Benefits Payment Schedule: January 2022
As you probably know, we typically receive direct deposits from the Social Security Administration prior to the payment date shown on the Schedule of Social Security Benefits Payments 2022. We post your benefits to your card account as soon as we receive it so you can get paid.
Based on previous payment data, heres when we anticipate well post upcoming payments if you are receiving both Social Security Administration and Supplemental Security Income. If youre only receiving Social Security Administration benefits, your payment will be determined based on your birthday in accordance with the dates published here.
While it is our highest priority as well as a point of pride to be reliable and always on for you, please remember that Netspend does not control when we receive treasury payments and the estimates provided are not a guarantee of payment.
Cost Of Living Adjustment Rises
The SSA has announced that benefit checks will rise 8.7 percent in 2023, a substantial increase even from the 5.9 percent adjustment for 2022, which was already unusually high. In fact, the 2023 COLA is the highest increase since 1981, when it was 11.2 percent.
The 8.7 percent adjustment will amount to a $146 increase in monthly benefits for the average retired worker on Social Security, beginning in January. Specifically, the average check for retired workers will increase from $1,681 to $1,827. For a couple with both partners receiving benefits, the estimated payment will increase from $2,734 to $2,972, a rise of $238.
Since 1975, the SSA has tied cost of living adjustments to the Consumer Price Index for urban wage earners and clerical workers . The SSA compares the third-quarter CPI-W for the prior year to the third-quarter CPI-W in the current year to determine the COLA. It then adjusts the COLA based on the difference in CPI-W from one year to the next.
What If I Receive Both Social Security And Ssi
If you received Social Security benefits before May 1997, or if you receive both Social Security and SSI, the payment schedule is different. Instead of getting your payments on a Wednesday, you’ll receive your Social Security payment on the third day of each month and your SSI on the first day of each month.
However, those payment dates change if the first or third day of the month falls on a weekend. For instance, Oct. 1 fell on a Saturday this year, so SSI recipients received their October payments a day early on Sept. 30 and their Social Security payment on Monday, Oct. 3. The same will apply in December for January 2023 payments.
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Social Security Recipients Get 87% Cost
Social Security recipients will receive an annual cost-of-living adjustment of 8.7% next year, the largest increase since 1981, the Social Security Administration announced Thursday.
The spike will boost retirees monthly payments by $146 to an estimated average of $1,827 for 2023.
The hefty increase, which follows a 5.9% adjustment for this year, is aimed at helping Social Securitys roughly 70 million recipients contend with the high inflation thats been plaguing the US since last year.
Will the COLA be enough to keep up with inflation? Its too early to say, said Mary Johnson, Social Security and Medicare policy analyst at The Senior Citizens League, an advocacy group. It depends on what inflation is going to do from October onwards.
The adjustment is the highest that most current beneficiaries have ever seen, but thats because it is based on an inflation metric from August through October, which is also around 40-year highs.
A related metric, the Consumer Price Index, increased 8.2% in September, compared with a year ago, the Bureau of Labor Statistics announced Thursday.
What You Need To Know About The New Social Security Benefit Increase
For the 70 million Americans who receive Social Security, experts say the significant increase in benefits slated for 2023 is much-anticipated and much-welcomed.
Social Security recipients, most of whom are over age 65, have seen their payments increase almost every year for more than four decades to keep up with the cost of inflation. When inflation is low as its been over the past decade or so those cost-of-living adjustments, or COLAs, have been fairly mild. But last year, the increase was big, and this year its even bigger.
To help cover the rising cost of food, housing, health care and other essentials, the Social Security Administration announced Thursday that beneficiaries would receive an 8.7-percent increase in their monthly payments. In a sign that the Federal Reserves efforts have not yet worked to puncture the elevated inflation rate, the Bureau of Labor Statistics also released its consumer price index for September on Thursday, showing prices rose 8.2 percent over the last year.
The 8.7 percent cost-of-living increase to Social Security payments for 2023 will be the largest jump in more than 40 years. Graphic by Jenna Cohen and Megan McGrew.
The COLA for 2023 is the largest increase since 1981 when inflation was even higher than it is today and is the fourth-largest jump ever.
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Social Security Updates To Know For November 2022
The Social Security Administration recently posted a November 2022 update on its website, with much of the focus on the 8.7% cost-of-living adjustment that will boost Social Security and Supplemental Security Income payments in 2023.
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In its update, the SSA said it will mail COLA notices throughout the month of December to retirement, survivors and disability beneficiaries, SSI recipients and representative payees. On average, Social Security benefit payments will increase by more than $140 a month starting in January. About 70 million Americans will get the higher payment.
Recipients who want to know their new benefit payment amount sooner can get their Social Security COLA notices online using the Message Center in their personal my Social Security account. The online information will be available in early December, prior to the arrival of mailed notices. Because Social Security customers can get the COLA notice online or in the mail, the SSA advises against contacting the agency to get the new benefit amount.
Other 2023 changes include an increase in the maximum amount of earnings subject to Social Security payroll tax and a change in the retirement earnings test exempt amount. For more information, check the COLA fact sheet, located here, on the Social Security Administration website.
Bonus: Some Medicare Premiums Will Be Lower
While Social Security and Medicare are different programs, most retirees participate in both, and this nationalized healthcare system made a particularly notable change for 2023.
Monthly Medicare Part B premiums will decrease from $170.10 in 2022 to $164.90 in 2023. As noted by the Centers for Medicare and Medicaid Services , the total Medicare enrollment was nearly 64 million in October 2021.
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Social Security Schedule: When November 2022 Benefits Will Be Sent
Social Security recipients only have a couple more months left to gut it out with 2022 payments before they can look forward to much bigger checks next year. Earlier this month, the Social Security Administration announced that the 2023 cost-of-living adjustment will be 8.7% the biggest boost in 41 years.
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When you get your November 2022 payment, however, it will still reflect this years 5.9% COLA an adjustment that has done little to help seniors deal with an inflation rate that has been running above 8%.
As usual, Social Security payments in November will be made according to the same monthly schedule, with payments going out on the second, third and fourth Wednesdays of the month. Heres a quick rundown:
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If your birth date is on the 1st-10th of the month, your payment will be distributed on Wednesday, Nov. 9.
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If your birth date is on the 11th-20th, your payment will be distributed on Wednesday, Nov. 16.
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If your birth date is on the 21st-31st, your payment will be distributed on Wednesday, Nov. 23.
If you dont receive your payment on the expected date, the SSA advises allowing three additional mailing days before contacting Social Security.
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Why The Adjustment Isnt A Perfect Solution To Seniors Rising Costs
Its not clear right now whether higher Social Security payments will contribute to spiraling inflation. But Arnone said that older people are much more likely to spend money than save it, giving his organization a clear sense that it will help mitigate a recession.
Every month this year, the cost of inflation has far exceeded the 5.9 percent cost-of-living increase that was set at the end of 2021, Johnson said. That means last years COLA is not meeting the current economic strains.
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Maximum Social Security Benefit Also Set To Increase
As expected, the maximum Social Security benefit for a worker retiring at full retirement age will also increase in 2023, from $3,345 to $3,627. Its important to note that this maximum applies to those retiring at the full retirement age, which is 67 for anyone born after 1960.
The maximum will be different for those who retire before the full retirement age, because benefits are reduced in that situation. The same applies for those who retire after the full retirement age, a strategy that can max out your benefit check.
How Much Are My 2022 Social Security Payments
The 2021 average monthly benefit for all retired workers was $1,565. A 5.9% increase will raise the average benefit to about $1,657, which is about $100 a month. For disabled workers who receive Social Security benefits, they can expect an average increase of $76 per month.
The average 2021 monthly benefit for SSI is $794 per month and is expected to increase to $841 for 2022, an increase of $47. About 3 million Americans who receive both Social Security and SSI benefits will also benefit from these changes.
SSA will notify those who receive Social Security benefits and SSI about their new benefit amounts by mail and online starting in December.
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Experienced Social Security Advocates At London Disability Will Help You
Our entire team of specially trained disability law advocates and Disability Law Attorney Scott London are dedicated to providing you with all of the information you need to learn what disability benefits you are eligible for and to make sure you receive dollar you deserve.
Disabilities are life altering afflictions, whether from injury or illness, the U.S. government has a program to provide financial support to you and your family if you meet the eligibility criteria. But finding out if you qualify or not is not a very simple process.
You may think you earn too much income to qualify for SSI benefits. But did you know that not all your income counts toward the countable income SSA considers? And you may think you have too many financial resources to qualify for SSD benefits. But did you know that SSD does not consider your available resources when determining your benefit eligibility?
Make sure you consult with trained before you give up. You may be surprised what you qualify for.
You Could Owe More Social Security Tax
A bigger benefits check is a great thing, but there’s one potential downside. You could end up owing more in taxes on Social Security benefits.
You aren’t taxed on benefits until your countable income hits $25,000 as a single tax filer or $32,000 as a married joint filer. But these thresholds aren’t indexed for inflation. They won’t change automatically next year, even as benefits go up for retirees.
If you were taxed in the past and earn more this year, that means more of your money will likely now be subject to taxation by the IRS. And if you didn’t owe tax at all before but your income now exceeds these thresholds, you can expect to take a tax hit. Be sure you’re aware of this so you don’t end up with a surprise tax bill to contend with.
Understanding these changes is important for all current retirees, so be on the lookout for some big differences when your first 2023 check comes.
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Social Security: New Bill Could Give Seniors An Extra $2400 A Year
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The Social Security Expansion Act was introduced on June 9 by U.S. Rep. Peter DeFazio and U.S. Sen. Bernie Sanders , CBS News reported. Under terms of the bill, anyone who is a current Social Security recipient or who will turn 62 in 2023 would receive an extra $200 in each monthly check.
The bill is timely for a couple of reasons. First, it follows a Social Security Administration announcement earlier this month that Americans will stop receiving their full Social Security benefits in about 13 years without actions to bolster the program.
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It also comes during a period of historically high inflation that has a particularly big impact on seniors living on fixed incomes, many of whom rely solely on Social Security payments. This years Social Security Cost-of-Living Adjustment of 5.9% is based on inflation figures from 2021. But since then, inflation has pushed well above 8%, meaning Social Security recipients today are actually losing money.
The new bill aims to ease the financial strain by boosting each recipients monthly check. The average monthly Social Security check is about $1,658, meaning a $200 increase would represent a 12% boost.
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Im confident changes will be made, Shedden said. I dont know if this is the bill that will pass, but there is more and more movement on it.
Why Did I Receive And Extra Payment From Social Security
Although Social Security Administration can make incorrect payments to recipients of retirement, disability, or survivors benefits, these mistakes are rare. In the event that you receive an extra payment from SSA in addition to your usual monthly benefits payments, it can be helpful to know why and what you need to do about it, if anything.
As an initial matter, if you receive Social Security Disability Insurance or Supplemental Security Income , there is a good chance you are eligible for the stimulus payment currently being provided by the federal government. These payments are for a maximum of $600 per adult and qualifying child and have already started going out to those who are eligible. The payments will continue to be made through mid-January.
Unlike the stimulus payments made earlier in 2020, the Internal Revenue Service has said that this round of payments will be sent the same way you get your other federal benefits. Therefore, if you normally get your monthly payments deposited directly into your bank account or onto a Direct Express debit card, that is also how you will receive your stimulus payments.
Within two weeks of your receipt of the additional payment, SSA should provide you written notice by mail with an explanation. If two weeks have passed since you received the extra benefits, contact SSA.
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Did You Receive An Unexpected Deposit From Social Security In 2022 This Is Why
All seniors who receive Social Security payments will see an increase in the amount of money they get in their next checks starting in 2019.
According to the Social Security Administration, the cost-of-living adjustment will be 5.9 percent in the fiscal years 2020 and in 2022.
COLA increases in benefits checks assist beneficiaries in keeping up with rising costs of living.
However, the highest boost in Social Security benefits in 40 years will occur in 2022, according to the Social Security Administration.
Unexpected Social Security Deposits
The Social Security Administration sends benefits payments to over 70 million Americans each month, a monumental task. In order to effectuate the deposits more efficiently payments are staggered throughout each month on a schedule based on beneficiaries birth dates, type of benefit and/or when a beneficiary applied to begin receiving Social Security.
Those beneficiaries that receive both Supplemental Support Income and Social Security Benefits may get paid twice a month. SSI payments are generally issued on the first of the month and Social Security payments for beneficiaries that signed up before May 1997 or that also receive SSI are usually deposited on the fourth of the month.
However, depending on the month those deposits could fall on the same day. Should either the first or the third fall on a Saturday, Sunday or a federal holiday the payments are moved forward. This results in SSI payments sometimes being paid in the month prior to the one for which they are made.
In 2022, this was scheduled to happen for SSI payments in April, September and December. It will happen four times in 2023, occurring in The second SSI payment in December each year will may be higher than the first depending on the Social Security Administrations calculation for their monthly benefit.
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