The 2022 SSDI increase was 5.9 percent
In 2022, Social Security Disability Insurance (SSDI) payments went up by 5.9 percent. This was the Cost of Living Adjustment, or COLA, that Social Security announced in October 2021 for payments starting in January 2022. The increase was meant to help your benefits keep pace with inflation — the rising cost of food, housing, medicine, and other necessities.
If you were receiving SSDI in January 2022, your payment increased automatically. You did not have to do anything to receive it. Social Security applied the 5.9 percent raise to whatever amount you were getting in December 2021.
The exact dollar amount of your increase depended on what you were receiving before the raise. Someone getting $800 a month would have received about $47 more per month. Someone getting $1,200 would have received about $71 more. The percentage was the same for everyone, but the dollar amount varied based on each person's individual payment.
Key Takeaways
- The 2022 COLA raised all SSDI payments by 5.9 percent starting in January 2022, with no action required on your part.
- Your specific dollar increase depended on what you were receiving in December 2021 — the percentage was the same for everyone, but the amount in dollars was different for each person.
- Social Security announced the 2022 increase in October 2021, giving people time to plan before the new payment arrived.
- COLA adjustments happen every year based on inflation data, so your payment may increase or stay the same depending on economic conditions.
How Social Security calculated your 2022 increase
Social Security used a specific formula to decide on the 5.9 percent figure. They looked at the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) — a government measure of how much prices rose for everyday items between the third quarter of 2020 and the third quarter of 2021. When prices rose that much, the law required Social Security to raise benefits by the same percentage.
This meant your increase was not based on your individual situation or how much your own costs had risen. It was a blanket adjustment applied to every SSDI recipient in the country. The government decided that inflation had been 5.9 percent, so everyone's payment went up by 5.9 percent.
Social Security sent notices to beneficiaries in December 2021 showing the new payment amount starting in January 2022. If you did not receive a notice, you could have called Social Security at 1-800-772-1213 to ask about your specific increase.
Why 2022 had a larger increase than some other years
The 5.9 percent increase in 2022 was larger than the adjustments in several years before it. From 2016 through 2020, COLA increases were much smaller — some years were only 0.3 percent or 1.3 percent. In 2021, the increase was 1.3 percent. The jump to 5.9 percent in 2022 reflected how quickly prices had risen during the pandemic recovery.
COLA amounts change from year to year because inflation is not constant. When the economy is stable and prices are not rising much, COLA increases are small. When prices rise faster — as happened in 2021 and early 2022 — the COLA increase is larger. You cannot predict what next year's COLA will be until Social Security announces it in October.
What happened to your Medicare premiums in 2022
While your SSDI payment increased by 5.9 percent, your Medicare Part B premium also changed in 2022. For most people, the Part B premium went up to $170.10 per month. If you were already on Medicare, Social Security deducted this premium from your SSDI payment, just as they do every month.
The relationship between COLA and Medicare premiums is complicated. There is a rule called the "hold harmless" provision that protects most beneficiaries — it says your SSDI payment cannot go down just because your Medicare premium went up. However, this rule does not explore to everyone, and the exact impact on your take-home payment depended on your specific situation.
If you wanted to know exactly how much of your 5.9 percent increase you kept after Medicare deductions, you could have reviewed your Social Security statement or called Social Security directly.
How to find out what your 2022 payment was
Your Social Security statement, mailed in December 2021, showed your new payment amount for January 2022 and beyond. This statement listed your old monthly payment and your new monthly payment side by side, so you could see the dollar increase.
You can also create a my Social Security account online at ssa.gov to view your payment history and current payment amount anytime. This account shows you every payment you have received and lets you see how your payment has changed over the years due to COLA adjustments.
If you lost your December 2021 statement or cannot access your online account, you can call Social Security at 1-800-772-1213. They can tell you what your payment was in December 2021 and what it became in January 2022.
COLA adjustments in years after 2022
The 5.9 percent increase applied only to 2022 payments. Each year, Social Security announces a new COLA based on inflation data from that year. In 2023, the COLA was 8.7 percent — even larger than 2022. In 2024, it was 3.2 percent. These numbers change because inflation itself changes.
You will receive a new COLA notice every October telling you what your payment will be starting in January of the following year. This is how Social Security keeps your benefits aligned with the cost of living, though the adjustment is always the same percentage for all beneficiaries, regardless of individual circumstances.
Frequently Asked Questions
Did I have to do anything to get the 2022 increase?
No. The 5.9 percent increase was automatic. Social Security applied it to your payment in January 2022 without any action on your part. You did not need to contact them, submit paperwork, or take any steps to receive it.
Why was my actual payment increase different from 5.9 percent?
Your take-home payment may have changed by a different amount if your Medicare Part B premium also changed. Social Security deducts Medicare premiums from SSDI payments each month. If your premium went up, some of your 5.9 percent increase went toward the higher premium, leaving you with a smaller net increase in cash.
What if I was not receiving SSDI in January 2022?
If you started receiving SSDI after January 2022, your first payment was based on the new payment rate that included the 5.9 percent increase. You did not receive the increase retroactively — your payments straightforward started at the higher amount.
How does Social Security decide the COLA percentage each year?
Social Security uses the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), a government measure of inflation. They compare prices from the third quarter of one year to the third quarter of the previous year. If prices rose 5.9 percent, the COLA is 5.9 percent. The announcement always comes in October for the following January.