Moving along with the changes for 2024 are the Social Security benefit changes. This change affects those who are on Supplemental Security Income (SSI) and Social Security (SS). SSI is a program that provides monthly payments to children and adults who struggle financially with a disability or are blind, as well as adults 65 or older who qualify financially. SS is the Social Security taxes a working person pays from their paycheck. This money goes into their retirement fund once they qualify for retirement. 

Social Security: 

Because of the increased cost of living, those who are on Social Security (SS) and Supplemental Security Income (SSI) will be seeing a monthly increase. The Department of Labor’s Bureau of Labor Statistics views the Consumer Price Index (inflation) to decide on the increase for the Social Security Act. Cost-of-Living Adjustment (COLA) has already started the increase of 5.9% for those over 70 million Americans on Social Security. Additionally, that increase means a change in the Social Security tax per income; Raising it from $142,800 to $147,000. 

SSI beneficiaries should have received their payment changes in December 2023, while SS beneficiaries will receive them in January 2024. According to the Social Security Act, “For beneficiaries receiving Medicare, Social Security will not be able to compute their new benefit amount until after the Medicare premium amounts for 2024 are announced.” For more information on Social Security benefits and changes, view their PDF file here. 

If you need to check potential benefits or need to apply for Social Security benefits, please go online to https://www.ssa.gov. 

As always, we’ll be ready to help you where we can, so filing taxes and planning for the year are easier. Let us know if we can be of any help.