There are numerous changes that Social Security recipients can expect for 2022, which is only one week away.
70 million Americans collect benefits and are impacted by these changes.
One major change is an increase in COLA, but there are even more to expect.
Related: Missing Social Security or SSI check? Here are 4 reasons why it may not have arrived
Here are 5 major changes to Social Security happening next week in 2022
The first, and most well known, change is the increase in COLA, also known as cost of living adjustments.
This happens every year to help those on a fixed income keep up with inflation.
This year the COLA increase was 5.9%. Data revealed that the rise of inflation has risen over 6% in 2021.
This increase will raise recipients checks by 5.9%.
Related: You may have your food stamp SNAP benefits cut with the Social Security COLA increase
Couples will see around $154 more per month while individuals will see about $92 more per month.
Another change for Social Security is that those collecting SSDI, or disability insurance, will see a 5.9% increase as well.
Those will give beneficiaries around $76 more per month.
Those collecting SSDI have disabilities that do not allow them to work or force them to work less.
The goal is to make up for that missing income.
Related: Here are 3 ways to make sure you get the most out of Social Security when it’s time to claim benefits
The earnings limit is set to increase in 2022.
Anyone making over a certain limit will usually see their benefits decrease, and next year that threshold will rise.
During 2021, the SSA would withhold $1 for every $2 earned past $18,960.
In 2022, the SSA won’t begin withholding until you surpass $19,560.
These incomes are for those who collect below their full retirement age.
Related: Date COLA goes into effect for Social Security and SSI, how it changes your benefits
In 2022, those at full retirement age won’t see earnings withheld until they reach $51,960.
The credit earning threshold will rise from $1,470 in 2021 to $1,510 in 2022.
You need 40 credits to retire.
Finally, another big change is that workers will need to pay more tax on Social Security.
In 2021, the cutoff for paying taxes was $142,800.
In 2022, it will be $147,000.
FingerLakes1.com is the region’s leading all-digital news publication. The company was founded in 1998 and has been keeping residents informed for more than two decades. Have a lead? Send it to [email protected]