Certain Americans are in for a financial windfall as they are set to receive two Social Security payments this week. This occurrence is a result of specific regulations governing retirement and disability benefits. Usually, the Social Security Administration disburses payments weekly to beneficiaries, determined by their birthdates. However, this week presents a rare scenario where some recipients will receive payments based on both retirement and disability benefits.
The distribution schedule for Social Security payments typically revolves around the Wednesday of the month corresponding to the recipient’s birthdate. For those who became eligible for benefits on or before May 1997, payments consistently arrive on the third day of each month.
Social Security Payments in March 2024
For the rest, the birthdate determines the payment date. Individuals born between the 1st and the 10th of the month receive payments on the second Wednesday, which, in this case, was February 14. Those born between the 11th and 20th saw benefits on February 21 (the third Wednesday), while those born later in the month will receive payments on February 28. Adding to the financial influx, Social Security recipients can anticipate further payments at the end of this week due to March payments.
Beneficiaries who qualify for both Social Security and Supplemental Security Income (SSI) will receive SSI payments on March 1 and Social Security checks on March 3. Those who have been receiving payments since 1997 or earlier and individuals residing abroad can expect their March benefits on March 1. The remainder of the March schedule will follow the conventional second, third, and fourth Wednesday pattern based on birthdays.
The COLA Adjustment Applying This Year
In terms of monetary adjustments, this year’s Cost of Living Adjustment (COLA) brought about a 3.2 percent increase in Social Security benefits. Notably, the highest-earning beneficiaries who retired at age 70 will receive payments of $4,873, while the average monthly benefit is $3,822. Those who retired at the earliest age of 62 will see $2,710 a month.
While there is an average increase of $50 per month across the board due to COLA, some seniors express dissatisfaction, especially when compared to the substantial 8.7 percent COLA observed in 2023. Critics argue that the Social Security Administration should place more emphasis into helping the retirees and beneficiaries not to lose purchasing power.
Based on the consumer price index report for January released on Tuesday, The Senior Citizens League, a nonpartisan and nonprofit seniors advocacy group, predicts that Social Security’s cost-of-living adjustment (COLA) for 2025 is anticipated to be 1.75%. This projection represents a decrease compared to the 3.2% adjustment seen this year and the significant 8.7% adjustment in 2023, which marked the largest increase in 40 years. Furthermore, the 2025 forecast falls below the Congressional Budget Office’s estimate of 2.5%.
It’s worth noting that the Congressional Budget Office employs a different calculation methodology compared to the Senior Citizens League. However, Mary Johnson, the league’s Social Security and Medicare policy analyst, who conducts these calculations monthly, emphasizes that inflation rates are expected to decline from the levels observed in 2023, consequently leading to a lower COLA for 2025.