May 18, 2024

Westside People

Complete News World

Social Security benefits will rise by more than $140 a month in 2023

Social Security benefits will rise by more than $140 a month in 2023

Xaviernau | E + | Getty Images

Social Security benefits will rise by more than $140 per month on average in 2023, as the cost-of-living adjustment begins at 8.7%.

Exactly how much the roughly 70 million Americans dependent on the income program will experience will vary.

More than 65 million Social Security recipients will see an increase in benefits checks in January, while more than 7 million Supplemental Security Income recipients will see larger payments starting December 30.

More personal finance:
IRS: Here are the new 2023 income tax brackets
How much can you earn and still pay 0% capital gains taxes in 2023
The IRS raised the estate tax exemption to $12.92 million for 2023

Average retiree benefits will increase by $146 per month – to $1,827 in 2023 from $1,681 in 2022. Meanwhile, average disability benefit will rise by $119 per month – to $1,483 in in 2023 from $1,364 in 2022.

Supplemental Security Income, or SSI, beneficiaries will see the standard single monthly payment increase by $73 per month, to $914 per month in 2023 from $841 this year.

The Social Security Administration will provide notifications in the coming months that include your new monthly benefits for 2023.

To see how much you can get sooner, you can calculate the change yourself:

Multiply your net Social Security benefits by 8.7%, 2023 cost of living adjustment.

For a more accurate reading, add your Medicare Part B premium to your net Social Security benefits, then multiply that amount by 2023 COLA, recommends Joe Elsasser, a certified financial planner, founder and president of Covisum based in Omaha, Nebraska, a provider of warranty claim software social.

See also  Levi Strauss & Co. Lay off approximately 150 employees from its San Francisco headquarters

This is unlike other years, Elsasser said, where it’s usually more appropriate to deduct your Medicare Part B premium.

Medicare Part B premium payments, which cover outpatient care, usually come directly from Social Security benefit checks.

These will be the installments About 3% less in 2023with the standard monthly premium dropping to $5.20 per month, to $164.90 in 2023 from $170.10 in 2022.

Those with higher incomes, based on tax returns two years ago, will pay more than the standard monthly rate.

Income-related settlement amounts will start in 2023 at $97,000 for single filers and $194,000 for married couples filing jointly.