Changes to Social Security in 2022
The government has brought many changes to Social Security in 2022. Here is a summary of some of the changes you should be aware of and where you can find out more information about each one.
1. Cost-of-Living Adjustment (COLA)
In 2022, you can expect a 5.9% increase in your benefits as a cost-of-living adjustment due to inflation. This applies to individuals receiving SSI and SSDI. Find out more about the COLA here.
2. More Taxable Income
Starting this year, workers will pay 6.2% in Old Age, Survivors, and Disability Insurance tax on $147,000 of their wages. Last year they could only be taxed on up to $142,800. Find out more information here.
3. Retirement Age
For this year, those born in 1960 who have reached the age of 62 can claim Social Security benefits. However, those born after 1960 will have to wait until they are 67 to begin receiving benefits. Find out more information about how your age will affect your benefits here.
4. Working Reduces Immediate Benefits
- If you are receiving Social Security benefits while continuing to work, your benefits may be reduced for now if you earn over a certain amount.
- If you earn above $19,560 and are under full retirement age, your benefits will be reduced by $1 per every $2 you earn over that limit.
- If you reach full retirement age this year and begin receiving SSI, you will have an earning limit of $51,960 and your SSI benefits will be reduced by $1 per every $3 you earned over the limit.
- Those who are of full retirement age do not have any limitations or reductions on their benefits.
- If your benefits are reduced, you will the reduction amount back once you reach full retirement age.
- You can find more information here.
5. Increase in the Maximum Payout
The more you earn while working and the longer you wait, the higher your benefits will be. If you are of full retirement age this year, you could receive as much as $3,345 per month in benefits. This is several hundred more than in 2021.
Find out More About Your Benefits
Are you unsure of the status of your benefits? You can create or log in to your My Social Security account to see your lifelong earnings and estimates of payouts at age 62 and beyond. You might also begin receiving these statements in the mail.
For More Information
If you want more information or need help understanding or applying for benefits, let us know. We can guide you through getting the SSI, SSDI, or Special Veterans Benefits you need.
Contact Lowery Law Group at email@example.com or call (843) 991-0733. There is no fee for a free consultation regarding your claim. Lowery Law Group is experienced in handling cases in South Carolina as well as Georgia.