As a result of this year’s COLA, 70 million Americans will receive a bump in their monthly Social Security benefits of up to $1,657 starting this month. The recipients will receive checks based on the month of their birth. As a result, recipients of this service ought to be knowledgeable about the various days it will take before the stimulus fund is sent.
Increase In Benefit
Despite the ongoing supply chain crisis, the number of people claiming unemployment benefits has continued to rise across the country since January 1. It has been the highest annual increase in four decades. The average monthly payment for retired workers’ spouses will rise from $794 to $841, thanks to the increase of $47. Additionally, employees with disabilities will see an increase of $75 in their take-home pay, from $1,253 to $1,358 per month, as per The Sun.
According to MARCA, Elders who got Social Security benefits and are enrolled in COLA are the only ones eligible for this payment. These funds are earmarked for retirees as a result. These checks are expected to help the recipients avoid losing money as a result of inflation.
The Social Security Benefit
Workers and employers contribute to Social Security, the federal government’s most extensive program. Retirees, people with disabilities, and the families of deceased workers are the primary beneficiaries of Social Security payments. According to Washington Post, approximately one-quarter of older Americans in the United States receive more than 90 percent of their retirement income from the program.
Last year the Social Security Administration (SSA) also confirmed a rise in the cap on the number of wages subject to Social Security tax. This will increase from $142,800 to $147,000 as the average wage rises. High-earners will have to pay a more significant percentage of their income in taxes due to this change.
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