In September, it was announced that retirees who receive their income from their Social Security savings will get about $59 extra per month in 2024, as the Cost of Living Adjustment (COLA) is expected to be in the 3% range. However, not everyone will see an increase in their payments.
It is worth mentioning that this will be a much lower COLA than what was approved for this 2023, whose adjustment was one of the highest in the last 40 years of Social Security’s history: 8.7%. According to estimates by The Senior Citizens League (TSCL), current beneficiaries will be getting an extra $59 to their benefits each month.
This benefits not only retirees, as it is also a turning point for workers with long-term disabilities and surviving beneficiaries. All of these groups will see increases in their benefits they get from the Social Security Administration by 2024. But who will be left out of this increase in their monthly pensions?
These individuals will not get an increase in their Social Security payments in 2024
While it is clear who benefits from the COLA, those who do not live one of its advantages has to do with groups who never in their working lives paid their Social Security taxes or those who did not work long enough to meet the 40 credits required to get retirement benefits.
Individuals who have government pensions as federal employees are also not benefited by the Cost of Living Adjustment. People who are self-employed and do not pay out-of-pocket Social Security taxes are also not eligible to get the increase in their retirement.
It is important to note that the 2024 COLA will be known definitively on October 12, when the Bureau of Labor Statistics (BLS) will release the latest inflation data, and with that, the SSA will be able to calculate with certainty whether or not there will be an increase.