The Social Security Administration has announced the COLA for 2025 at 2.5%. The Social Security recipients can expect an increase in the SSI, and other benefits payments by 2.5%, which will boost the payment with a $50 based on the current inflation. The Social Security recipients can check the full SSI payment increase detail here.
SSI $50 Increase 2025
On Thursday, the Social Security Administration unveiled the Cost-of-living adjustments for 2025 at 2.5% after BLS declared the September Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). The Social Security Administration calculates the COLA increase every year to ensure the payments are enough for the recipients to manage their expenses well with the rising living costs.
With a 2.5% set COLA increase, the Social Security payments will boost up to $50. The administration says the average monthly payments of retirees will increase to $1976 from $1927 in 2025. The Supplemental Security Income for people with disabilities and older adults who have little income or resources would also see a boost in their Social Security payments.
This year, we have seen the Social Security payments increase by 3.2% which was far from the 2023 increase of 8.7%. The 2025 increase is the lowest since 2021, however, the increase of $50 in Social Security and SSI payments will help millions of people whose lives depend on Social Security assistance.
- Social Security Benefits 2025
- Social Security Direct Deposit Dates 2024
Why is the COLA for 2025 the lowest since 2021?
The Social Security payments COLA increase depends on the average CPI-W of the third quarter of the current year and the third quarter of the previous year to ensure the increase boosts the purchasing power of the recipients. The latest September 2024 CPI-W has raised by 0.2% month-over-month and 2.4% year-over-year, meaning inflation is continuing but at a slower rate.
The September rate is a little higher than the analysts expected but it shows progress to the federal inflation target of 2%. The September inflation changes are not as expected, it has fallen since the 2022 rates, which says a lot about the 2025 COLA increase being the lowest since in 2021 rise.
As per the records, the COLA increase in 2022 was 5.9% from 2021 1.3%, followed by 2023 8.7%, 2024 3.2%, and now, 2.5%. When inflation lowers the cost of living for Social Security recipients also increases at a slower rate, the lowest COLA may have disappointed the Social Security recipients, but it should be noted that even with the smaller changes the benefits will be adjusted accordingly to ensure you have enough money.
What will be the SSI payout after the COLA 2025?
The Social Security SSI payments depend on your income, things you own, living situation, and other factors, so the payment for each recipient may differ, however, the maximum payment can be calculated for the SSI recipients.
The SSI recipients are categorized as individuals and couples, in 2024 with the 3.2% increase the payment for individuals is $943, and for couples $1415. Now, with the 2025 COLA increase the monthly payment for individuals would increase to $967 and for eligible couples $1450.
The annual SSI payment for individuals will be $11,604.53 from $11321.49, and for couples, it will rise to $17,404.87 from $16,980.36. The pay for essential persons who have been caring for disabled persons who receive SSI and living with them since 1973 will also see a boost in their monthly payment up to $484 and an annual payment of $5815.57.
When will be the increased SSI payment effective?
The Social Security payments hike due to the COLA increase will be effective from January 2025, however, the SSI recipients can see the increase in their payment from 30 Dec 2024.
The Social Security Administration processes SSI payments on the first day of the respective month, however, if the payday falls on a weekend in public holiday, the authority shifts the payment earlier on the working day.
So, due to the New Year Holiday, the Supplemental Security Income recipients will receive the increased January 2025 payment on 31 Dec 2024. The SSI recipients can mark their 2025 payments based on the SSA 2025 payment calendars:
| SSI Payment Month | Dates |
| January 2025 | 31 Dec 2024 |
| February 2025 | 31 Jan 2025 |
| March 2025 | 28 Feb 2025 |
| April 2025 | 01 Apr 2025 |
| May 2025 | 01 May 2025 |
| June 2025 | 30 May 2025 |
| July 2025 | 01 July 2025 |
| August 2025 | 01 August 2025 |
| September 2025 | 29 August 2025 |
| October 2025 | 01 Oct 2025 |
| November 2025 | 31 Oct 2025 |
| December 2025 | 01 Dec 2025 |
The SSI recipients may receive double payments in the same month due to weekends or public holidays, so the recipients should manage their payments well to avoid any financial stress.
Who receives the federal SSI payments?
The US people who meet the following eligibility requirements receive the SSI from the Social Security Administration:
- You have disability or blindness or attained the age of 65 or older
- You are a US citizen living in any of the 50 US states, or District of Columbia, or the Northern Mariana Islands.
- You are incapable of working and earning enough income due to your condition.
- You meet the income and resource limit of Social Security to receive the SSI payments.
- Non-citizens can also receive SSI payments if they meet the qualified non-citizen eligibility for SSI.
- The essential person who has been caring for or living with the SSI beneficiary since Dec 1973 and has never received the SSI benefits would receive the essential person payment under SSI.
The SSA has announced the COLA increase for 2025 by 2.5%, the recipients can expect an increase of $50 in their existing Social Security and SSI payments. The SSI recipients can expect an increase in their payment from the 30 Dec 2024 payment of January 2025.