5. COLA in 2024 and inflation in 2024
If we were to analyze the studies of the Center for Retirement Research, we could easily notice that, generally, social security benefits will keep up with inflation. Usually, this is the case for the long term because during short periods they might get a little bit insatiable. Everything hinges on whether the price index is heading upward or downward at the time the COLA is calculated.
In 2024, the COALA benefit might not be too high because this is the effect if inflation cools down. And right now, inflation is trending downward.
Specialists say that they don’t expect inflation to take off in 2024, and this is good news for all of us. Hopefully, healthcare costs have fallen over the past year.
For Social Security beneficiaries who had premiums taken directly from their benefit payments, as do around 70% of Medicare members, a rise in the Medicare Part B premium in 2024 would partially negate the COLA increase.
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