Social Security Benefits Increase in 2021
Reading Time: 2 MinutesLast Updated: November 2, 2023
Approximately 70 million Americans will see a 1.3 percent increase in their Social Security benefits and Supplemental Security Income (SSI) payments in 2021. Federal benefit rates increase when the cost-of-living rises, as measured by the Department of Labor’s Consumer Price Index (CPI-W).
The CPI-W rises when inflation increases, leading to a higher cost-of-living. This change means prices for goods and services, on average, are a little more expensive, so the cost-of-living adjustment (COLA) helps to offset these costs.
We will mail COLA notices throughout the month of December to retirement, survivors, and disability beneficiaries, SSI recipients, and representative payees. But, if you want to know your new benefit amount sooner, you can securely obtain the Social Security COLA notice online using the Message Center in your personal my Social Security account. You can access this information in early December prior to the mailed notice.
If you prefer to access your COLA notice online instead of receiving the mailed notice, you can log in to your personal my Social Security account to opt out of a mailed COLA notice and any other notices that are available online by updating your Preferences in the Message Center. You can also choose to receive a text or email alert when there is a new notice. That way, you always know when we have something important for you – like your COLA notice. If you don’t have an account yet, you must create one by November 18, 2020 to receive the 2021 COLA notice online.
January 2021 marks other changes that will happen based on the increase in the national average wage index. For example, the maximum amount of earnings subject to Social Security payroll tax in 2021 will be higher. The retirement earnings test exempt amount will also change in 2021.
Be the first to know! Sign up for or log in to your personal my Social Security account today. Choose email or text under “Message Center Preferences” to receive courtesy notifications.
You can find more information about the 2021 COLA here.
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Tags: COLA, my Social Security, my Social Security account
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Darlynda Bogle, Assistant Deputy Commissioner
Darlynda Bogle, Assistant Deputy Commissioner
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Barbara A.
The COLA increase for 2021 is supposed to be 1.3% but I’ve done the math from my notice (Form SSA-4926-SM (1-2021) and it comes to only 1.25%. I cannot find a site that allows me to appeal this particular complaint. How do I go about doing that?
Alice C.
Hello I am the payee of my childrens survivor benefits and I receive them on the 3rd of the month but I received a notice about the increase and that I would receive December’s on or about December 31st will I still receive January’s benefits on January 3rd?
Floyd R.
Good morning will ssi with a disability be getting a raise on there check
Rosita C.
Received temporary paasword not working.
My husband & I applied Part B on Dec.1
NO respond yet,
Keith
Hi, Rosita. Thanks for using our blog. We are sorry to hear about the difficulties you are experiencing. You can call us at 1-800-772-1213 or your local Social Security office for assistance. Please look for the general inquiry telephone number at the Social Security Office Locator. The number may appear under Show Additional Office Information. Please be aware that our call wait times are longer than normal. We hope this information helps.
Shari K.
I would like to know what goods and services you use to determine the COLA because my utilities, groceries, health insurance, prescriptions and groceries went up well over 1.3%! The only thing that didn’t increase is gasoline! This is just ridiculous since it is our money that you control!
Vonda
Hi Shari, thanks for using our blog. The Social Security Act ties the annual COLA to the increase in the Consumer Price Index as determined by the Department of Labor’s Bureau of Labor Statistics. The Social Security Act provides for how the COLA is calculated. To read more, please visit our COLA Information web page. We hope this helps!
Sheldon B.
I’m trying to reach my local Social Security office to find out was has to be done to re-calculate my Part B IRMAA for 2019 since my accountant has filed, and the IRS has accepted, a modification of my 2019 income taxes. The office has been closed due to COVID 19, and attempts to talk to as living person require a 1-2 hour wait.
Sue
We’re sorry you’ve had difficulty reaching us by phone, Sheldon. Our call volume and wait time are longer than normal. To recalculate your Medicare Part B IRMAA, we need to see a copy of your amended tax return and your acknowledgment receipt from the IRS. You can fax or mail the documents to your local Social Security office. We’ll update our records with the information you provide and correct or remove your income-related monthly adjustment amounts, as appropriate. For more details about the process, check out our Medicare Premiums: Rules For Higher-Income Beneficiaries web page.
cindy t.
Are the dates checks are deposited changing? I receive SSDI and get my check the 3rd Wednesday of each month. I have a friend who gets hers on the 3rd of each month. She said her COLA report said her next check would come “on or around ” December 31st. She is wondering if the date of her deposit is changing from the 3rd to the 31st. Thanks
Keith
Hi, Cindy. Thanks for reading the blog and for your questions. SSA makes benefit payments either on the 3rd of the month; or the second, third or fourth Wednesdays of the month. Beneficiaries entitled to benefits prior to May 1997, or if receiving both Social Security and SSI, Social Security is paid on the third of the month, continue to receive their payments on the 3rd of the month. Beneficiaries who filed claims on or after May 1, 1997, are assigned one of the three new payment dates (second, third or fourth Wednesdays of the month) based on their day of birth. View the Schedule of Social Security Payments web page for 2020 and 2021 for more information. We hope this helps.
Sheila C.
So does this mean I don’t get paid until the 20th of Jan? Have to go 51 days with no pay?
Lilly S.
She is only getting paid on the 31st because the 3rd is a Sunday and the first is a national holiday
Kathy S.
Need to know if I can collect ssi benefits. I am 73. The way I understood it is I
Should Be able to.
Joe G.
Once you hit the age of 65 you can only collect regular social security is what I understand unless there have been some changes.
Pat D.
People over 65 can receive both social security and SSI depending on their totally income and assets. SSI is a needs based program for people who have very little income.
Joe B.
I lost the information that was sent to my wife and I. The information was mailed to us and it showed how much we both make and the raise increase. Can I download it from My Social Security/SSA. I need it for my manager at the senior apartments where we live. Also does my Social Security number show in the paperwork. I lost it outside my apartment and we are afraid that someone could use our information for fraud etc.
Sue
Hi, Joe. Thanks for reading our blog and for your question. You and your wife can securely view the 2021 Cost-of-Living Adjustment (COLA) notices online in the Message Center of your my Social Security account. You can print and save them, too. The annual COLA notice has not shown the Social Security Number since 2001. We hope this helps!
Julie O.
Why haven’t I received my letter telling me when I will be receiving my increase for January on my SSID ?
Sue
Hi, Julie. Thanks for reading our blog and for your question. We are mailing 2021 Cost-of-Living Adjustment (COLA) notices throughout December to retirement, survivors, and disability beneficiaries, SSI recipients, and representative payees. If you would like the notice sooner, you can securely view the COLA notice online in the Message Center of your my Social Security account and save it. If you don’t have an account, create one today. We hope this helps!
Danya A.
I get 1088 disa6 will I get a cost of living raise
Kenny O.
Hello Danya. Thanks for reading our blog and for your question. We are mailing 2021 Cost-of-Living Adjustment (COLA) notices throughout December to retirement, survivors, and disability beneficiaries, SSI recipients, and representative payees. If you would like the notice sooner, you can securely view the COLA notice online in the Message Center of your my Social Security account and save it. If you don’t have an account, create one today. We hope this helps!
Anthony M.
still have not received my letter for raise in 2021 cola
Joe G.
I will be getting $1575 a month, but at least it’s an increase of the $1557 I was getting inn 2020. My Medicare will go up to $148.50, so there went part of my raise.
joan s.
When is my payment be issued for January?