cost-of-living adjustment (COLA) in 2023, according to recent estimates. These cost-of-living adjustments have been in place since 1975 as a way to adequately keep pace with inflation.
The COLAs are based on increases in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) from the third quarter of the previous year to the corresponding quarter of the current year, according to the Social Security Administration.
Beneficiaries can expect the final COLA to be released on Thursday following the release of the inflation figures for September, according to the Senior Citizens League, a group that lobbies for older adults.
An 8.7%-boost would be the highest COLA increase since 1981 when the inflation adjustment was 11.2%. For the average retiree who got a monthly check of $1,656 this year, an adjustment of 8.7% would boost the payment by $144.10, the Senior Citizens League said.