Detailed Analysis on Whether You Are Eligible to Receive $1,261 Stimulus Checks in February 2022
What is the Cost Of Living Adjustment (COLA) is all About?
Cost-of-living adjustments refer to increases in benefits and wages to offset inflation.
The Consumer Price Index for Urban Wage Earners and Clerical Workers is used to calculate the Social Security COLA.
As per Investopedia, the cost of living can also vary greatly between cities and states, with large urban areas having a higher cost of living.
In January 2022, beneficiaries of Social Security will receive a 5.9 percent cost-of-living increase.
As of December 30, 2021, SSI payments increase for approximately 8 million people.
Social Security tax (taxable maximum) will increase to $147,000, according to SSA.
What About Social Security Recipients and $1261 Checks?
The recent COLA increase is the largest increase for Social Security recipients in more than 40 years.
Read More: IRS Now Wants Taxpayers to Register with ID.me & Share Direct Access to Their Online Account
It makes a subtle but significant reference to the current inflationary state of the United States. The Social Security Administration mailed notices of the payment increases to Social Security recipients last month.
As per SSA, SSI recipients must be 65 or older, blind, or disabled to qualify.
Recipients must be low on money or limited resources, and lastly are either U.S. citizens or nationals or classified as aliens in one of its specific categories.
Supplementary Security Income recipients will receive is $841 (and $1,261 if they are married).
