Social Security benefits will increase by 3.2% in 2024 as inflation moderates

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Social Security benefits will increase by 3.2% in 2024 as inflation moderates
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Millions of Social Security recipients will get a 3.2% increase in their benefits in 2024.

FILE - A Social Security card is displayed on Oct. 12, 2021, in Tigard, Ore. About 71 million people including retirees, disabled people and children receive Social Security benefits. will get a 3.2% increase in their benefits in 2024, far less than this year's historic boost and reflecting moderating

Social Security is financed by payroll taxes collected from workers and their employers. The maximum amount of earnings subject to Social Security payroll taxes was $160,200 for 2023, up from $147,000 in 2022.released in March said the program’s trust fund will be unable to pay full benefits beginning in 2033.

The COLA is calculated according to the Bureau of Labor Statistics’ Consumer Price Index, or CPI. But there are calls for the agency to instead use a different index, the CPI-E, which measures price changes based on the spending patterns of the elderly, like health care, food and medicine costs.

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