This year, the clock resets as a new round of Social Security payments for 2025 begin. Social Security provides essential support for nearly 78 million Americans. While most of these payments are for retirement, other beneficiaries receive support for disability and well as Supplementary Security Income (SSI) for those who have little to no income. This year, payments are expected to rise as they do each other to keep up with costs of inflation.
Social Security payment dates for January 2025
Payment dates for Social Security beneficiaries will adhere to the same schedule as last year expect in the cases when a payment date falls on a public holiday or weekend. For those who may be receiving Social Security payments for the first time this year, or existing beneficiaries who would like clarification, here are key dates to look our for this month for when you can expect your payment to be made depending on which program you are part of:
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SSA beneficiaries who started getting benefits before May 1997: Jan. 3
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Birthday between the 1st and 10th of the month: Jan. 8 (Second Wednesday of the month)
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Birthday between the 11th and 20th of the month: Jan. 15 (Third Wednesday of the month
- Birthday between the 21st and 31st of the month: Jan. 22 (Fourth Wednesday of the month)
Usually, if you receive SSI payments, these are made on the 1st of each month. However, for the January payment, beneficiaries would have received it on the 31 December 2024 due to January 1 2025 being a holiday. This will be the same case for February 1 2025 payments this year as the February 1 2025 falls on a weekend which means the payments will go out a day early on January 31 2025.
New changes for Social Security in 2025
This year, beneficiaries will see their payments increase by 2.5%. This is due to the new cost-of-living adjustment (COLA) increase which ensures that Social Security payments keep up with the rising cost of living and inflation. Many beneficiaries rely solely on Social Security to receive and income. It is therefore vital that these payments increase each year so that beneficiaries can pay for expenses each month.
In addition to the new COLA increase, the new Fairness Act is set to commence this year. The bill was signed into law on Monday by President Biden and will boost Social Security payments for nearly three million beneficiaries who also draw an income from a public pension. The bill will cost $195 billion over the next ten years. Some critics have warned that the new legislation will weaken the already precarious state of the fund’s reserves.
Uncertainty regarding Social Security’s reserves
This year, President-elect Trump will begin his second non-consecutive term as president. With a new administration taking up residence in the White House, pressing questions around the state of the Social Security fund’s reserves are expected to be addressed by the Trump administration. During his campaign. Trump promised that payments for Social Security beneficiaries will not be cut. With this in mind, an alternative route to extending the longevity of the Social Security fund is to raise Social Security taxes.
Extending the longevity of Social Security is critical to ensuring the financial security of future generations. As the population ages and the number of retirees grows, the program faces increasing strain, with projections showing the trust fund could be depleted in the coming decades. Without action, future beneficiaries may see reduced benefits. To address this, policymakers must explore solutions critically. Safeguarding Social Security’s sustainability is essential for providing economic stability and support to millions of retirees, disabled individuals, and their families for years to come.
While changes are expected for next year, beneficiaries can be rest assured that the program will not disappear entirely. While reforms are needed, the Social Security fund is a cornerstone of American legislation and will not be cut.
