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This year, Social Security beneficiaries saw a 3.2% increase to their benefits. The Social Security cost-of-living adjustment may also be 3.2% in 2025 based on the latest government inflation data, estimates Mary Johnson, an independent Social Security and Medicare policy analyst. That estimate may change between now and October, when the Social Security Administration announces next year's cost-of-living adjustment, or COLA. The average Social Security COLA has been 2.6% over the past 20 years, according to The Senior Citizens League. Many households tend to cut back on savings and increase withdrawals to try to lift themselves to where they were before inflation picked up.
Persons: Lourdes Balduque, Mary Johnson, Social Security COLA, Laura Quinby, It's, Quinby, Warren Buffett's Organizations: Social, Social Security, Social Security Administration, Senior Citizens League, Center for Retirement Research, Boston College, Center for Retirement, Finance
Willie B. Thomas/Hinterhouse Productions | Getty ImagesFor married women, it's a different storyHowever, part of the increased parity in retirement security is due to a decline in such security among married women, Quinby said. That's tied to the stagnating fortunes of men married to women, with the Great Recession hitting them harder than their female counterparts, the researchers say. For those who were in their prime working years, high unemployment and slow wage growth affected their ability to save for retirement. For single women, it has jumped about 28% to $290,000 from $227,000. At the same time, retirement security overall peaked for "war babies" (those born in 1942-1947), Quinby said.
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