2017 Social Security Changes – What You Need To Know

Social Security beneficiaries will notice several changes in their 2017 payments. The most prominent is a change in the cost-of-living from the Consumer Price Index. As a reflection of the increase in Cost of Living Adjustment (COLA) from Q3 of 2014 to Q3 2016, beneficiaries will receive a 0.3% COLA for 2017. It’s estimated that this will result in the average monthly payment of retired workers to increase about $5.00 above what they received in 2016. Maximum taxable earnings have also increased from $118,500 in 2016 to $127,200 in 2017. In addition the maximum payout for someone retiring at the full retirement age – 66 – will increase to $2,687. The maximum payout was $2,639 in 2016.A major change for married couples, at least those who turn 62 on January 2, 2016: They will receive the higher of the two benefit options, instead of being able to claim both a spousal payment and an individual payment at different times (which they could do previously and defer their own payment, resulting in an increase). For the full list of changes, visit the Social Security Administration site and view the full document here.