Donâ€™t look for a big bump in Social Security benefits in 2017. An increase of 0.2% (or $2.00 for $1000 in benefits) per month is projected for Social Security benefits in 2017, according to the recent Social Security Trustees report. The final number comes out in October and could be slightly higher after inflation adjustments. But experts warn not to expect too much more. Last year, there was no Cost of Living (COLA) for those receiving Social Security. The outlook for Federal Retiree COLA in 2017 is also dim.
If the COLA for Social Security is very small that means Medicare Part B monthly premiums for most people will also remain the same as 2016 or increase slightly â€“the projection is $107.60 per month in 2017 (an increase of $2.70 from the current $104.90)
But, there are exceptions for those enrolled in Medicare and not Social Security or are new to Medicare in 2017. For these individuals, the Medicare Part B rate could be $149.00 per month (up $27.20 per month from 2016). High income earners subject to higher Part B and Part D (drug plan) surcharges can also expect to pay more in 2017.
Here is a link the full Social Security and Medicare Trusteeâ€™s report. Weâ€™ll keep you posted on the final rates when they are announced in October.