For someone receiving social security disability (SSDI) benefits, every dollar received monthly matters. Disability benefits exist to help those who cannot work a regular job provide for their daily, weekly, monthly needs – in addition to the needs of their families.
It is nearly impossible to increase the general percentage for benefits you are receiving, as the benefits amounts are tied directly to work history and the amount you have paid in. However, there are considerations for(COLA) that happen every year. While it doesn’t always increase, it is factored every year and worked through by the Social Security Administration (SSA).
Will There Be an Increase in SSDI Benefits in 2022?
Early indications are that the COLA adjustment for 2022 will be significant. This is due to several factors, with a rising economy and demand with the COVID-19 pandemic seemingly subsiding. The consumer price index most recently rose 5% from the previous year, marking the most significant increase since 2008.
It was earlier estimated that the 2022 COLA would come in around a 4.7% increase, but given the new numbers that have been released, it could come in as high as 5.3%. If this held, it would be the highest increase in COLA since 2009 – another time when the economy recovered from a severe setback. The continued rise in the market demand and price for vehicles, homes, and general goods point to this figure being realistic.
It should be noted that things could still change, as the final COLA number isn’t decided upon until October. If demand subsides and things start to normalize – or if there is another pandemic wave – the number could go back down. But as of now, the 5.3% increase seems like a fair number.
What Will Disability Benefit Amounts Be in 2022?
In 2021, the average social security disability recipient received $1,277 in monthly benefits. Typical benefit amounts ranged from $800 to $1,700 in benefits. The maximum SSDI monthly benefit for 2021 was $3,148.
If a number like the potential 5.3% increase holds, that will affect the benefit amounts. Given that number, the 2022 social security disability benefit amount would be $1,345. The maximum SSDI benefit amount for 2022 would land at $3,315 in this scenario.
Again, nothing will be entirely decided until October. But, given that the potential percentage has gone up in the last month, it is extremely likely that there will be a significant benefit increase for disability in 2022.
How Disability Benefit Amounts are Calculated
As stated earlier, once you are receiving benefits, it is nearly impossible for your amount to increase outside of standard COLA increases. This is because the SSA calculates each person’s benefits amounts uniquely – with it being based on the average earnings that someone has achieved throughout a career.
Earnings are only counted up to the wage base limit toward the calculation. This means that one tremendous earnings year will not significantly affect your amount.
If you need help applying for disability benefits for the first time, your chances increase greatly if you have an attorney help you with the process. The same can be said for appealing a denial. Having an attorney help with the appeals process has helped secure crucial benefits for many individuals.
Tabak Law has a long history of helping individuals get the. Call the office today to talk with someone risk-free at 800-245-1430.