Skip to main content

U.S. Social Security 0.3% Benefit Increase for 2017

  • Synopsis: Published: 2016-10-18 - Monthly Social Security and Supplemental Security Income (SSI) benefits for more than 65 million Americans will increase 0.3 percent in 2017 - United States Social Security Administration (ssa.gov).

Main Document

The 0.3 percent cost-of-living adjustment (COLA) will begin with benefits payable to more than 60 million Social Security beneficiaries in January 2017. Increased payments to more than 8 million SSI beneficiaries will begin on December 30, 2016. The Social Security Act ties the annual COLA to the increase in the Consumer Price Index as determined by the Department of Labor’s Bureau of Labor Statistics.

Some other adjustments that take effect in January of each year are based on the increase in average wages. Based on that increase, the maximum amount of earnings subject to the Social Security tax (taxable maximum) will increase to $127,200 from $118,500. Of the estimated 173 million workers who will pay Social Security taxes in 2017, about 12 million will pay more because of the increase in the taxable maximum.

 

Tax Rate:

2016

2017

 

 

 

Employee

7.65%

7.65%

 

Self-Employed

15.30%

15.30%

NOTE: The 7.65% tax rate is the combined rate for Social Security and Medicare. The Social Security portion (OASDI) is 6.20% on earnings up to the applicable taxable maximum amount (see below). The Medicare portion (HI) is 1.45% on all earnings. Also, as of January 2013, individuals with earned income of more than $200,000 ($250,000 for married couples filing jointly) pay an additional 0.9 percent in Medicare taxes. The tax rates shown above do not include the 0.9 percent.

Maximum Taxable Earnings:

 

Social Security (OASDI only)

$118,500

$127,200

 

Medicare (HI only)

N o

L i m i t

 

Quarter of Coverage:

 

 

 

 

$1,260

$1,300

Retirement Earnings Test Exempt Amounts:

Under full retirement age

$15,720/yr.

$16,920/yr.

 

($1,310/mo.)

($1,410/mo.)

NOTE: One dollar in benefits will be withheld for every $2 in earnings above the limit.

The year an individual reaches full retirement age

$41,880/yr.

$44,880/yr.

 

($3,490/mo.)

($3,740/mo.)

NOTE: Applies only to earnings for months prior to attaining full retirement age. One dollar in benefits will be withheld for every $3 in earnings above the limit. There is no limit on earnings beginning the month an individual attains full retirement age.

Social Security Disability Thresholds:

Substantial Gainful Activity (SGA)

 

 

 

 

Non-Blind

$

1,130/mo.

$

1,170/mo.

Blind

$

1,820/mo.

$

1,950/mo.

Trial Work Period (TWP)

$

810/mo.

$

840/mo.

Maximum Social Security Benefit: Worker Retiring at Full Retirement Age:

$2,639/mo. $2,687/mo.

SSI Federal Payment Standard:

Individual

$

733/mo.

$

735/mo.

Couple

$

1,100/mo.

$

1,103/mo.

SSI Resources Limits:

Individual

$2,000

$2,000

Couple

$3,000

$3,000

SSI Student Exclusion:

Monthly limit

$1,780

$1,790

Annual limit

$7,180

$7,200

Estimated Average Monthly Social Security Benefits Payable in January 2017:

 

Before

After

 

0.3% COLA

0.3% COLA

All Retired Workers

$1,355

$1,360

Aged Couple, Both Receiving Benefits

$2,254

$2,260

Widowed Mother and Two Children

$2,686

$2,695

Aged Widow(er) Alone

$1,296

$1,300

Disabled Worker, Spouse and One or More Children

$1,990

$1,996

All Disabled Workers

$1,167

$1,171

  • Information about Medicare changes for 2017, when announced, will be available at www.Medicare.gov
  • For some beneficiaries, their Social Security increase may be partially or completely offset by increases in Medicare premiums.
  • The Social Security Act provides for how the COLA is calculated. Read more, visit www.socialsecurity.gov/cola

Related Information:

  1. Medicare May Cost a Lot More in 2017 - According to some projections there may be an increase as high as 22% for the Medicare Part B premium - Medigap Planners
  2. 2017 COLA Forecast - Lowest Ever Paid - 2017 COLA expected to raise Social Security benefits by only a few dollars, any increase will be offset by increases in Medicare Part B premium for most people 65 and over - The Senior Citizens League
  3. Estimated 0.2% COLA in 2017 - Social Security Recipients Need Better Benefit Boost - Survey finds 71% of senior voters think Social Security should be expanded to provide modestly higher retirement benefits and more fair cost–of–living adjustments (COLAs) - The Senior Citizens League


Information from our U.S. Social Security: Disability Information section - (Full List).

Submit event details, disability news, and assistive technology products for publishing on Disabled World


Loan Information for low income singles, families, seniors and disabled. Includes home, vehicle and personal loans.


Famous People with Disabilities - Well known people with disabilities and conditions who contributed to society.


List of awareness ribbon colors and their meaning. Also see our calendar of awareness dates.


Blood Pressure Chart - What should your blood pressure be. Also see information on blood group types and compatibility.



  1. Britain's Unproductive Disabled: A Continuing Moral Panic?
  2. Social Networking Helps Keep People Healthy
  3. Majority in Favor of Spinal Muscular Atrophy (SMA) Screening
  4. When the Spinal Cord Takes Charge of Information Related to Movement




Citation



Errors: Disabled World is an independent website, your assistance in reporting outdated or inaccurate information is appreciated. If you find an error please let us know.

Disclaimer: Content on Disabled World is not intended to be a substitute for professional medical advice, diagnosis, or treatment. Always seek the advice of a physician or other qualified health provider with any questions you may have regarding a medical condition. See our Terms of Service for more information.