By Georgina Tzanetos
From Bankrate.com
With inflation near a 40-year high, Social Security could get a historic boost next year to help seniors keep up. The most recent estimate for a 2023 cost of living adjustment (COLA) is 9.6 percent, says Mary Johnson, Social Security and Medicare policy analyst for senior advocacy group the Senior Citizens League (SCL).
July’s Consumer Price Index (CPI) report showed inflation up 8.5 percent over the last 12 months, making it more difficult for people living on fixed incomes, like those from Social Security benefits, to make ends meet.
The 2023 COLA will be based on third-quarter data from the Consumer Price Index for Urban Wage Earners and Clerical Workers, or CPI-W. Johnson says the announcement is expected around Oct. 13, after the release of the September CPI report. If inflation “runs hot” or higher than average, Johnson predicts the COLA could run up to 10.1 percent for 2023. Should it run lower than the recent figures, she says 9.3 percent might be more likely….