Fourth Social Security Benefit Payment for Retirees in May – Over $1,900 Hitting Bank Accounts

The Social Security retirement program delivers monthly benefits of over $1,900 to around 55 million retirees and survivors. On May 22nd, retirees born between the 21st and the 31st will receive their fourth Social Security benefit payment. These payments include the 3.2% cost-of-living adjustment (COLA) to help maintain retirees’ purchasing power.

Inflation

With inflation on the rise, the latest COLA estimates for 2025 suggest an increase between 2.6% and 3.2%. However, many seniors believe these increases are insufficient to cover rising monthly expenses. Additionally, concerns about the future of Social Security persist, as some financial experts warn that the Social Security trust funds could be depleted by 2033, potentially jeopardizing future benefit payments.

Economic Policy Institute

For millions of seniors aged 65 and older, the Social Security benefit payment is crucial for covering necessities like housing, healthcare, daily expenses, entertainment, taxes, debt, travel, and hobbies. Without these payments, many seniors would struggle financially and potentially fall into poverty. According to the Economic Policy Institute, Social Security provides 90% or more of the income for 30% of elderly beneficiaries, while the remaining two-thirds receive 50% or more of their total income from Social Security.

The median income for senior households is currently less than $18,000 when Social Security is considered, with 66% of the median retired household’s income coming from Social Security benefits. Personal savings and other assets account for only 10% of the average middle-class senior’s income, while 14% comes from employment-based pensions.

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