Why Social Security Will Go Up in 2019 And How You Can Prepare for It

Advisor April 16, 2020

Despite the expected rise in Medicare Part B premiums, a lot of retired workers will access checks by January next year. If you are a beneficiary, you can check the amount you would be entitled to. There are two options, printed notices on paper via mail or your personal portal on Social Security website.

Retirees are excited and anxious at the same time to know what their Social Security check holds in store for them in the new year. You are probably among those retirees and you can’t wait to find out the concealed figures for 2019.

The expenses for living amendments by the Social Security Administration, commonly known as ‘COLA’ (Cost-of-living adjustment), has been published via their website. You can now check for your cost by visiting your personal page on ‘My Social Security’. Details of the COLA can be accessed on the menu at the massage corner. Meanwhile, don’t be dismayed if you are unable to see your updates the first time. Normally, this process sometimes requires multiple trials before it goes through so keep trying till you succeed.

Next year will be better for retirees.

Speaking on the current development, a female representative of the Social Security Administration said that the organization’s online site is going through an unusual weight of log per trial, something that has not been experienced before. The representative added that this uncommon occurrence is happening while a large number of their beneficiaries are seeing their updates on the site. She, however, added that some clients among their list are unlucky because they are unable to get their past access codes.

Beneficiaries of Social Security have been earmarked to receive 2.8% raise by next year, after the announcement made about a COLA by the organization itself last October. The development ushered in the largest boost, after the 2012 unusual increase. As at then, COLA was 3.6%.

Fact sheet contents

Updates on cost-of-living adjustments will also be sent by emails later in December 2018 to give details on The Social Security Administration. Present recipients, as well as the retirees who collect their own updates online, will get paper updates.

Social Security Administration published the releases some days ago.

Updates via the website will be made inaccessible for people who possess international addresses, as well as people who bear the higher cost for Medicare premiums as a result of their earnings.

Prior to this time, The Social Security Administration published the fact sheet which reveals the ways by which the cost-of-living adjustments for next year could transform benefits and privileges for recipients every month.

Average Social Security benefits per month eligible for payment by the first month of 2019 (costs)

Recipients

Prior

2.8% COLA

Subsequent

2.8% COLA

Every retired staff

$1,422

$1,461

An elderly couple, the two of them collecting

$2,381 $2,448

A widow with 2 children

$2,797 $2,876

Elderly widow or widower (single)

$1,348 $1,386

Workers living with a disability, a spouse with one child and above

$2,072 $2,130

Every worker living with a disability

$1,200 $1,234

Published by: Social Security Administration

Medicare transformations

By next year, Medicare Part B premiums will also experience hike, according to its schedule. However, the effect will not be strong to the extent of sweeping off privileges and benefits meant for numerous recipients of Social Security COLA.

Majority of the citizens will have to be bound by the policy of Medicare Part B premium charge of $135.50 by the new year.

Meanwhile, in case your altered amended gross earning is above a specific rate, may be about or more than $85,000, and your registered request shows you as a single applicant, your charges will be higher.

The amount you bear its cost in respect to premiums next year is dependent on your return tax of last year.

2017 earning has to do with your 2019 Medicare Part B premium.

The status of the Medicare Part B premium that belongs to you next year is according to your annual earning of last year.

File tax return for one person

About or less than $85,000

More than $85,000 – $107,000

More than $107,000 – $133,500

File tax return for more than one person

About or less than $170,000

More than $170,000 – $214,000

More than $214,000 – $267,000

File tax return for both married and separated

About or less than $85,000

Not recognized

Your monthly charges (2019)

$135.50

$189.60

$270.90

Published by: Medicare.gov

Approximately 2 million recipients of Medicare will eventually bear cost lower than $135.50 in 2019 because of the “hold harmless” policy which provides protection to specific recipients from bearing more costs for Part B premiums.