Retirees receiving Social Security benefits should expect a really important change in their payments starting in January 2025. First of all, we must clarify that the December 2024 payments still come with the same values that you have received since the beginning of the year , this being the last round of deposit and check shipments before the cost of living adjustment (COLA).
As you know, the COLA increase is approved and applied every year. Until the month of December, including the three Social Security retirement payments, the 3.2% increase that was in effect throughout 2024 is still in force. Starting with next month’s payments, you will see an increase of 2.5% that was approved by the Social Security Administration (and that also applies to other benefits such as SSI, and SSDI).
December 2024 payment calendar: three retirement dates
In December 2024, Social Security beneficiaries will receive a single monthly payment, but the date of receipt varies depending on certain criteria, such as date of birth or length of service in the program. This is a payment scheme that has worked perfectly since it was established by the SSA several decades ago, and will continue as is in 2025.
The first payment of this, for those who receive Supplemental Security Income (SSI) benefits, was already sent on November 29 (in advance of December 1, which is a holiday). Then, on December 3, the money was sent to those who receive both Social Security and SSI, or who claimed their benefits before May 1997.
Now, for the other beneficiaries who applied to receive their retirement after May 1997, the payment dates are three, and they are as follows:
- Individuals born between the 1st and 10th of each month: You will receive your check on December 11.
- Individuals born between the 11th and 20th of each month: You will receive your payment on December 18.
- Individuals born between the 21st and 31st of each month: You will get your check on December 24, the night before Christmas.
The 2025 COLA increase: 2.5% for your next benefits
As we said before, every year a COLA increase is applied to keep pace with inflation, and to ensure that beneficiaries do not lose purchasing power due to the increase in prices of essential goods and services. The COLA that SSA approved for 2025 is lower than in recent years. For example, in 2022 it was 5.9%, being the first of two years with high inflation (due to the coronavirus pandemic) and then in 2023 the percentage was 8.7%.
Already for the year 2024, the defined COLA was 3.2%, in response to inflation tending to slow down and, with the closure of Joe Biden’s government, the SSA applies a final increase for this administration of 2.5%. The average increase over the last 10 years is 2.75%. Back to the 2025 COLA, the average Social Security benefit will rise from the current $1,907 to the expected $1,970.