Social Security benefits play a crucial role in the financial security of millions of retirees and their families. If you’ve been receiving Social Security for a while, you might have noticed a 2.5% increase in your checks due to the 2025 cost-of-living adjustment (COLA). This adjustment added approximately $49 to the average monthly benefit. However, depending on your situation, you might be eligible for even more benefits this year. Below are three ways you could increase your Social Security income in 2025.
1. Social Security Fairness Act Implementation
One of the most significant changes to Social Security this year is the implementation of the Social Security Fairness Act, which was signed into law by former President Biden during his final days in office. This law eliminates the Windfall Elimination Provision (WEP) and the Government Pension Offset (GPO), which previously reduced benefits for certain retirees who also received a pension from an employer not covered by Social Security.
The removal of WEP and GPO has a considerable impact on retirees, particularly those who worked in government jobs that didn’t participate in Social Security. The key benefits of this change include:
- Increased Monthly Payments: Seniors affected by the WEP will see an average increase of $360 per month, while spouses affected by the GPO will receive an average increase of $700 per month. Widow(er)s will see the largest increase, averaging $1,190 per month.
- Retroactive Payments: Since the law applies to all benefits after December 2023, many retirees will receive a one-time retroactive payment. If you qualify, you could receive this payment before the end of the month.
- Notification from the Social Security Administration (SSA): If you’re eligible for this increase, the SSA will notify you about the updated amount and the date of your payment increase.
While this change benefits many retirees, not everyone will notice a difference. If you believe the law applies to you and haven’t received a notification, contacting the SSA may be beneficial.
2. Reaching Your Full Retirement Age (FRA) if Benefits Were Withheld Due to the Earnings Test
If you started receiving Social Security benefits while still working and earned above a certain threshold, you may have had part of your benefits withheld due to the Social Security earnings test. This test applies only to individuals who begin collecting benefits before reaching their Full Retirement Age (FRA).
Here’s how the earnings test works in 2025:
- If you are under FRA for the entire year, you lose $1 in benefits for every $2 earned over $23,400.
- If you will reach FRA in 2025, you can earn up to $62,160 before losing $1 for every $3 earned over that amount.
However, once you reach FRA, the money withheld due to the earnings test is returned to you in the form of increased benefits. If you are reaching FRA this year, you can expect an increase in your monthly payments. Keep in mind that this adjustment typically takes effect the month after your birthday because Social Security benefits are paid in arrears. For example, if you reach FRA in June, your increased benefit will be reflected in your July payment.
3. Claiming a Spousal Benefit If Your Spouse Recently Applied for Social Security
Married individuals who qualify for Social Security retirement benefits may also be eligible for spousal benefits. This benefit allows a lower-earning spouse to receive a payment based on their partner’s earnings record. However, you cannot claim spousal benefits until your spouse has applied for Social Security.
A common strategy among couples is:
- The lower-earning spouse claims their own retirement benefits as early as possible.
- The higher-earning spouse delays their claim to increase their monthly check.
- Once the higher-earning spouse applies for benefits, the lower-earning spouse can switch to a spousal benefit if it provides a higher payment.
This approach ensures that both partners maximize their Social Security income. If your spouse recently applied for Social Security and your spousal benefit is higher than what you’re currently receiving, you may see an increase in your monthly payments. However, you may need to contact the SSA to request this change.
Final Thoughts
If none of the above scenarios apply to you, you will likely have to wait until January 2026 for your next Social Security benefit increase. However, by staying informed and understanding the changes in Social Security regulations, you can ensure that you are receiving the maximum benefits you are entitled to.
Additionally, if you are behind on retirement savings, there are still ways to boost your income. Many retirees overlook key Social Security strategies that could result in significant annual increases in their benefits. By exploring these opportunities and planning ahead, you can enhance your financial security during retirement.
For further details, you can contact the Social Security Administration or visit their official website to check for updates on your benefits.
Disclaimer – Our editorial team has thoroughly fact-checked this article to ensure its accuracy and eliminate any potential misinformation. We are dedicated to upholding the highest standards of integrity in our content.
