Amid record high inflation, Social Security beneficiaries will get an 8.7% increase to their benefits in 2023, the highest increase in 40 years.
The Social Security Administration announced the change Thursday. It will result in a benefit increase of more than $140 per month on average starting in January.
The average Social Security retiree benefit will increase $146 per month, to $1,827 in 2023, from $1,681 in 2022.
The Senior Citizens League, a nonpartisan senior group, had estimated last month that the COLA could be 8.7% next year.
The confirmed 8.7% bump to benefits tops the 5.9% increase beneficiaries saw in 2022, which at the time was the highest in four decades.