social security increase 2023

social security increase 2023

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By the end of this year, social security recipients may see some major changes with some positive and others affecting finances.

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1. 8.7% with cost of living adjustment to seniors.

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The average benefit will increase from $146 to $1,827 per month after the COLA goes into effect. An average COLA of $238 for a spouse should increase to $2,972, while a widowed parent with two children could see a $282 increase to $3,520.

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2. Increase in the maximum benefit of Social Security.

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Waiting until age 70 to retire in 2023 sees a jump from $361 to $4,555 per month. The maximum would see an increase of $286 to $3,279 for those retiring at 65, while benefits of $266 and $240 would apply for those retiring at 66 and 67.

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3. Payroll taxes for Social Security will increase for big earners now.

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The wage base that sets that maximum income for the government payroll tax will give that number a boost from $13,200 to $160,200 for 2023.

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Those filing for early benefits at age 62 in 2023 will all have the same FRA as their older peers in 2022.

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social security increase 2023

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