 The 1.6 percent cost-of-living adjustment (COLA) will
begin with benefits payable to more than 63 million Social Security
beneficiaries in January 2020. Increased payments to more than 8
million SSI beneficiaries will begin on December 31, 2019. (Note:
some people receive both Social Security and SSI benefits). The
Social Security Act ties the annual COLA to the increase in the
Consumer Price Index as determined by the Department of Labor’s
Bureau of Labor Statistics.
Some other adjustments that take effect in January of each year are
based on the increase in average wages. Based on that increase, the
maximum amount of earnings subject to the Social Security tax
(taxable maximum) will increase to $137,700 from $132,900.
Social Security and SSI beneficiaries are normally notified by mail
in early December about their new benefit amount. Most people who
receive Social Security payments will be able to view their COLA
notice online through their my Social Security account. People may
create or access their my Social Security account online at
www.socialsecurity. gov/myaccount.
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column] |
 Information about Medicare
changes for 2020, when announced, will be available at
www.medicare.gov. For
Social Security beneficiaries receiving Medicare, Social Security
will not be able to compute their new benefit amount until after the
Medicare premium amounts for 2020 are announced. Final 2020 benefit
amounts will be communicated to beneficiaries in December through
the mailed COLA notice and my Social Security’s Message Center.
The Social Security Act provides for how the COLA is calculated. To
read more, please visit
www.socialsecurity.gov/cola.
[Jack Myers
Public Affairs Specialist
Social Security Administration] |
