Social Security Benefits to Rise 0.3% in 2017
Social Security benefits will rise slightly, by 0.3% in 2017. Social Security says the cost-of-living adjustment will add $5 to the average monthly payment for all retired workers, which is $1,355 before the raise.
(So enjoy that extra cup of coffee at Starbucks!)
The Social Security Administration bases the annual cost-of-living adjustment (COLA) on a consumer price index called the CPI-W that tracks the prices of goods and services – including energy, food, and medical care – consumed by urban workers. Relatively low inflation has meant a small uptick from last year.
Inflation was so low last year that Social Security payments didn’t increase from 2015 to 2016. The average annual raise since 2000 has been 2.3%.