SSDI Recipients to See Modest Increase in Payments in 2025 Amid Lower COLA Projections

August 2024 – The Social Security Administration has announced that as of August 2024, the average payment for Supplemental Security Disability Insurance (SSDI) recipients stands at approximately $1,539. With the annual Cost-of-Living Adjustment (COLA) anticipated to impact benefits in 2025, many recipients are hopeful for an increase. However, current projections suggest a smaller adjustment than in previous years.

According to the Senior Citizens League, the projected COLA increase for 2025 is estimated at 2.5%. This figure marks a decrease from earlier projections as inflation trends stabilize. The COLA adjustment applies uniformly to all Social Security recipients, including retirees, Supplemental Security Income (SSI), and SSDI beneficiaries.

Impact of Projected COLA Increase

The modest 2.5% increase means that SSDI recipients can expect a slight boost in their payments starting in January 2025. Although the official announcement will be made next month, the increase will take effect in the new year. Notably, SSI recipients will receive their January payment on December 31, 2024, due to the Federal holiday on January 1. For SSDI beneficiaries, the payment schedule for January 2025 is as follows:

• January 3, 2025: Disability Insurance payments for SSI and SSDI recipients who began receiving benefits before May 1997.
• January 8, 2025: Payments for SSDI recipients with birthdays from the 1st to the 10th of the month.
• January 15, 2025: Payments for SSDI recipients with birthdays from the 11th to the 20th.
• January 22, 2025: Payments for SSDI recipients with birthdays from the 21st to the 31st.

Projected Payment Adjustments

The extent of the increase will vary based on the recipient’s current benefit amount. For example, an individual receiving the average SSDI payment of $1,539 might see their benefit rise to approximately $1,577, representing an increase of about $38 per month. Annually, this translates to an additional $461.

For those receiving a lower monthly benefit, the increase will proportionally reflect their current payment amount. A recipient with a $1,000 monthly payment could see an increase to around $1,025, while someone receiving $500 would see their benefit rise to approximately $512.

Despite the projected modest increase, the adjustment provides some financial relief and reflects a continuing effort to keep SSDI payments in line with inflationary trends.

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