More than 50 million Americans receive some form of benefit from the Social Security Administration (SSA). Up to 88 percent rely on Social Security to some degree. For 60 percent of recipients, Social Security is their major source of income. Despite the breadth of the program, many don’t understand the basics of how it works.
As a result, Yahoo Finance reports three possible changes that may come as a big surprise. A survey by the National Retirement Institute showed that 70 percent of those questioned didn’t realize Social Security is protected against inflation with an annual cost-of-living adjustment (COLA). Because inflation is running high right now, some analysts think the 2025 COLA could be 2.7 percent.
Some workers may be surprised next year to find more withholding tax taken from their paycheck for the Social Security program. SSA has raised the income limit from which taxes will be taken. Another unexpected change is some benefits could be withheld if the recipient has not reached the Full Retirement Age (66 or 67 depending on birth year) or if other earnings exceed certain thresholds.
It pays to know the basics of how Social Security works.
We Want to Strengthen Social Security
You deserve the strong Social Security benefits you were promised. That’s why Council of Seniors is working tirelessly to get Congress to pass The SAVE Benefits Act. This legislation is vital because the annual Social Security COLA has shortchanged seniors in recent years. The amount of $581 was withheld from seniors’ checks, and it’s time for that money to be returned.
Signing our petition is the first step in helping. Your support can be a game-changer in returning this money to seniors.
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