Social Security Direct Deposits of up to $4,873 To Go Out This Week

by

Retirees receiving Social Security benefits can expect their payments this week, with the Social Security Administration (SSA) set to disburse checks to those with birthdays between the 11th and 20th of any given month. These beneficiaries will receive their payments on Wednesday, August 21. Those with birthdays between the 1st and 10th were paid last week, while individuals with birthdays from the 21st to 31st will receive their money next Wednesday, August 28.

The SSA advises beneficiaries to wait three working days before contacting the administration if their payments haven’t arrived as scheduled.

The amount each recipient receives varies, influenced by factors such as the age they began claiming benefits and their earnings during their highest-paid years. The maximum benefit for 2024 is $4,873 per month, available only to those who start claiming at age 70. If you choose to begin benefits at the earliest possible age of 62, the maximum benefit would be $2,710.

In June of this year, retirees and their family members constituted 87 percent of those claiming benefits from the SSA. The payments being made this week are part of the regular monthly disbursement process that affects tens of millions of Americans who rely on various types of Social Security benefits.

According to independent Social Security and Medicare policy analyst Mary Johnson, seniors can expect a 2.6 percent increase in their monthly payments. The Senior Citizens League (TSCL) also predicts that Social Security payments will rise by 2.57 percent, following an earlier estimate of 2.63 percent. These predictions reflect the impact of inflation, which dropped to 2.9 percent in July from 3 percent in June.

While lower inflation rates are generally beneficial for consumers, as they indicate that prices are not increasing at an unaffordable rate, they also suggest that Social Security recipients may see smaller cost-of-living adjustments (COLA) next year. The next official COLA update is expected to be announced in October.

“The estimates we’re seeing of COLA for 2025 signal an encouraging sign of cooling inflation,” said Alex Beene, a financial literacy instructor at the University of Tennessee at Martin, in an interview with Newsweek. “At the same point, seniors may look at this and still be frustrated, because the estimate still points to higher prices on many items sticking around. It’s progress, but perhaps not enough for seniors who are exhausted from seeing prices substantially over their pre-pandemic amounts.”

Jiya Rao
Latest posts by Jiya Rao (see all)

Leave a Comment