3 Major Changes For SSI After The 2025 COLA Increase: What You Need To Know

The Social Security Administration (SSA) has announced significant updates for Supplemental Security Income (SSI) recipients following the 2025 cost-of-living adjustment (COLA) increase.

This adjustment is aimed at helping beneficiaries keep pace with inflation, offering a slight financial boost in the new year.

Let’s break down three of the most impactful changes SSI recipients can expect in 2025.

Early Payment in December 2024

One of the first changes involves the payment schedule. While most recipients of Social Security benefits will start receiving their COLA-adjusted payments in January 2025, SSI recipients will receive their first boosted check on December 31, 2024.

This is 24 hours ahead of schedule because January 1 is a federal holiday, and payments cannot be processed on that date.

This early payment ensures SSI recipients don’t experience any delays due to the holiday. So, if you’re receiving SSI, expect to see the extra funds in your account before the new year officially begins.

New Maximum SSI Amounts

The COLA adjustment will also raise the maximum SSI benefit amounts. Here’s what to expect:

• For essential persons (people living with and caring for the SSI recipient): The maximum benefit will increase from $472 to $484.
• For individuals: The maximum benefit rises from $943 to $967.
• For married couples: The maximum amount jumps from $1,415 to $1,450.

If you receive less than the maximum amount, the SSA will apply the same percentage increase to your current payments. For example, if you’re currently receiving $500 per month, you’ll receive $512.50 after the COLA increase. Similarly, if you’re receiving $900, the new payment will be $922. This increase roughly translates to an additional $2.50 for every $100 in benefits.

For anyone curious about their exact new payment, you can check the updated amount through your my Social Security account once the adjustment goes into effect.

Higher Student Exclusion Limits and Disability Thresholds

Another crucial update pertains to SSI’s student exclusion and disability thresholds. Here’s what you need to know:

Student Exclusion Limit

SSI recipients who are students can exclude part of their earnings from being counted against their benefits. Starting in 2025, the monthly student exclusion limit will increase from $2,290 to $2,350.

Over the course of the year, this adds up to an annual exclusion limit of $9,460, which is an increase of $230 from the current $9,230 limit.

This change will allow student recipients to earn more while still maintaining their SSI eligibility. It’s a valuable benefit for young people trying to balance education and income without losing their essential support.

Disability Work Thresholds

For SSI recipients working while on disability benefits, there will also be adjustments to the Substantial Gainful Activity (SGA) limits, which determine how much you can earn before your disability payments are affected. Here’s the new breakdown:

• Non-blind individuals: The monthly threshold increases from $1,550 to $1,620.
• Blind individuals: The monthly threshold will rise from $2,590 to $2,700.

If you are participating in a Trial Work Period (TWP)—a program allowing you to test your ability to work without losing your disability benefits—the new threshold will increase from $1,110 to $1,160 per month.

If you are an SSI recipient with a disability and are earning income, it’s essential to be mindful of these new limits. Exceeding the thresholds could impact your eligibility or the amount you receive, so keeping track of your earnings is critical.

The 2025 COLA increase brings a range of changes designed to help SSI recipients keep up with inflation, including higher maximum payments, student income exclusions, and disability work thresholds.

These adjustments may seem small, but they can make a meaningful difference in the monthly budget of those relying on SSI.

By staying informed of these changes and keeping track of your income, you can ensure that you maximize your benefits and avoid any unintended reductions in your payments.

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