A new Cost of Living Adjustment (COLA) is made by the US Government every year through the Social Security Administration for people who get Supplemental Security Income (SSI) or are retired. In fact, it’s what SSA does to fight rising prices. This way, people who get bigger payments can keep their buying power.
Without a doubt, millions of Americans would have trouble paying their bills if they didn’t get a COLA raise from Social Security in 2025. People with low wages and people who get SSI are most at risk in this situation. So, COLA is a comfort because it helps keep your finances stable. Up to now, there have only been predictions.
COLA – Buying power increased for SSI
Social Security payouts that increase by 2% each year help retirees and disabled people (including blind people) who have low incomes. If they get more money for each monthly payment, they can:
- Deal with soaring prices and inflation better
- Have a similar buying power
- If you get Supplemental Security Income and retirement or SSDI you get an increase in both benefits
- First recipients to enjoy the 2025 COLA increase in their payments
A COLA increase of about 2.5% will help people who are still eligible and get SSI payments in 2025. In the Senior Citizens League, that is the most recent prediction that can be made. You can trust their prediction because they were right about the most recent COLA increases.
Understanding the First SSI payment that Social Security scheduled for 2025
Many people who get Social Security will have to wait until January to see their monthly payment go up because of COLA, but people who get SSI won’t have to wait. On December 31, the Cost of Living Adjustment (COLA) for SSI will be due.
When the government is closed, like on New Year’s, Social Security doesn’t send money. That is why the payment for Supplemental Security Income with the 2025 COLA raise needs to be sent on December 31, 2024, the last business day before the payment is due.
2025 Payment schedule for SSI from January
Supplemental Security Income checks are usually sent out on the first of every month. In February and March, this won’t happen. Checks for February and March will be sent out on January 31 and February 28. SSI will be on the first in April, May, July, August, October, and December. The rest, on the business day before.
What to expect from SSI
With only a 2.5% COLA raise, people who get Supplemental Security Income won’t be getting a big boost like they did in 2023 or 2022. The biggest gain could be about $966, which is an extra $23. The biggest rise that people can expect.