Social Security is crucial for providing financial assistance to retired workers, survivors, disabled individuals, and Supplemental Security Income (SSI) recipients. These payments help millions cover essential needs and adjust to inflation.
Recently, the Social Security Administration (SSA) announced a new $1,900 payment for seniors born between the 11th and the 20th of any month who claimed benefits after May 1997. This payment, scheduled for Wednesday, July 17th, includes a 3.2% boost from last year’s cost of living adjustment (COLA).
Beneficiaries
Social Security statistics indicate that over 70 million people receive benefits from the retirement, survivor, and disability insurance (RSDI) and SSI programs, with most being retirees and their families. By the end of 2024, the SSA projects over 180 million workers will be in jobs covered by Social Security, contributing to the system through taxes.
Payment Schedule
Every month, the SSA issues five rounds of payments to eligible recipients:
- SSI recipients: Paid on the first day of the month.
- RSDI beneficiaries (before May 1997): Paid on July 3rd.
- RSDI beneficiaries (after May 1997):
- Born between the 1st and 10th: Paid on July 10th.
- Born between the 11th and 20th: Paid on July 17th.
- Born between the 21st and 31st: Paid on July 24th.
Eligibility
To qualify for these payments, beneficiaries must meet specific criteria, including a work history, reaching the required retirement age, and having made Social Security contributions. Specifically, beneficiaries need 40 credits, equivalent to 10 years of employment. Each credit is earned quarterly. In 2024, one credit corresponds to $1,730 in earnings, adjusted annually for inflation.
Future applicants must be at least 62 years old to begin receiving benefits, but the monthly amount varies with age. Those at full retirement age (FRA), currently 67, receive up to $3,822 per month, while those claiming benefits at 62 may receive up to $2,710. To maximize monthly benefits, one must meet all SSA requirements. Consulting a financial professional or SSA expert is advisable to ensure you maximize your potential benefits.
COLA Adjustments
Social Security benefits are set to increase again due to the COLA for 2025. The new COLA increase, to be officially announced in October, will take effect in January 2025. Forecasts from the Senior Citizens League (TSCL) estimate a 2.6% increase. If this holds, the new benefit amounts will be:
| Benefit Type | Current Payment | Including 2025 COLA |
|---|---|---|
| Average Benefit | $1,900 | $1,949 |
| Age 62 | $2,710 | $2,780 |
| Age 67 | $3,822 | $3,921 |
| Age 70 | $4,873 | $5,000 |
For up-to-date information on payment dates and benefit amounts, refer to the Social Security payment schedule or access your My Social Security Account.
Social Security benefits play a vital role in supporting retirees, survivors, and the disabled. Staying informed about payment schedules, eligibility requirements, and COLA adjustments can help you maximize your benefits and ensure financial stability in retirement.
FAQs
What is the new Social Security payment for July?
A $1,900 payment for seniors born between the 11th and the 20th.
How are Social Security credits earned?
Credits are earned quarterly based on earnings, with one credit per $1,730 in 2024.
What is the 2025 COLA increase estimate?
The estimated COLA increase for 2025 is 2.6%.
When do SSI recipients receive their payments?
SSI recipients receive payments on the first day of the month.
What is the full retirement age for Social Security benefits?
The full retirement age is currently 67.