Retirees who rely on Social Security benefits for income will get some relief from record high inflation when an 8.7% cost-of-living adjustment kicks in next year.
But two factors — the size of Medicare Part B premiums and taxes on benefits — may offset just how much bigger those monthly checks will be in 2023.
The good news is that the standard monthly premium for Medicare Part B, which covers outpatient and medical coverage, is set to go down by 3% next year, to $164.90 from the current rate of $170.10. Because those premiums are typically deducted directly from benefit checks, a lower rate will make it possible for more beneficiaries to see the bump from the cost-of-living adjustment, or COLA.
What a record 8.7% Social Security cost-of-living adjustment could mean for taxes on benefits
- by: Lorie Konish
- 10-20-2022
- Source:
CNBC
- 10/20/2022
Social Security by frankieleon is licensed under Flickr Flickr
Social Security by frankieleon is licensed under Flickr Flickr
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