In 2025, Social Security and VA Disability recipients are set to receive a significant Cost of Living Adjustment (COLA), which could mark a historic "raise" for millions of Americans. This adjustment, designed to keep pace with inflation, is crucial for ensuring that benefits retain their value as the cost of living continues to rise. Over the past few years, COLA increases have been more substantial than usual, and the 2025 adjustment is expected to continue this trend, potentially making it the fourth consecutive year with a notable rise in benefits.
However, while a higher COLA is generally seen as positive, it may not fully offset the increasing costs that many beneficiaries face, particularly in areas like housing and medical care. Despite this "raise," some retirees and veterans may find their purchasing power still lagging behind the actual inflation they encounter in their daily lives. This ongoing issue highlights the challenges in ensuring that Social Security and VA Disability benefits effectively meet the needs of those who depend on them.
To help you better understand these changes, we recommend watching the SITREP's video, which provides a comprehensive explanation of the 2025 COLA and its impact on Social Security and VA Disability benefits. The video breaks down what to expect, how the COLA is calculated, and the broader implications for your finances in the year ahead.
Whether you’re a retiree relying on Social Security or a veteran receiving disability benefits, staying informed about these changes is crucial for navigating the financial landscape of 2025. Be sure to check out theSITREP's video below to get all the details and prepare for what lies ahead.