Affordable Housing Connections
October 14, 2020 COLA Special Edition
Cost-of-Living Adjustment (COLA) Information for 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 measures the cost of goods and services – in other words, a person's cost of living. If inflation increases, the CPI-W also goes up signaling that it costs more to pay bills overall. An increase in benefits – often referred to as a cost-of-living adjustment (COLA) – is intended to helps to offset these costs.
The Social Security Administration will mail COLA notices throughout the month of December to retirement, survivors, and disability beneficiaries, SSI recipients, and representative payees. But, if looking for benefit amounts earlier, applicants/residents can check online using the Message Center here at my Social Security account – as soon as early December.
Average Retiree Payment
Adding 1.3% Increase to 2020 Benefits Example:
$1523 X 1.3% = $19.79 more per month
$1523 + $19.79 = $1,542.79 per month
New Monthly SSA Rate Effective 01/01/2021 = $1,542.79
Already Completed Certs? If you have already completed January 2021 or February 2021 Annual Recertifications, there are no requirement to correct those certifications to incorporate this change. | Social Security Cost of Living Adjustment Remember to include the printable press release information from the Social Security Administration Office when calculating your applicant/resident's 2021 income. | Needing Updated SSA Letters Applicants and Residents needing updated SSA Benefit Letters can log into the Social Security Website using the link below. |
Already Completed Certs?
Social Security Cost of Living Adjustment
The 1.3 percent cost-of-living adjustment (COLA) will begin with benefits payable to more than 64 million Social Security beneficiaries in January 2021. Increased payments to more than 8 million SSI beneficiaries will begin on December 31, 2020.
All COLA adjustments can be seen using this link.
Since 1975, Social Security general benefit increases have been cost-of-living adjustments or COLAs.
Affordable Housing Connections
AHC Education and Leadership Center
Preparing Housing Professionals Today and Tomorrow