Social Security’s cost-of-living adjustment will be 5.9% for 2022, reflecting accelerating inflation in the United States, the Social Security Administration announced Wednesday.
Every year, the Social Security Administration increases payouts to reflect changes in price levels. Indeed, the 5.9% hike for 2022 — which is the highest in four decades — comes as year-over-year inflation in the United States surges to 5.4%.
The Social Security Administration explained that the rate hike will affect 64 million Social Security recipients and 8 million Supplemental Security Income beneficiaries.
The adjustment is in line with rates witnessed early in President Jimmy Carter’s administration — 5.9% in 1977 and 6.5% in 1978. After surging to 9.9% in 1979 and 14.3% in 1980, the adjustment began to decline once President Ronald Reagan and Federal