Social Security

Social Security Announces 2.5 Percent Benefit Increase for 2025

On October 10, 2024, the Social Security Administration announced that Americans will increase a 2.5 percent cost of living increase in 2025. A fact sheet linked to the preset release shows that the monthly SSI rate for an individual will increase from $943 to $967.

This COLA means the following (estimates) should apply beginning January 1, 2025:

  • Medicaid Income Cap: $2,901
  • Monthly Maintenance Needs Allowance
    • Minimum: $2,527
    • Maximum: $3,949.50
  • Community Spouse Resource Allowance
    • Minimum: $31,599
    • Maximum: $157,994
  • Home Equity Limits:
    • Minimum: $729,800
    • Maximum: $1,097,775

Other than the SSI rate increase, these numbers are estimates. The Centers for Medicare and Medicaid Services usually published their official rate increases in mid-November. Social Security’s COLA is based on the increase in the Consumer Price Index (CPI-W) from the third quarter of 2023 through the third quarter of 2024.

Published by
David McGuffey

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