Social Security 8.7% COLA: Here’s how much extra you will get, when it will start

The Social Security Administration announced an 8.7% cost-of-living-adjustment for 2023, the biggest jump in benefits in 40 years.

On average, Social Security benefits will increase by more than $140 per month starting in January. SSA has also provided a breakdown of what the benefits will mean for recipients:

All retired workers

Before COLA – $1,681
After COLA – $1,827

Aged couples, both receiving benefits

Before COLA – $2,734
After – $2,972

Widowed mother and two children

Before COLA – $3,238
After COLA – $3,520

Aged widow or widower alone

Before COLA – $1,567
After COLA – $1,704

Disabled worker, spouse and one or more children

Before COLA -$2,407
After – $2,616

All disabled workers

Before COLA – $1,364
After COLA – $1,483

The 8.7 percent COLA will begin with benefits payable to more than 65 million Social Security beneficiaries in January 2023. Increased payments to more than 7 million SSI beneficiaries will begin on Dec 30, 2022.

Social Security benefits are issued on a rollout basis based on beneficiary’s birth date. People born from the first day through the 10th day of the month receive benefits on the second Wednesday of the month; beneficiaries with birthdays between the 11th and the 20th are paid on the third Wednesday. Retirees born between the 21st and the last day of the month are paid on the fourth Wednesday.

To determine what the increase will mean to you, go to your personal Social Security account to view the COLA notice online. People may create or access their my Social Security account online at www.ssa.gov/myaccount. Beneficiaries will also be notified by mail in early December about their new benefit amount.