BIDEN DID IT - NEW 2025 COLA RAISED ANNOUNCED - SENIORS GETTING $487 INCREASE COMING FOR SSI & SSDI

hey everyone have you ever wondered how much your Social Security benefits will increase in the coming years with inflation economic shifts and policy changes constantly in play predicting these adjustments can feel like trying to solve a puzzle with missing pieces but don't worry today we're going to crack the code on how much your benefits might rise in 2025 we'll dive into expert predictions the magic of COA adjustments and even show you how to use calculators to forecast your future benefits stick around because this is information you'll want to have as you plan for your financial future hey everyone welcome back to stimulus updates your go to channel for the latest news and updates on economic stimulus packages I'm your host Joseph and today we have some exciting developments to share with you before we jump into the predictions for 2025 let's quickly recap what CA is and why it matters CA stands for cost of living adjustment it's designed to help Social Security benefits keep Pace with inflation the Social Security Administration SSA calculates CA based on the Consumer Price Index for urban wage earners and clerical workers CPI W CA is applied annually to ensure that the purchasing power of Social Security benefits isn't eroded by Rising prices understanding CA is crucial because it directly impacts the financial well-being of millions of retirees disabled individuals and their dependents who rely on Social Security historical context one minute to put our 2025 predictions into perspective let's look at recent CA increases 20 2021 1.3% 2022 5.9% the largest increase in nearly 40 years 2023 8.7% another significant jump 2024 3.2% a more modest increase these fluctuations reflect the changing economic landscape particularly the impact of inflation in recent years the substantial increases in 20 22 and 2023 were largely due to high inflation rates during the post-pandemic economic recovery factors influencing 2025 CA 2 minutes now let's explore the key factors that will influence the 2025 COA inflation Trends the primary driver of COA is inflation economists are closely watching inflation rates as they've been Moder ating from the high levels seen in 2021 2022 the federal reserve's actions to combat inflation will play a crucial role economic recovery the pace and nature of economic growth post pandemic will impact inflation and consequently C OA job market strength and wage growth are important indicators to watch Global events International factors like G political tensions trade policies and Global Supply Chain issues can affect domestic inflation Energy prices fluctuations in oil and gas prices significantly impact the CPI W energy costs have a ripple effect on various sectors of the economy health care costs medical expenses are a significant component of senior citizens budgets Trends in healthcare costs will influence the overall inflation rate used for CA calculations policy changes any potential changes to how CA is calculated could affect the 2025 adjustment keep an eye on discussions in Congress about social security reform expert predictions for 2025 CA 3 minutes while it's impossible to predict the exact COA for 2025 this far in advance we can look at what expert experts are saying the senior citizens League forecast this nonpartisan senior advocacy group is known for its COA predictions their early estimate suggests a CA between 2.5% to 3.5% for 2025 they base this on projected inflation rates and economic Trends economic think tanks organizations like the Brookings institution and the Center for budget and policy priorities are projecting moderate inflation for the coming years their estimates generally align with a CA in the 2% to 4% range financial institutions major Banks and investment firms are predicting a gradual stabilization of inflation most forecasts fall in the 2.5% to 3.5% range for 2025 CA government projections the Congressional budget office CBO provides long-term economic projections their latest reports suggest inflation settling around 2.3% annually in the coming years which could translate to a similar COA Social Security trustees report the annual report from the Social Security Board of Trustees provides long-term projections while not specific to 2025 their intermediate projections suggest cus averaging around 2.4% over the next decade it's important to note that these are all educated guesses the actual ca for 2025 won't be announced until October 2024 and it will be based on specific CP I double you data from the third quarter of 2024 potential impact of 2025 CA 2 minutes let's break down what these predictions could mean for beneficiaries average benefit increase the average social security retirement benefit in 2024 is about $1,997 per month a 3% CA would increase this by approximately $57 to $1 1964 for a couple both receiving the average benefit this could mean an additional 1,00 368 per year maximum benefit impact the maximum social security benefit for someone retiring at full retirement age in 2024 is $3,823 per month a 3% COA would increase this by about $115 to $3,936 supplemental security income SSI the federal SSI payment standard is $943 per month for individuals in 2024 a 3% CA would increase this by about $28 to $971 purchasing power the goal of CA is to maintain purchasing power if inflation outpaces the ca beneficiaries may still see a decrease in real buying power taxes and Medicare remember a CA increase can affect your tax bracket and medicare premiums some beneficiaries might see a portion of their increase until next time signing off take care and happy planning