Don’t expect a substantial cost of living amount (COLA) increase in your Social Security checks in 2025. The latest estimates put the COLA at 2.6%, according to the non-profit Senior Citizens League, down from 2.7% in July and 3.2% last year. The drop reflects the easing of inflationary pressures.
Unfortunately, good inflation news is bad news for the COLA. The easing inflation rate means retirees will get a smaller increase. While a lower inflation rate should lead to a smaller increase in prices, it does nothing to lower current prices for groceries, utilities or housing that many are struggling to meet.
