SS COLA is 3.3% for next year

Monthly Social Security and Supplemental Security Income benefitsfor more than 53 million Americans will increase 3.3 percent in 2007,the Social Security Administration announced today.

SocialSecurity and Supplemental Security Income benefits increaseautomatically each year based on the rise in the Bureau of LaborStatistics’ Consumer Price Index for Urban Wage Earners and Clerical Workers(CPI-W), from the third quarter of the prior year to the correspondingperiod of the current year.  This year’s increase in the CPI-W was 3.3percent.
   
The 3.3 percent Cost-of-Living Adjustment (COLA)will begin with benefits that nearly 49 million Social Securitybeneficiaries receive in January 2007.  Increased payments to more than7 million Supplemental Security Income beneficiaries will begin onDecember 29.

Someother changes that take effect in January of each year are based on theincrease in average wages.  Based on that increase, the maximum amountof earnings subject to the Social Security tax (taxable maximum) willincrease to $97,500 from $94,200.  Of the estimated 163 million workerswho will pay Social Security taxes in 2007, about 11 million will payhigher taxes as a result of the increase in the taxable maximum in2007.

GET THE FACT SHEET:  http://ssa.gov/pressoffice/factsheets/colafacts2007.htm

Information about Medicare changes for 2007 can be  found at www.cms.hhs.gov