Social Security Alert: Second Round of $1920 Payments Coming This October!

Social Security Alert: Second Round of $1920 Payments Coming This October!

Social Security for Retirees will arrive on October 16, 2024. It’s especially important for those who didn’t qualify for the previous payments on October 3 or 9. In light of this, the Social Security Administration (SSA) has announced that payments will continue according to the normal schedule; although the 2025 COLA will be announced by this time, the rate will not take effect until January 2025.

Eligibility for Second Round of $1920 Payments

Your Social Security check doesn’t have to be mailed Oct. 16—not every retiree is eligible to get it then. The due date depends largely on when you were born. Here’s who qualifies:

  • You must have been born between the 11th and 20th of any month or year.
  • SSI pays at a different time than Supplemental Security Income (SSI), so you should not be receiving it.
  • You’ve applied for Social Security and gotten approval.
  • You qualify for retirement benefits if you’re 62 years of age or older.
  • The October 16 payment is also available to people who qualified to begin collecting Social Security before May 1997.
  • You had to have followed the SSA rules about Social Security and been in good standing.

Social Security Disability Insurance (SSDI), individuals receiving such payments on October 16 may or may not have their amount differ, depending on work history and filing age.

Payment Amounts

Payment Amounts

How much you get from Social Security on Oct. 16 will depend on when you filed for benefits and what you made working. Here’s a breakdown of the potential payment amounts:

  • The maximum payment that could be paid if you filed for retirement benefits at age 62 is $2,710. If filing late, however, it often yields the largest benefit, up to 30 percent more than if you had filed earlier.
  • Filing at your Full Retirement Age (FRA), which is from 66 to 67, will also give you all your benefits. FRA is where the maximum payment is $3,822. Then, at this age, you’re entitled to 100% of your benefits and don’t have to worry about any additional credits for delaying your application.
  • If you are over age 70 when you file, you can get the biggest monthly payment possible. If retirees have worked for 35 years, had worked at jobs paying the taxable maximum the Social Security withholds (we’ll get to that in a moment), and managed to keep the taxable average between about $65,000 and $75,000 for 35 years, they’d be eligible for up to $4,873. But few retirees meet all these criteria, so this amount is rare.

Most Americans receive lower Social Security payments than average. By August 2024, the average monthly payment of all retired workers was about $1,920. This is typically the maximum amount offered to as many as the typical retiree who does not qualify for the maximum benefit.

Impact of Filing Age

It can be beneficial to file for Social Security sooner rather than later; however, you will reduce your monthly benefit if you file before full retirement age. Take for example, that if you apply at 62, you could see your benefits reduced by up to 30%. Early filing lets you get the benefits sooner, but at a more expensive price long term.

On the other hand, if you do decide to wait, you can delay your benefits until age 70, which means you will be able to earn delayed retirement credits that will add up to as much as 8 percent a year to those monthly payments. This maximises your benefits but you wait longer for any payments.

SSDI Payments

The payments are also available on October 16 for SSDI recipients born from the 11th through the 20th of any month. But SSDI payments tend to be less than Social Security retirement benefits. The maximum SSDI payment is $3,822, but the average SSDI recipient collects a lot less and most payments run around $1,539 per month.

As with retirees, the COLA increase to SSDI recipients is coming in January 2025, providing some relief from inflation, although the projected increase for 2025 under 2.5% may not be enough.

2025 COLA Announcement

The actual expense of the Cost-of-Living Adjustment (COLA) figure will not be included until January 2025, though the 2025 Cost of Living Adjustment figure will be announced by October 10. COLA projections are for just a 2.5% increase, a shade less than what has been seen in previous years as inflation has cooled.

Those making an average Social Security payment of $1,920 a month in 2025 would gain less than 2.5%, or approximately $48, to the new amount of about $1,968. The increase is small but will help counter rising living costs.

Future Payments

With your October 16 payment due and your 2025 COLA in sight, it’s a good time to ensure your finances are on course. If you’re a retiree or already receive SSDI benefits, budgeting is essential to managing living expenses, especially with the modest COLA bump coming up.

You can find out how your filing age and work history affect your benefits and make the best decisions about your financial future. On the flip side, for those on the verge of retirement, deciding when to file is absolutely critical because it determines just how much you receive every month.

FAQs

Q. When is the next Social Security payment date after October 9?

A. The next payment date is October 16, 2024.

Q. Who qualifies for the October 16 Social Security payment?

A. Retirees born between the 11th and 20th of any month are eligible.

Q. What is the maximum Social Security payment at age 62?

A. The maximum payment is $2,710 if you file for Social Security at 62.

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