With a little more than a month before the 2025 COLA kicks in, here's what you should know about the upcoming adjustment.

In 2022 and 2023, many seniors on Social Security struggled to keep up with surging bills. In 2025, costs are expected to rise at a much slower pace. This means that even with just a 2.5% COLA, Social Security recipients may not end up losing out on so much buying power.

Last month, the Social Security Administration revealed that benefits will receive a 2.5% COLA increase in 2025

Seniors awaiting bigger Social Security checks next year may be shocked to discover higher Medicare premiums will eat up a chunk of their cost-of-living adjustment.

Last month, the Social Security Administration announced that beneficiaries will receive a 2.5% cost-of-living adjustment (COLA) in 2025. That revelation disappointed many Social Security recipients.

But a 2.5% COLA for 2025 stings because it's the smallest one to arrive in years. At the start of 2024, seniors on Social Security saw their benefits increase by 3.2%. And the year prior, Social Security recipients got a record-breaking 8.7% COLA. So a raise of just 2.5% seems awfully meager by comparison.

Starting in January 2025, Social Security beneficiaries will see a 2.5% cost-of-living adjustment (COLA), marking the smallest increase since 2021. This modest adjustment reflects a positive

A 2.5% cost-of-living adjustment, Medicare Part B premiums and tax liabilities are key changes to watch for that affect 2025 Social Security benefits.

However, there is a major silver lining to a more moderate COLA, and it will likely have an even better effect on your retirement than a slightly larger raise. The COLA is designed to help Social Security benefits keep up with rising costs over time.

Millions of Americans will see changes to their benefits in the New Year. There will be an increase of 2.5 percent for retirees and those on disability benefits