Good news for those already on Social Security Disability (SSDI) or Supplemental Security Income (SSI) – the Social Security Administration recently announced that beginning December 31, 2018, benefit amounts will increase by 2.8 percent.
This means that for those recipients currently receiving the federal maximum SSI benefit of $750 per month, their check will likely increase to $771 next year. Couples who are both on SSI will be able to receive a maximum of $1,157 in benefits per month, an increase from $1,125 per month currently. Florida does not provide additional funds to SSI beneficiaries, so for SSI beneficiaries living in Florida, these amounts represent the maximum benefit available.
The increase in SSDI benefits varies, because the amount of benefit claimants receive is based on the income they were able to pay into the system when they were working. For those currently receiving SSDI benefits, you can calculate your new benefit beginning next January by multiplying your current benefit amount by 1.028.
Social Security and SSI beneficiaries are typically notified by mail in early December about their new benefit amount.
This rate increase is the highest cost-of-living adjustment in seven years, when the increase was 3.6 percent in 2012.
How is the cost of living calculated? Each year, the rate of inflation is averaged from July through September and compared to the same three-month period the year before. This year, much of the reason for the increase is due to higher rents, higher gas prices, and higher health care costs.