What the High Social Security COLA Could Mean for Your Retirement Finances

Social Security recipients will see a 5.9% increase in 2022 – the largest increase since 1982! This means that the average recipient will see a $92 a month raise starting next year.[1] While this is good news, it’s important to consider what this high Social Security cost-of-living adjustment (COLA) could mean for your overall retirement finances. Why is This Year’s COLA So High? This year’s 5.9% cost-of-living COLA is meant to offset the increased inflation we’ve seen this year. The year-over-year inflation rate for September was 5.4%,[2] and no one knows when it will return to more normal levels. […]