SSDI payments increased in June 2023 due to a cost-of-living adjustment
In June 2023, Social Security Disability Insurance (SSDI) payments went up by 8.7 percent. This increase happened because of a cost-of-living adjustment (COLA), which Social Security makes once a year to help benefits keep pace with inflation. The 8.7 percent raise was one of the largest adjustments in decades, reflecting how much prices had risen for food, housing, and other necessities in 2022.
If you received SSDI before June 2023, your payment amount changed starting with your June check. You did not need to do anything to receive the increase — it happened automatically. The new amount stayed in place for the rest of 2023 and into 2024, until the next annual adjustment was announced.
The exact dollar amount of your increase depended on what you were receiving before June. Someone getting $1,000 per month would have received roughly $87 more per month after the adjustment. Someone receiving $2,000 per month would have gotten roughly $174 more. The percentage was the same for everyone, but the dollar amount varied based on each person's individual payment.
Key Takeaways
- SSDI payments increased by 8.7 percent in June 2023 as an automatic cost-of-living adjustment.
- The increase applied to all SSDI recipients automatically — no action was required to receive it.
- Your new payment amount was based on your previous benefit, multiplied by 1.087.
- Cost-of-living adjustments happen once per year and are based on inflation data from the previous year.
- The June 2023 adjustment was among the largest in Social Security history due to high inflation in 2022.
Why Social Security made this adjustment in June
Social Security announces its annual cost-of-living adjustment in October of each year, but the payment increase does not take effect until June of the following year. This timing means the adjustment announced in October 2022 (the 8.7 percent increase) went into effect in June 2023.
The adjustment is calculated using the Consumer Price Index (CPI), which measures how much prices have risen for everyday items. Social Security looks at CPI data from July, August, and September of the previous year and uses that to set the adjustment percentage. Because inflation was very high throughout 2022, the October 2022 announcement reflected those increases, and the June 2023 payment reflected that announcement.
This delay between announcement and payment means that if you are tracking when your benefit will change, you should watch for the October announcement in the year before the change takes effect. The announcement is made public on Social Security's website and through news outlets.
How the 8.7 percent increase affected different payment amounts
The 8.7 percent adjustment was applied equally to all SSDI recipients, but because it is a percentage, the dollar amount each person received varied. The table below shows examples of how the increase worked:
| Payment before June 2023 | 8.7% increase | New payment starting June 2023 |
|---|---|---|
| $800 | $70 | $870 |
| $1,200 | $104 | $1,304 |
| $1,500 | $131 | $1,631 |
| $2,000 | $174 | $2,174 |
These are examples only. Your actual payment depends on your work history, age when you started receiving benefits, and other factors. If you wanted to calculate your own increase, you could multiply your June 2023 payment by 0.087 to find the dollar amount added, or multiply your previous payment by 1.087 to find your new amount.
What you should have received in your June 2023 check
Your June 2023 SSDI payment should have reflected the new, higher amount. If you received your payment by direct deposit, the increased amount went into your bank account on your regular payment date. If you received a paper check, it arrived with the higher amount. Most SSDI recipients receive payment on the third of each month, though some receive it on other dates depending on their birth date.
Social Security also sent a notice to most recipients explaining the adjustment. This notice, called a Notice of Benefit Amount, showed your old payment, the new payment, and the effective date. If you did not receive this notice, you can request one by calling Social Security at 1-800-772-1213 or visiting your local Social Security office.
If your June 2023 payment did not increase or seemed incorrect, you should contact Social Security to report it. It is possible there was an error, or there may be other factors affecting your payment that you should discuss with a representative.
How cost-of-living adjustments work each year
The 8.7 percent adjustment in June 2023 was not a one-time event. Social Security makes a cost-of-living adjustment every year, though the percentage changes based on inflation. Some years the adjustment is very small — in 2017, it was only 0.3 percent. Other years it is larger. The 8.7 percent increase in 2023 was unusually high because inflation had been unusually high in 2022.
Each October, Social Security announces what the next year's adjustment will be. This announcement is made public and reported in the news. If you want to know what your payment will be in the future, you can watch for the October announcement and multiply your current payment by the announced percentage.
The adjustment is built into the system automatically. You do not need to reapply, contact Social Security, or take any action to receive it. As long as you are receiving SSDI, the adjustment happens to your payment each June.
If your payment changed for a different reason in June 2023
While most SSDI recipients saw an increase in June 2023 due to the cost-of-living adjustment, some people's payments may have changed for other reasons. If you turned 70 in 2023, your payment might have changed. If you started working and your earnings affected your benefit, your payment might have gone down. If you had a change in your living situation or family status, that could have affected your payment as well.
If your June 2023 payment changed by an amount that does not match the 8.7 percent increase, or if you are unsure why it changed, you can contact Social Security to ask. They can explain what caused the change and whether it is correct. You can reach Social Security by phone at 1-800-772-1213, by visiting your local office, or by creating an account on Social Security's website to view your payment history.
Frequently Asked Questions
Will my SSDI payment increase again in 2024?
Yes. Social Security announces the 2024 adjustment in October 2023. The new amount takes effect in June 2024. The percentage will be different from 8.7 percent because it is based on inflation data from 2023, which was lower than 2022. You can watch for the announcement in October to learn what the new percentage will be.
What if I did not receive the increase in June 2023?
Contact Social Security when ready. Call 1-800-772-1213 or visit your local office. There may have been an error, or there may be a reason your payment did not increase that a representative can explain. Keep your payment records so you can show what you received.
Can I get back pay if my payment was wrong in June 2023?
If Social Security made an error and did not explore the adjustment correctly, you may be owed back pay. Social Security can review your payment history and correct it. The sooner you report the error, the sooner they can fix it and send you any money owed.
Does the cost-of-living adjustment affect Supplemental Security Income (SSI)?
Yes. SSI recipients also receive a cost-of-living adjustment in December each year, though the timing and percentage may differ from SSDI. If you receive both SSDI and SSI, both payments are adjusted, but on different schedules.