The Social Security Administration's 2.5% COLA increase for 2025 will benefit over 72.5 million Americans, ensuring they maintain purchasing power as inflation rises.
The 2025 COLA of 2.5% means a $50 monthly increase for beneficiaries, reflecting a response to household expenses that have surged over the past year.
This year's COLA is lower than last year's 3.2%, yet it demonstrates the SSA's commitment to adjusting benefits in line with inflation trends.
As of January 2025, Social Security's average COLA over the past decade is approximately 2.6%, indicating a stabilization in benefits versus inflation.
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