In 2022 and 2023, many seniors on Social Security struggled to keep up with surging bills. In 2025, costs are expected to rise at a much slower pace. This means that even with just a 2.5% COLA, Social Security recipients may not end up losing out on so much buying power.

But when we look back at the data, it becomes clear that a 2.5% Social Security COLA isn't so terrible. In fact, it's a lot more generous than some of the COLAs beneficiaries have seen in the past. In 2024, Social Security benefits rose by 3.2%. The year prior, they increased by 8.7%. And in 2022, a 5.9% COLA came through.

Last month, the Social Security Administration revealed that benefits will receive a 2.5% COLA increase in 2025

But a 2.5% COLA for 2025 stings because it's the smallest one to arrive in years. At the start of 2024, seniors on Social Security saw their benefits increase by 3.2%. And the year prior, Social Security recipients got a record-breaking 8.7% COLA. So a raise of just 2.5% seems awfully meager by comparison.

Social Security beneficiaries will soon experience a welcome change when benefits climb due to a cost-of-living adjustment.

Starting in January 2025, Social Security beneficiaries will see a 2.5% cost-of-living adjustment (COLA), marking the smallest increase since 2021. This modest adjustment reflects a positive

Meanwhile, you may want to know exactly when to expect your 2.5% Social Security COLA to hit your bank account. Here's what the timing of that raise should look like. When your So

Gen Xers say they are worried they may not receive their benefits at retirement age if Social Security funds are depleted.