Throughout the years of assisting our clients with their Social Security disability benefits, we are often asked “Does Social Security disability get cost of living increases?” The short answer is yes.
In 1973, cost-of-living-adjustments, also known as COLAs, were introduced to allow SSDI benefits to keep pace with inflation. These COLAs are based on increases found in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) and are calculated on a monthly basis by the Bureau of Labor Statistics.
How SSDI Payment Structures Change
The government calculates the SSD COLA by comparing the average CPI-W for the third quarter of the year when the most recent COLA became effective, in this case 2021, to the average CPI-W for the third quarter of the current year. If there is an increase, it is rounded to the nearest tenth of one percent and that becomes the amount of the COLA for the upcoming year.
Will Social Security Disability Get A Raise In 2023?
Yes. As of September 2022, more than 7.7 million workers were receiving Social Security disability benefits. These recipients will receive an increase of 8.7% starting January 2023. According to the Social Security Administration (SSA), the average monthly SSDI benefit for a disabled worker will increase by about $119 due to the 2023 COLA. This will raise the typical monthly benefit from $1,364 to $1,483.
California Social Security Disability Benefits Attorneys
At Peña & Bromberg, PLC, we understand that navigating through the many layers of the Social Security disability process can be overwhelming. Since the majority of initial disability applications are denied, having experienced legal representation can make all the difference in achieving a successful outcome.
Our dedicated legal team is committed to helping you obtain all the Social Security benefits you are entitled to, as well as ensuring you maintain your eligibility for these benefits. If you or a loved one needs assistance obtaining SSDI benefits, call our office for a free consultation or complete the contact form here on our website.