The Average Social Security Check + How Much To Expect In 2023

The Social Security Administration (SSA) provided Social Security benefits to over 66 million Americans with disabilities and retirement income in 2022. As inflation and cost of living increased throughout the year, the SSA increased benefits by 8.7%. This boosts the average Social Security check to $1,827 in 2023.

Social Security payments vary based on the beneficiary’s specific circumstances, like whether they receive survivor or retirement benefits and how many years they worked and paid into Social Security.

We’ve pulled Social Security payment averages, cost of living updates, and Medicare Part B details to help you manage your finances for the year.

The SSA offers cost of living adjustments (COLA) based on inflation to ensure beneficiaries can maintain their living standards. Beneficiaries received an 8.7% increase in their Social Security payments beginning in 2023.

Consumer prices averaged 6.5% higher in 2022 across categories, while food costs increased 10.4% alone. As inflation tends to increase annually, it’s common to see Social Security checks grow to accommodate increasing costs.

While all beneficiaries enjoy COLA increases, the average Social Security check varies between beneficiary groups. Retirees are estimated to receive $147 more a month in 2023, while disability beneficiaries will receive $119 more.

The amount of Social Security benefits you can receive depends on the age you retire. People who retire at the current retirement age (66) max out at $3,627 in 2023. Retirees can earn more for delaying retirement or less while enjoying early retirement.

Your lifetime earnings determine your Social Security payments, and the SSA calculates your average monthly earnings based on the 35 years you earned the most at work. Working longer and at a higher wage can help you reach the maximum Social Security payout.

Americas 18 and older can review their earnings record at SSA.gov.

A person must have worked at least 1 1 years of coverage as defined by the SSA to receive special minimum benefits. Special minimum benefits are also known as a primary insurance amount (PIA), which provides payments for longtime low-earners.

PIA payments vary based on the years of coverage an individual worked. PIA is also the amount a worker earns at retirement age without early or late retirement considerations.

PIA benefits increase automatically with Social Security increases, and you can track them through the SSA.

Social Security checks aren’t always enough to make ends meet — even with COLAs. There are several ways Americans can cover their expenses if their benefits don’t stretch as far as they need them.

Planning for retirement and investing in 401(k) accounts, individual retirement accounts (IRAs), and annuities offer tax-advantaged savings opportunities to cover retirement costs. These are especially helpful if you want to retire early or guarantee you’ll have income for as long as you live.

Some workers choose to delay retirement until age 70 when they’ll earn retirement credits offering up to 8% more income in 12 months. This boosts your monthly earnings to help you get by but may result in fewer retirement earnings, depending on your life expectancy.

Workers who aren’t willing to delay retirement but also want to continue working may still receive their maximum Social Security benefits in addition to a regular paycheck. Americans in full retirement can earn up to $21,240 in 2023¹⁰ before losing Social Security benefits.

The SSA doesn’t just determine Social Security COLA but also Medicare Part B premiums, deductibles, and coinsurance rates annually.

In 2022, the SSA increased Medicare Part B expenses to fund new drugs and spent less than projected. The SSA uses those savings to decrease Medicare Part B costs in 2023. This includes decreased monthly premiums and lower annual deductibles for enrollees.

Medicare Part B provides medical insurance to cover outpatient services, home health care, durable medical equipment like wheelchairs, and preventative services.

The SSA determines benefit increases annually based on cost-of-living and inflation fluctuations. In 2023, the average Social Security check increased by 8.7% to $1,688.35.

Medicare Part B expenses are also affected by inflation and have decreased after federal spending came in under budget in 2022. Learn more about Medicare Part B coverage and costs.