The Social Security cost-of-living adjustment may be 3.2% in 2024, according to one analyst — in stark comparison with the 2023 rate, which was close to 9%.
The Senior Citizens League announced its latest estimate on Wednesday following the release of consumer-price data from August. The estimate would mean an additional $57.30 per month for a retiree receiving the average monthly benefit of $1,790, said Mary Johnson, the Social Security and Medicare policy analyst at the Senior Citizens League.
Johnson tracks consumer-price data and potential Social Security COLAs every month. In both June and July, the estimate was 3%.
The Social Security Administration is expected to announce the official COLA sometime next month.
Social Security recipients saw an 8.7% uptick in their benefits from the COLA this year, the largest increase in more than 40 years. The average over the last 20 years was 2.6%, according to the Senior Citizens League.
Even with such a big bump in 2023, many retirees worry about paying their bills with the benefits they get. In a recent Senior Citizens League survey, 54% of older Americans said the COLA didn’t keep up with inflation, and the same number of respondents said their household expenses went up by more than their benefit increases last year.