Good news for retired Latinos, social security checks will increase in 2023

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From that perspective, a 9% COLA in 2023 would be great news for retirees. The average benefit paid to retired workers would rise by about $150 per month, and that extra cash would help repair the damage done by inflation this year, especially if inflation continues to cool as it has in the last two months.

Among seniors 65 and older, Social Security is the sole source of income for 40 percent of Hispanics, 33 percent of African Americans, and 26 percent of Asian and Pacific Islanders, compared to 18 percent of whites.

More than 50 million Americans currently receive Social Security retirement benefits, and nearly nine in 10 retired workers say those monthly checks are an important source of income, according to a poll from Gallup. Unfortunately, many of those people have seen their financial well-being deteriorate over the past year as inflation has rippled through the U.S. economy.

Tumbling stock prices have erased $1.4 trillion from 401(k) plans, while wiping away another $2 trillion from individual retirement accounts, or IRAs. Meanwhile, Medicare Part B premiums jumped 14.5%, marking the second-largest price hike in the last decade, and the rising cost of food, fuel, and home utilities cut deeply into Social Security benefits.

Not surprisingly, many beneficiaries are looking forward to a massive cost-of-living adjustment (COLA) next year. And given the trajectory inflation has followed, Social Security’s COLA in 2023 could be as high as 9%, according to Marc Goldwein of the Committee for a Responsible Federal Budget. That would be the largest increase in benefits since 1981 on a percentage basis, and the largest increase in history in terms of nominal dollars. But a historic COLA brings both good and bad news for retirees.

Among seniors 65 and older, Social Security is the sole source of income for 40 percent of Hispanics, 33 percent of African Americans, and 26 percent of Asian and Pacific Islanders, compared to 18 percent of whites.