Is 3.2% Enough? Social Security COLA Forecast for 2024

2024's Social Security cost-of-living adjustment (COLA) is shaping up to be considerably smaller than 2023's.

The Senior Citizens League is projecting a 3.2% COLA for 2024.

A 3.2% COLA would give the average monthly $1,790 benefit a $57 lift.

While a 3.2% COLA might seem disappointing at first, it's actually a fair and reasonable adjustment based on the data.

The purpose of COLAs is to help Social Security recipients retain buying power during periods of inflation, not necessarily to help them get ahead.

The Social Security Administration won't be able to officially announce a 2024 COLA until October, as COLAs are based on third quarter inflation data.

There's a chance 2024's COLA will end up a bit higher or lower than 3.2%, depending on how things shake out in September.

If you're worried that a COLA in the 3.2% range won't do much for your finances, think of other ways to

improve them, such as joining the gig economy or cutting back on expenses.