Social Security recipients set to see largest increase in 40 years

RICHMOND, Va. (WWBT) - If you receive Social Security benefits, you will see even bigger payments in 2023.

It’s the most significant increase in Social Security payments in 40 years.

“It’ll help a great deal. It will really help,” Bascom Perkins, a retiree, said.

The increase would equal about $140 more each month for most recipients, and it’s needed more than ever.

The prices of groceries, gas, rent and mortgage make it more difficult for people to make ends meet. The increase in payments, however, is meant to help offset high expenses.

“It feels a little bit better, but like I said, it could be more,” Anna Jefferson said.

A little may not go a long way for some retirees, who are now considering going back to work just to put food on the table.

“Really, right now, I don’t have too much of a choice because I’ve been dipping into my savings,” Perkins said.

“Medicare is not going up this time, so you’re going to get a little more into your check. Medicare is actually going down about $5 Medicare Part B [also down] $5 a month,” Carl Carlson, NBC12′s financial expert, said.

While the boost in payments will help recipients fight inflation, Carlson said there’s a downside for future generations.

“One of the issues with it, though, is that it’s probably going to run that Social Security fund out earlier than expected,” Carlson said. “You’re going to have to start paying out a lot more money than they had planned previously,” he said.

Recipients won’t have to do a thing to get the extra money.

If inflation continues on its current path, Carlson said recipients could see an even higher increase in 2024.

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