New York — Tens of millions of older Americans will see an increase in benefits this January when a new cost-of-living adjustment is added to Social Security payments.

Inflation has fallen from the four-decade high it reached in 2022, but the price increases that scorched the economy following the pandemic are still a source of hardship for many retired workers. Consider these statistics from the Schroders 2024 U.S. Retirement Survey: Fewer than 50% of retired workers believe they have enough money saved.

Millions of retirees who receive Social Security benefits will see a 2.5% cost-of-living increase to their monthly checks beginning in January

The Social Security Administration just announced how much more recipients will get in 2025 following its cost-of-living adjustment.

The cost-of-living adjustment for Social Security beneficiaries in 2025 will be much smaller than it was in 2024, now that inflation is cooling off.

Social Security recipients are expected to receive a smaller cost-of-living increase in January than in recent years as inflation moderates

The Social Security Administration announced 2025's cost of living adjustment (COLA) to Social Security checks.

A Social Security cost of living increase offers retirees options such as managing costs, saving or enjoying small splurges.

Prices accelerated in September, though the overall inflation rate continued to drift lower. The Consumer Price Index (CPI) was up 2.4 percent from a year earlier, the smallest 12-month increase since February 2021.