• Discounts and special offers
  • Subscriber-only articles and interviews
  • Breaking news and trending topics

Already a subscriber?

By signing up, you accept Moneywise's Terms of Use, Subscription Agreement, and Privacy Policy.

Not interested ?

When will the 2024 COLA be announced?

The official 2024 COLA will be announced in October and will be based on inflation data from July, August and September of this year.

If inflation continues to slow like it did in June, the COLA could end up being lower than the estimated 3%.

Find a financial adviser in minutes

Are you confident in your retirement savings? Get advice on your investment portfolio from a certified professional through WiserAdvisor. It only takes 5 minutes to connect with an adviser who puts you first.

Get Started

Is 3% enough?

The impact of any increase to the COLA will depend on what happens to Medicare Part B premiums, which are expected to rise by around $10 per month or more in 2024, according to the 2023 Medicare Trustees Report.

Medicare premiums went down in 2023, giving seniors more breathing room — but that relief will be short-lived. The report estimates the average annual Part B premium will increase from $164.90 to $174.80 in 2024.

TSCL says insurance premiums could climb even higher due to “significant new costs”.

According to TSCL, Medicare’s coverage of a new Alzheimer’s drug could add another $5 onto the Part B premium for all recipients, potentially raising the 2024 premium to about $179.80 per month. The drug — Lecanemab — is expected to cost $26,000 per year for those without insurance.

If inflation continues to slow, the 2024 COLA could fall short of Medicare Part B premium increases, potentially leaving many who rely on Social Security benefits to make up the difference next year.

Sponsored

This 2 Minute Move Could Knock $500/Year off Your Car Insurance in 2024

Saving money on car insurance with BestMoney is a simple way to reduce your expenses. You’ll often get the same, or even better, insurance for less than what you’re paying right now.

There’s no reason not to at least try this free service. Check out BestMoney today, and take a turn in the right direction.

Bethan Moorcraft is a reporter for Moneywise with experience in news editing and business reporting across international markets.

Disclaimer

The content provided on Moneywise is information to help users become financially literate. It is neither tax nor legal advice, is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. Tax, investment and all other decisions should be made, as appropriate, only with guidance from a qualified professional. We make no representation or warranty of any kind, either express or implied, with respect to the data provided, the timeliness thereof, the results to be obtained by the use thereof or any other matter.