The Social Security Administration announced a 1.3% cost of living adjustment (COLA) for 2021Tuesday, increasing the amount the program’s 64 million recipients will receive.
However, the adjustment will not amount to much. The average monthly benefit people in the program receive will increase by just $20 a month from $1,523 to $1,543. The COLA adjustment is the smallest in the history of the Social Security program.
“People who have been receiving benefits for 12 years or longer have experienced an unprecedented series of extremely low cost-of-living adjustments (COLAs),” Mary Johnson, Social Security and Medicare policy analyst at The Senior Citizens League, said in a statement.
The COLA adjustment is 1.6% this year, 2.8% last year, and 2% in 2018. In 2016 and 2017 the COLA adjustment was a combined 0.3%
COLA adjustments, which began in 1975, were created to counteract the costs of inflation. However, senior advocacy groups say costs have risen faster than inflation. According to the Senior…