COLA increase in 2024: how to calculate your Social Security
If you want to estimate how much your Social Security benefits will be, thanks to this COLA increase in 2024, the formula was shared by a certified financial advisor. According to him, there are two ways you can approximate how much money you’ll get, and we’ll talk about both in the following minutes.
Here’s the first method: if it’s deducted from your check, add back your monthly Medicare Part B premium to the amount of your current Social Security check.
The typical monthly Part B premium in 2023 is $164.90, but higher-income recipients, such as single people earning over $97,000 and married couples earning over $194,000, have to pay extra.
When you’re done with the sum in the previous step, apply the COLA to the entire benefit, which includes the amount of taxes withheld. Then subtract the new Medicare Part B premium for 2024, along with the taxes at the rate you have withheld. Experts say that in 2024, the usual monthly Part B premium will be $174.70.
Keep in mind that people who earn more than $103,000 per year and married couples earning more than $206,000 per year will be required to pay more. There you have it; that should be a good approximation of how big your Social Security check will be in the upcoming year.
The second method you could use to see your Social Security benefit due to the COLA increase in 2024 is by multiplying the monthly benefit you currently receive by 1.032. While it won’t be an easy task, it would be a rough calculation.
We have one more thing to talk about regarding the subject of the COLA increase in 2024, so keep reading!
