SSI Beneficiaries To Receive the Biggest COLA Benefits

The first 8.7% cost-of-living adjustment check for recipients of Supplemental Security Income is anticipated to arrive in just over two weeks, at the end of December. It is an additional payment for December; the highest adjustment SSI beneficiaries will receive in four decades. 

Highest COLA Payment 

Beginning in January, bank deposits and Social Security checks will include the largest cost-of-living adjustment in forty years. The U.S. economy started to experience inflation this year that is at a level not seen in decades, prompting an 8.7% COLA increase, and the timing will have also benefited Social Security recipients. 

The 12-month inflation rate reached 9%, 8.6%, and 8.5%, respectively, in July, August, and September, the official COLA measurement months.

The Bureau of Labor Statistics reported Tuesday that wage earner inflation dropped to 7.1%, the lowest level in more than a year. Except for SSI payments, Social Security benefits are still taxable, and inflation is also causing changes to the tax brackets, a source posted. 

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Recipients Must Know This Information

The first day of 2023 falls on a holiday and a weekend, so the government sends the checks on the following business day, in this case, a Friday. As a result, recipients will receive a payment adjustment on Dec. 30 rather than their January 2023 check. Those who receive SSI and Social Security benefits will only see an increase in SSI in December, and the Social Security benefits increase will start on Jan. 3, Tuesday.

Payment will be made on the second Wednesday of the month if the recipients’ birthdays fall on the first through the tenth of the given month. So anyone whose birth date falls within this initial range can anticipate receiving their first payment on Jan. 11.

The payment will be made on the third Wednesday of the month for recipients whose birthdays fall between Nov. 11 and 20. The first payment of the new year will be due to this group on Jan.18. The final group will receive payment on the fourth Wednesday of each month, which means the first payment for 2023 will be made on Jan. 25.