How 2025 Social Security Changes Will Impact Current and Future Retirees
Social Security changes impact everyone, not just retirees. According to an article by USA Today, newly announced changes will impact both current and future retirees. The cost-of-living adjustment (COLA) will give beneficiaries a 2.5 percent increase next year. That equates to around $50 more each month, starting in January. The “taxable maximum” is also going up in 2025. The maximum amount of income subject to Social Security tax will be $176,100; currently, it’s $168,600. The increase is due to inflation and wage growth. High-wage workers will owe an extra $465 per year.
The article sums up the changes stating: “Both current retirees and future workers must understand the modified rules announced by the Social Security Administration, as seniors will have a little more money next year and high earners will have a little less.”
The Seniors Trust is committed to improving the financial well-being of America’s retirees through the passage of The Social Security Expansion Act. It will give retirees an immediate benefits increase of about $200 a month, a fair annual cost-of-living adjustment (COLA), and increased minimum benefits. This bill will also ensure the long-term solvency of the Social Security program.
