But when we look back at the data, it becomes clear that a 2.5% Social Security COLA isn't so terrible. In fact, it's a lot more generous than some of the COLAs beneficiaries have seen in the past. In 2024, Social Security benefits rose by 3.2%. The year prior, they increased by 8.7%. And in 2022, a 5.9% COLA came through.

In light of these numbers, it's easy to see why a 2.5% COLA for 2025 seems like a slap in the face. But you should also know that these recent COLAs were fueled by a period of ram

Social Security beneficiaries will soon experience a welcome change when benefits climb due to a cost-of-living adjustment.

Your Social Security statement estimates your future retirement benefits based on current earnings. Working over 35 years and delaying benefits past age 62 can increase your monthly payments.

David Bowie might not want to be a richer man, but most of us would like to be richer, and annual Social Security-related changes can help, to a modest degree. Here are some important things to know about Social Security changes for 2025.