The most significant raise of their lives are given to tens of millions of senior Americans.
The U.S. government announced the most significant increase in four decades, 8.7%, will be paid out in extra monthly benefits to Social Security recipients Thursday.
All of this is a part of a yearly routine in which Washington modifies Social Security payouts to match inflation or at least a specific measure of it.
The change also referred to as a COLA or cost-of-living adjustment, is highly contentious.
Critics claim that the government’s statistics to determine the rise do not accurately reflect what older Americans spend and, consequently, the inflation they experience.
The benefit increase is universal, meaning beneficiaries receive the same raise regardless of where they live or their retirement savings.
A rise will benefit more than 65 million Social Security recipients.
The Social Security Administration has estimated that the average recipient will get more than $140 per month starting in January.