Social Security beneficiaries will see an 8.7% rise in their checks in 2023, the Social Security Administration announced Thursday, as the government rushes to keep up with runaway inflation.
The “cost of living adjustment” offers some solace to senior citizens who have struggled with the shocking price hikes of the last year, which have made every trip to the supermarket or gas station more painful.
It is required by law, to ensure that those who receive Social Security don’t see the value of their checks eaten away by inflation.
This 8.7% rise follows a 5.9% hike for this current year. It’s the largest COLA since 1981, which was the last time the country saw such staggering inflationary pressure.
“The 8.7 percent cost-of-living adjustment (COLA) will begin with benefits payable to more than 65 million Social Security beneficiaries in January 2023. Increased payments to more than 7 million SSI beneficiaries will begin on December 30, 2022,” Social Security said in announcing the rise.
While the COLA may be good news for senior citizens who rely on Social Security checks to get by, it’s also a reminder of the overall pressures the economy is seeing.
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Thursday also brought news that the Consumer Price Index, a key measure of inflation, rose 0.4% in September. That was higher than economists had expected.