid for your child will not decrease your retirement benefits.

    The child may also get benefits if a parent dies.

  • Disability benefits

    The Social Security Disability Insurance (SSDI) program pays benefits to you and your family if you worked long enough and recently enough.

    You must have paid Social Security taxes on your earnings before becoming disabled.

    You must also meet certain requirements defined by the SSA, including a disability that has lasted or is expected to last at least one year or result in death.

    The benefit is for life unless the SSA feels you no longer qualify.

  • Survivor benefits

    When you die, members of your family could be eligible for benefits based on your earnings.

    You and your children also may be able to get benefits if your deceased spouse or former spouse worked long enough under Social Security.

    A widow or widower can receive benefits if they are age 60 or older.

    They can start receiving your benefits if they are age 50 or older and disabled.

    They can also receive your benefits at any age if they are caring for a child of the deceased who is younger than 16 and disabled.

    Also, a one-time payment of $255 can be made only to a spouse or child if they meet certain requirements.

    Survivors must apply for this payment within two years of the date of death.

  • Retirement benefits

    The age you begin receiving retirement benefits affects how much your monthly benefits will be.

    You can begin getting Social Security retirement benefits as early as age 62, but claiming them that early will reduce your benefits by as much as 30 percent.

    If you wait until your full retirement age (66 for most people), you will get full benefits.

    You also can wait until age 70 to start your benefits. The SSA will increase your benefit because you earned “delayed retirement credits.”

    The retirement benefits are then paid out until you die.

  • Average monthly payment for couples

    The average Social Security benefit will increase by about $154 per month for couples in 2022, according to the Social Security Administration (SSA).

    The increase will bring the average monthly payment for couples from $2,599 to $2,753.

  • Help for recipients, continued

    Financial assistance not listed below may affect SSI eligibility or payment amount, according to the Social Security Administration.

    Find more information about the programs offered on the administration’s Emergency Assistance for Homeowners and Renters webpage.

  • Additional help for recipients

    The Social Security Administration is informing recipients that help is available for homeowners and renters during the coronavirus pandemic.

    Financial help can affect eligibility for Supplemental Security Income (SSI) or monthly SSI amounts.

    However, emergency financial assistance received from the following programs and funds will not count against a recipient’s eligibility or payment amount:

    • Emergency Rental Assistance Fund
    • Emergency Assistance for Rural Housing/Rural Rental Assistance
    • Homeowner Assistance Fund
    • Housing Assistance and Supportive Services Programs for Native Americans
  • COLA notices, part two

    Free Social Security online accounts allow you to receive and store COLA notices online, and opt out of receiving notices by mail if you’d like.

    The SSA warned that no government agency or reputable company will solicit personal information or advanced fees for services in the form of wire transfers or gift cards

  • COLA notices are going out

    The SSA is mailing COLA notices throughout the entire month of December.

    It is possible that your friend or family member will receive their notice in the mail before you.

    The SSA is asking you to wait until January before contacting SSA about your mailed notice.

    Alternatively, you can check your new benefit amount online by using the message center in your Social Security account

    “You can access this information in early December prior to the mailed notice,” the SSA wrote in a blog post. 

  • When did COLA begin?

    Cost-of-living adjustments began when legislation was passed in 1973.

    The intention is to use COLAs for Social Security and Supplemental Security Income (SSI) benefits to keep up with inflation rates, according to the Social Security Administration.

  • How long does it take to get benefits?

    Social Security benefits are paid out to tens of millions of elderly Americans and those with disabilities every year.

    There are three different types of Social Security benefits: retirement, survivor, and disability.

    It generally takes the Social Security Administration (SSA) about six weeks to process your application and start your benefits.

    However, this time period can vary for a couple of reasons.

  • January COLA raise for retirees

    In October, the Social Security Administration (SSA) confirmed the cost-of-living adjustment (COLA) will increase by 5.9% in January.

    It means the average 2022 check for a retired worker will increase by $92 – from $1,565 to $1,657 a month.

    Meanwhile, a typical couple’s benefits will rise by $154 – from $2,599 to $2,753 per month.

    Social Security claimants are usually notified by mail starting in early December about their new benefit amount.

  • Schedule of benefits for 2022

    A 2022 schedule of benefit payments reveals when you should expect to receive yours.

    Social Security benefits will be released on a schedule according to the claimants’ date of birth.

    Those with a birthday between the 1st and 10th of the month can expect their first payment on the second Wednesday of the month, which is January 12.

    The third Wednesday of the month is reserved for those with a birthday between the 11th and 20th, which is January 19.

    Those with a birthday between the 21st and 31st can expect to receive their payment on the fourth Wednesday of the month, which is January 26.

    This schedule holds steady through the 2022 calendar year.