The 2025 federal cost-of-living adjustment (COLA) is a scheduled enhance in Social Safety and Supplemental Safety Earnings (SSI) advantages that can take impact in January 2025. The COLA is designed to assist beneficiaries hold tempo with rising inflation and be certain that their advantages keep their buying energy.
The COLA is calculated primarily based on the Client Value Index for City Wage Earners and Clerical Staff (CPI-W), which measures the change in costs for a basket of products and companies bought by city wage earners and clerical staff. If the CPI-W will increase from one yr to the following, the COLA shall be elevated by the identical share. The COLA is capped at 8.7%, which signifies that if the CPI-W will increase by greater than 8.7%, the COLA will solely be elevated by 8.7%.