EL PASO, Texas (KTSM) – The cost of living will increase 8.7% by January 2023, benefiting those who are retired or receive social security benefits. The increase is due to inflation.

This will be the biggest increase in social security cost of living since 1981. According to Tom Fullerton, an economics professor at UTEP, this is the fourth highest adjustment on record. He says from 1979 till 1981, each year increased around ten percent. Due to payments becoming higher in 2023, social security funds could drain faster.

“So, it will accelerate the date at which the social security trust fund eventually runs out of money in the absence of adjustments that might be made by congress in the future and probably will be made at some point.”

Tom Fullerton

Social security cost of living is re-evaluated each year and adjusted when necessary.

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