Expect Tiny ’13 Social Security Benefit Increase
Social Security recipients shouldn’t expect a big increase in monthly benefits come January.
Preliminary figures show the pay raise will be between 1 percent and 2 percent, which will be among the lowest since automatic adjustments were adopted in 1975
The raise will be made official Tuesday, when the government releases inflation figures for September.
The cost-of-living adjustment is tied to a government measure of inflation adopted by Congress in the 1970s. It shows that consumer prices have gone up by less than 2 percent in the past year.
Monthly benefits for retired workers average $1,237, meaning the typical retiree can expect a raise of between $12 and $24 a month.
This year, Social Security recipients got 3.6 percent increase in benefits. That came after two years with no increase.
(Copyright 2012 by The Associated Press. All Rights Reserved.)