Do people under 62 benefit from the Dec 22 8.7% COLA? Wife and I are 60, both have 35 years vested, and don't plan to take SS until 2029 (age 67). I stopped working and wife will stop in two years. Currently SS site projects my monthly to be $3,135 and hers as $3,264 ( total of $76,788) but when I key this into some retirement planners the total combined annual SS Benefits is increased at 2029 by $10K or more. Is that due in part to the Dec 22 Cola and an assumption that COLAs have avg @ 2.5% over past 25 years?

I was waiting to sign up for SS until April 2023 when I reach full retirement age (66 and 4 months). Would it be wise to sign up now and get the cola increase for 2023?
Thank you for your consideration,
Nancy

Hi Nancy. You don't need to sign up now in order to get credit for the 2023 cost of living (COLA) increase. All Social Security cost of living (COLA) increases that occur after a person turns age 62 are added to their Social Security retirement benefit rate regardless of when they start drawing benefits.

I turned 62 in September and am contemplating applying now. Will the COLA be affected by applying now, or should I wait until January 2023?

Hi. No. Since you turned age 62 prior to January 2 2023, your Social Security retirement benefit rate will be increased by the upcoming 8.7% cost of living (COLA) increase regardless of when you start drawing benefits.

Larry, I just turned 70 (October, 2022) and will receive my first Social Security check in November based upon my earnings. My wife will turn 67 in December. She claimed Social Security when she was 62, and I made a restricted application on her benefits at my FRA of 65. I was planning to suspend her benefits in December for three years until she is 70 to increase her benefits by 8% a year for three years. However, with the 8.7% COLA for 2023 and probably a large COLA in 2024 if inflation remains high, suspending her benefits does not appear to be wise.

Hi Larry if I turn 62 in 2022 will I receive the 8.7 cola raise

Hi. Yes. Everyone born prior to January 2 1961 will receive credit for the January 2023 Social Security cost of living (COLA) increase regardless of when they apply for their Social Security retirement benefits.

You may want to strongly consider using our software (https://maximizemysocialsecurity.com/purchase) to fully analyze all of your options so that you can determine your best strategy for maximizing your benefits.

Hi Larry I will be 62 on January 12th 2023 am I eligible to receive the cola benefit for social security

Hi. No, assuming that you're referring to Social Security retirement benefits. Only people born prior to January 2 1961 will have the January 2023 Social Security cost of living (COLA) increase added to their Social Security retirement benefit rate, and they'll receive the credit regardless of when they start drawing benefits.

Larry, I am planning to retire in December 2022. Should I begin SS benefits in December to take advantage of the cost-of-living increase they are talking about, or will I also get the increase if I start benefits in January 2023? I was eligible for benefits (66 and 2 months) in September of 2021. I ran your software and know maximize takes place at age 70, but we will need the funds as soon as I retire. Thanks

Are COLA increases calculated on Primary Insurance Amount only, or on Delayed Retirement Credit As well?

I was born June 1956 and will reach Full Retirement Age in October 2022. I plan to begin receiving benefits effective January 2023 in order to have the high COLA for 2023 added to the Delayed Retirement Credit that I will have in January to increase my benefits.

My Primary Insurance Amount is $2,710. The Delayed Retirement Credit is $54 as of Jan 2023. Will the January 2023 COLA increase be calculated on just the PIA, or on both?

If I am collecting survivor benefits currently but will be switching to mine at my full retirement age of 66 and 4 months, will my benefit be accruing the cola increases once I switch?

Thanks for the help.

If I retire early at age 65 in 2023 will my estimated benefit as per the SSA be increased by the COLA adjustment that will be determined this December?
Thanks Larry

Hi. Yes. Everyone born prior to January 2 1961 will receive credit for the January 2023 Social Security cost of living (COLA) increase regardless of when they apply for their Social Security retirement benefits. You don't need to be drawing benefits in order to get credit for the Social Security COLA increases that occur after you reach age 62.