As 2024 draws to a close, Social Security beneficiaries across the United States are set to receive their final payments of the year. These payments, distributed in December, mark the last issuance before the much-anticipated Cost of Living Adjustment (COLA) for 2025 takes effect. The adjustment, determined annually in October by the Social Security Administration (SSA), ensures that benefits keep pace with inflation and rising living costs.
This year, the SSA announced a 2.5% COLA increase on October 10, 2024. This adjustment is calculated based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), a critical indicator of inflation. While this increase is lower than the 3.2% adjustment for 2024 and the notable 8.7% in 2023, it reflects the stabilization of economic conditions heading into 2025.
December Payment Schedule
Social Security payments are scheduled according to recipients’ birth dates. In December 2024, the distribution followed this established pattern:
Birthdays from the 1st to the 10th: Payments were issued on Wednesday, December 4.
Birthdays from the 11th to the 20th: Payments were sent out on Wednesday, December 18.
Birthdays from the 21st to the 31st: Beneficiaries will receive their final 2024 payments on Tuesday, December 24. The regular payment date, December 25, was moved forward due to the Christmas holiday.
For those who retired at age 70, the maximum monthly benefit for 2024 was $4,873, reflecting years of delayed retirement credits. However, amounts vary depending on when recipients choose to begin their benefits. For instance, retirees who started at the full retirement age of 67 received a maximum of $3,822.
COLA Adjustments and What They Mean for Beneficiaries
Starting December 31, 2024, beneficiaries will see their payments reflect the 2025 COLA adjustment. The increase, while modest compared to previous years, ensures that Social Security payments continue to provide financial stability in the face of inflation.
Supplemental Security Income (SSI) recipients will notice this change first, as their adjusted payments of $967 will be issued on December 31, 2024. This payment replaces the usual $943, offering a slight but meaningful increase. Regular Social Security benefit payments, reflecting the COLA adjustment, will begin on January 8, 2025.
For retirees:
Those retiring at age 70 will see their maximum monthly benefit increase to $5,108.
Retirees at age 67 will receive a maximum of $4,018 monthly.
Steps to Take if Payments Are Delayed
While the SSA works diligently to ensure timely payments, delays can occasionally occur. If your benefits do not arrive on the expected date, prompt action is crucial:
Check the SSA Payment Calendar: Verify the scheduled payment date on the official SSA website.
Contact the SSA: Report the issue by calling 1-800-772-1213.
Review Your Bank Account: Confirm that there were no issues with direct deposits. Contact your bank to rule out errors on their end.
Document Communications: Keep detailed records of all correspondence with the SSA and your bank to facilitate a resolution.
