Because of rising prices and inflation in the United States, the median cost of living monthly stipend will increase to compensate for the rising costs of goods and services.
The Consumer Price Index (CPI) will rise by $92 each month starting in January 2022.
As part of the increase in the cost of housing allowance, beneficiaries will begin receiving $1,104 monthly checks in January 2022.
According to CNBC, the actual amount given to each recipient varies. The massive increase can be attributed to a jump in inflation as the economy battles to recover from the effects of the coronavirus outbreak.
The government benefit will reach its greatest level since 1982 due to the increase. Eight million SSI users will begin receiving additional benefits on December 30 due to a 5.9 percent Consumer Price Index (CPI) hike in January 2022, which would affect around 72 million Americans.
The last time COLA came close to reaching this level was in 2009, when it reached 5.8 percent.
The Consumer Price Index (CPI) impacts the budgets of approximately one in every five Americans.
Social Security beneficiaries, disabled veterans, and government retirees are included in this group, totaling about 70 million individuals.
Payment growth for disabled Americans
Those eligible for Social Security Disability Insurance (SSDI) will also benefit from the 5.9 percent increase in the Consumer Price Index (CPI).
Must read: Stimulus Check Update: This IRS Suggestion Helps Ensure You Received All Your Stimulus Money
Accordingly, the average monthly payment for disabled workers will increase by $76 per month, from $1,282 to $1,358 per month in this situation. SSDI offers financial assistance to people with disabilities who cannot work or work at a reduced capacity.
According to the benefit’s terms, it is intended to replace a portion of the eligible worker’s wage.
Payments limit to expand.
It is possible that those who work while claiming Social Security benefits would get less in payments, depending on the amount of money they make.
If your income exceeds $18,960 in 2021, the Social Security Administration (SSA) will withhold $1 for every $2 you earn above the limit if you are under the full retirement age.
However, by 2022, this amount will have increased to $19,560. You’ll be eligible to earn $51,960 in your first year of retirement if you reach full retirement age in 2022, an increase of $1,440 over the previous year’s cap of $50,520.
In that case, $1 is withheld for every $3 earned more than the level mentioned above.
For those born in 1960 or later, the full retirement age is 67 years old. Others have 66 and a particular number of months as their starting point.
When will payments come each month?
The payments will be delivered by your birthday.
- If your birthday comes between the 1st and 10th of the month, your money will be deposited on the second Wednesday of each month.
- If your birthday comes between the 11th and 20th of the month, your money will be deposited on the third Wednesday of each month.
- If your birthday falls between the 21st and 31st of the month, your money will be deposited on the fourth Wednesday of each month.
The Social Security Administration has released the payment schedule for 2022 and beyond.
Stay tuned with us for more news and info!