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The Social Security cost-of-living adjustment will be 5.9% in 2022, the Social Security Administration announced on Wednesday.
The 5.9% COLA will be the biggest boost to Social Security beneficiaries’ checks in about 40 years.
In 2021, the Social Security COLA was 1.3%.
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Social Security beneficiaries will see the increases in the monthly checks starting in January. The estimated average monthly benefit for all retired workers will rise to $1,657, up from $1,565.
Social Security’s benefits are adjusted annually using a specific set of Consumer Price Index data, the Consumer Price Index for Urban Wage Earners and Clerical Workers, or CPI-W.
New Consumer Price Index data released on Wednesday showed that consumer prices for September rose slightly more than expected.
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