SSDI payments went up in 2018, but the amount depended on when you started receiving benefits

Social Security Disability Insurance (SSDI) payments increased in January 2018 by 2 percent. This was a cost-of-living adjustment, or COLA, that Social Security makes most years to keep payments in line with inflation. If you were receiving SSDI in January 2018, your monthly payment increased automatically—you did not have to do anything to get it.

The exact dollar amount of your raise depended on what you were receiving before the increase. Someone getting $1,000 per month would have received $20 more. Someone getting $500 would have received $10 more. Social Security sent notices in December 2017 telling people what their new payment would be starting in January.

This 2 percent raise applied to all SSDI recipients, including people on Supplemental Security Income (SSI), which is a separate program for people with disabilities who have very low income and few resources.

Key Takeaways

  • SSDI payments increased by 2 percent in January 2018 as an automatic cost-of-living adjustment.
  • The raise was applied to your existing payment amount, so the dollar increase varied by person.
  • You received the higher payment automatically with no action required on your part.
  • Social Security notified recipients in advance about the new payment amount.
  • The same 2 percent increase applied to SSI recipients as well.

How cost-of-living adjustments work each year

Social Security does not raise SSDI payments by a fixed amount every year. Instead, it calculates a percentage increase based on inflation, measured by the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). If inflation is low, the COLA is low. If inflation is higher, the COLA is higher. In some years, there is no COLA at all.

The 2 percent COLA in 2018 reflected the inflation that occurred between the third quarter of 2016 and the third quarter of 2017. Social Security announces the COLA in October of each year, and the new payment amount takes effect the following January.

This means your SSDI payment changes once per year, in January, and stays the same for the rest of that year. You will not see monthly variation in your payment amount unless something else changes—such as your work activity, your living situation, or a change in your case.

Who receives the COLA increase

If you were receiving SSDI in January 2018, you automatically got the 2 percent raise. This included people who had been on SSDI for many years and people who had recently started receiving it. The increase applied whether you received your payment by direct deposit, check, or a debit card.

Family members receiving benefits on your SSDI record also received the same 2 percent increase. This includes your spouse, ex-spouse, or children who are on your account. Each person's payment went up by 2 percent of what they were receiving before January 2018.

If you started receiving SSDI after January 2018, your first payment was already calculated at the new rate, so you did not receive a separate "raise"—you straightforward started at the higher amount.

What the 2018 COLA meant for work and earnings

The COLA increase did not change the rules about how much you could earn while on SSDI. In 2018, you could earn up to $1,180 per month (called the substantial gainful activity level) without losing your SSDI status. The 2 percent payment increase was separate from these work rules.

If you were working and receiving SSDI in 2018, your higher SSDI payment was added to your work earnings to determine whether you exceeded the income limits for your case. The increase made it slightly more likely that your total income would be higher, but it did not change the threshold itself.

Checking your 2018 payment records

If you want to verify that you received the 2 percent increase in January 2018, you can check your Social Security statement online through your my Social Security account at ssa.gov. Your account shows your payment history month by month, so you can see what you received in December 2017 and what you received starting in January 2018.

If you do not have a my Social Security account, you can create one using your Social Security number, email address, and a phone number. Once you log in, select "Benefit Verification" to see your payment history. This is also where you can see notices that Social Security sent you about the COLA increase.

If your payment did not increase in January 2018 and you believe it should have, contact Social Security directly at 1-800-772-1213 to ask why. There may be a reason specific to your case—such as a work-related reduction or a change in your living situation—that prevented the standard increase from explore.

COLA increases in other years

The 2018 COLA of 2 percent was relatively modest. In 2017, there was no COLA at all because inflation was too low. In 2019, the COLA was 2.8 percent. In 2020, it was 1.3 percent. These variations happen because the COLA is tied directly to inflation, which changes from year to year.

If you are currently on SSDI, you will receive a COLA increase in January of most years, though the percentage will vary. Social Security announces each year's COLA in October, so you can plan ahead knowing what your new payment will be.

Frequently Asked Questions

Did I have to do anything to get the 2018 COLA increase?

No. The 2 percent increase was applied automatically to your SSDI payment in January 2018. You did not need to contact Social Security, fill out a form, or take any action. If you were receiving SSDI on January 1, 2018, the higher payment went into your account.

What if I started SSDI after January 2018?

Your first SSDI payment was calculated using the new 2018 rate, which already included the 2 percent increase. You did not receive a separate raise because you were not on the rolls before the increase took effect. Your next COLA increase would come in January 2019.

Does the COLA increase affect my SSI payments too?

Yes. SSI recipients received the same 2 percent increase in January 2018. The COLA applies to both SSDI and SSI, and both programs use the same percentage increase each year.

Can the COLA increase cause me to lose my benefits?

The COLA increase itself does not cause you to lose SSDI. However, if the increase pushes your total income (SSDI plus work earnings plus other income) above certain limits, it could affect other benefits you receive, such as Medicaid or SSI. Contact Social Security if you are concerned about how the increase affects your specific situation.

How do I know what my 2018 COLA increase was in dollars?

Check your my Social Security account online to see your payment history. Compare your December 2017 payment to your January 2018 payment—the difference is your COLA increase in dollars. You can also call Social Security at 1-800-772-1213 and ask them to tell you the exact amount.