I filed for retirement benefits when I turned 68 in July 2016. The monthly amount (per the matrix provided by the SS representative) was the figure for January 2016. I understand that the delayed credits will be paid at a later date. However, I am still waiting for the credits to be paid and for my monthly benefit adjusted to the correct amount. My question pertains to applying the two COLA increases that have taken place (for 2017 and for 2018). Am I correct in assuming that the payment center will look at what I should have received in 2016 and apply the 2017 COLA to that figure and then do the same for 2018? Thank you!

Hi,

Yes, when Social Security gets around to giving you your additional delayed retirement credits (DRC), they will recalculate the COLAs increases that occurred after the effective date of the increase. They will then pay you any back pay due in a lump sum or as an addition to one of your regular benefit payments. My understanding is that the automated recomputations to include partial year DRCs is only done once every 2 years, so yours should be done sometime by the end of this year.

Just to be clear, though, the additional DRCs that you would be due for months in 2016 would be added effective with your benefit payment for January 2017. Those DRCs would not be used to increase your rate payable for the months of July through December 2016 (https://secure.ssa.gov/apps10/poms.nsf/links/0300615690).

Best, Jerry