Social Security Disability benefits are a crucial part of millions of American’s incomes. Each year, benefits amounts are examined to ensure they are in line with the cost of living using what is known as a cost of living adjustment (COLA).
UPDATED Oct 2023: Social Security Disability COLA 2024 Estimated to be 3.2%.
Just a few weeks ago, the Senior Citizens League estimated the 2024 Social Security Disability cost-of-living-adjustment (COLA) to be 3.2%. This is significantly lower than what we saw in the last two years.
The last two COLAs were historical increases of 8.7% in 2023 and 5.9% in 2022.
Although the 3.2% estimate seems low, and it is compared to 2022 and 2023, the 2024 COLA estimate is still higher than what we have generally seen over the last 23 years. Since the year 2000, the average COLA is 2.6%. Arguably this number is skewed due to the extraordinary increases seen in the last two years as the average for the first 20 years of this century was merely 2.1%.
The Social Security Disability lawyers at Newlin Disability recently looked into whether or not the 2016 Social Security COLA will result in a benefits increase, and the results look bleak.
According to the Los Angeles Times, it looks as though there will be no benefits increase for Social Security recipients in 2016. This will be the third time since 2010 there hasn’t been a rise in Social Security payments.
You may be wondering why benefits aren’t increasing in 2016. Experts explain lower gasoline costs are to blame. Energy and fuel prices are a key factor in the equation used to determine the COLA each year and the steady decrease in those costs over the past several months had a huge impact on the COLA.
With benefit payments likely staying at the same rate for another year, it’s more important than ever before to be aware of how much you’ve earned in Social Security benefits, as well as what your payments should be. Be sure to visit our website to learn more about how to calculate your Social Security Disability benefits. Doing so can help ensure you get the benefits you’re owed.