Those who already collect Social Security Benefits realize the program can change from year to year. The Motley Fool warns retirees could see significant changes in 2025 that may affect future benefits.
The cost-of-living adjustment (COLA) paid in 2024 was 3.2 percent. However, current estimates call for the 2025 amount to be lower, possibly around 2.63 percent, based on current data. Seniors collecting Social Security can still earn income to supplement their benefits. An earnings limit is set for what can be earned without affecting the amount you receive. It’s likely the limit will be raised for 2025, so seniors will be able to earn a little more without penalty.
Those still working know their income is subject to a tax to finance the Social Security Trust Fund. Workers must pay the tax up to a cap of $168,000. Analysts expect the cap to be raised so some workers will pay more. Workers must earn four work credits in a year to qualify for benefits, needing 40 over the course of a lifetime. Part-time workers may want to work more hours to earn the credits needed.
Council of Seniors Works to Improve Social Security Benefits
Additional retirement income gives seniors some relief in tough economic times. Here at Council of Seniors, we’re fully committed to getting Congress to pass The SAVE Benefits Act. You need this bill because the annual Social Security COLA has fallen short in recent years. If we succeed, the $581 missing from benefits will be paid back to eligible seniors.
Please sign our petition to start helping. Let your friends and neighbors know we need them, too! Washington politicians must become aware of the growing number of Americans expecting action.
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