What the 2025 COLA increase is

The 2025 Cost of Living Adjustment (COLA) for Social Security Disability Insurance (SSDI) is 2.5 percent. This means that if you receive SSDI benefits, your monthly payment increased by 2.5 percent starting in January 2025. The increase is automatic — you do not need to do anything to receive it.

The Social Security Administration calculates COLA each year based on inflation data from the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). When inflation rises, COLA rises with it. When inflation is lower, COLA is lower. The 2.5 percent figure for 2025 reflects the inflation that occurred between the third quarter of 2023 and the third quarter of 2024.

This increase applies to all SSDI beneficiaries — both adults receiving disability benefits and children whose parents receive benefits on their account. It also applies to Supplemental Security Income (SSI) recipients, a separate program for people with disabilities who have limited income and resources.

Key Takeaways

  • Your January 2025 SSDI payment is 2.5 percent higher than your December 2024 payment, with no action required on your part.
  • The COLA increase is based on inflation measured by the Consumer Price Index and changes each year depending on how much prices rose.
  • You will see the new amount on your Social Security statement, in your online account at ssa.gov, or on your bank statement if you receive direct deposit.
  • The increase applies to your entire benefit amount, including any family members who receive benefits based on your work record.

How much your payment increased

The exact dollar amount of your increase depends on what you were receiving in December 2024. If your monthly SSDI payment was $1,000, your new payment is $1,025. If it was $1,500, your new payment is $1,537.50. Multiply your previous payment by 1.025 to find your new amount.

The average SSDI benefit in 2024 was approximately $1,550 per month. With the 2.5 percent increase, the average benefit rose by about $39 per month. However, your own increase depends on your individual benefit amount, which is based on your work history and the age at which you became disabled.

If you have a family member receiving benefits on your account — such as a spouse or child — their payment also increased by 2.5 percent. Each family member's increase is calculated on their own benefit amount, not on yours.

When the increase took effect

The 2025 COLA increase became effective on January 1, 2025. If you receive SSDI by direct deposit, the new amount appeared in your bank account with your January payment. If you receive a check by mail, your January check reflected the new amount.

You should see the updated benefit amount on your Social Security statement, which you can view anytime by logging into your account at ssa.gov. You can also call Social Security at 1-800-772-1213 (TTY 1-800-325-0778) to confirm your new payment amount.

Why COLA changes from year to year

COLA is not fixed. It changes based on how much inflation occurred in the previous year. In 2024, the COLA increase was 3.2 percent. In 2023, it was 8.7 percent — the largest increase in four decades, reflecting the high inflation of 2022. In 2022, the COLA increase was 5.9 percent.

The Social Security Administration announces the next year's COLA in October, based on inflation data released earlier that month. This means you know what your increase will be before January arrives. The 2026 COLA will be announced in October 2025.

COLA protects your purchasing power over time. Without it, your monthly payment would stay the same even as prices for food, housing, and medical care rose. The adjustment helps may support that your benefits keep pace with the cost of living.

How to verify your new payment amount

The easiest way to see your updated benefit is to log into your account at ssa.gov using your username and password. Your statement will show your current monthly benefit amount. If you do not have an online account, you can create one in a few minutes.

You can also request a paper statement by calling Social Security at 1-800-772-1213. A representative can tell you your new benefit amount over the phone and answer questions about the increase. Wait times are usually shorter early in the morning or later in the afternoon.

If you receive benefits by direct deposit, your bank statement will show the new amount in your January deposit. If you receive a check, the check stub or the check itself will show the new payment amount.

What happens if you think there's an error

If your new payment amount seems wrong, contact Social Security directly. Do not assume the amount is correct just because it appeared in your account. Social Security makes mistakes, and catching them early matters.

Call 1-800-772-1213 with your Social Security number ready. A representative can review your account and explain how your benefit was calculated. If an error occurred, Social Security can correct it and issue back pay if you were underpaid.

Keep records of your previous payment amount so you can compare it to your new amount. If the increase is not 2.5 percent of your old payment, ask why. Common reasons include a change in your work record, a change in your family situation, or a correction to a previous error — but you should understand the reason.

COLA and your other benefits or income

The COLA increase to your SSDI does not affect your Medicare coverage or your Medicare premiums. If you are enrolled in Medicare, your premiums are deducted from your SSDI payment, but the COLA increase is applied before the deduction.

If you also receive Supplemental Security Income (SSI), that benefit also increased by 2.5 percent. SSI is a separate program with its own payment amount, and it has its own COLA increase each year.

If you work and earn income, the COLA increase does not change how your work earnings affect your benefits. The rules about how much you can earn without a reduction to your SSDI remain the same.

Frequently Asked Questions

Do I have to do anything to get the 2025 COLA increase?

No. The increase is automatic. Social Security applies it to your account on January 1, 2025. You do not need to contact Social Security, fill out a form, or take any action. The new amount appears in your next payment.

What if I disagree with the amount of my increase?

Call Social Security at 1-800-772-1213 and ask a representative to explain how your new benefit was calculated. They can review your account and tell you whether the 2.5 percent increase was applied correctly. If an error occurred, Social Security will correct it.

Will the 2025 COLA increase affect my taxes?

SSDI benefits are generally not taxable, so the increase does not create a new tax liability. However, if you have other income, a portion of your SSDI may be taxable. The increase might affect whether you cross the income threshold for taxation, but this depends on your individual situation. Consult a tax professional if you are unsure.

When will the 2026 COLA be announced?

Social Security announces the next year's COLA in October. The 2026 COLA will be announced in October 2025. The announcement is based on inflation data released by the Bureau of Labor Statistics earlier that month.

Can the COLA increase be taken away?

No. Once the COLA increase takes effect, it becomes part of your ongoing benefit amount. Future COLA increases are calculated based on this new amount. The only way your benefit would decrease is if your circumstances change — for example, if you return to work and earn above the limit, or if you become ineligible for SSDI for another reason.