The Social Security Administration (SSA) will issue a new payment on Wednesday, November 27, benefiting millions of people across the United States. These monthly payments are primarily directed at retired workers, Disability Insurance (SSDI) beneficiaries, and those receiving Supplemental Security Income (SSI).
To organize and deliver payments correctly, the SSA uses a schedule based on the recipients' birth dates. Those born between the 1st and 10th of any month receive their money on the second Wednesday, those born between the 11th and 20th get it on the third Wednesday, and those born between the 21st and 31st receive it on the fourth Wednesday, as is the case for the payment on November 27.
Retirees before May 1997 and SSI beneficiaries have a different schedule, receiving their payments at the beginning of the month regardless of their birth date.
Social Security payment amounts
The payment amounts vary depending on the beneficiary, as they depend on several factors such as years of contribution to the system and retirement age. On average, a retiree receives $1,907 per month in 2024, according to official SSA estimates, while couples can receive up to $3,303. SSI beneficiaries have maximum payments of $943 for individuals and $1,415 for couples filing jointly.
Who will receive a $1,900 payment on November 27?
The average payment of $1,900 on Wednesday, November 27, is intended for beneficiaries born between the 21st and 31st of any month. This will be one of the last payments of the year, as the next deposit is scheduled for November 29 and is directed at SSI beneficiaries as part of the advance for December, the last month of payments.
COLA increase: how payments will rise in 2025
In 2025, there will be an increase in payments thanks to the Cost-of-Living Adjustment (COLA), a mechanism designed to offset the effects of inflation and prevent loss of purchasing power when the rate is high. This adjustment will be 2.5%, which, although lower than the 3.2% in 2024, represents a slight increase. The increase will be automatically reflected starting with the January 2025 payments.
For more information on payment distribution, amounts, and the COLA adjustment, visit the official SSA website.
Millions of Social Security recipients across the United States could witness a dramatic shift in how their benefits are taxed if a bold proposal by Donald Trump gains traction. The next president has floated the idea of abolishing federal taxes on Social Security income, a move that could save beneficiaries thousands of dollars annually. However, this ambitious plan raises important questions about its feasibility and the potential long-term impact on the sustainability of the Social Security program.
The existing taxation framework
Currently, Social Security benefits are taxed at the federal level for individuals and couples whose income surpasses specific thresholds. For individuals earning more than $25,000 annually, or couples with incomes exceeding $32,000, up to 85% of their benefits can be taxed. This taxation system was first introduced in 1983 and expanded in 1993, with the revenue directly channeled back into the Social Security trust fund to ensure its financial stability.
It’s worth noting that not all states tax Social Security benefits. Some states, like California and New York, still impose taxes, but others do not. You can find out which 41 states won’t tax Social Security benefits in 2024 here: States that don’t tax Social Security in 2024.
Trump’s proposal: game changer?
Trump’s plan would completely eliminate federal taxes on Social Security benefits, arguing that retirees shouldn’t face financial penalties after contributing to the system for decades. Advocates of this initiative believe it would provide crucial financial relief to older Americans, particularly those on fixed incomes who are struggling with rising living costs.
The potential savings are significant. Depending on income and tax brackets, recipients could save between $1,500 and $4,000 annually. This change could especially benefit middle-income retirees, who often bear the brunt of the current taxation system.
Interestingly, federal rules already exempt certain age groups from Social Security taxes under specific conditions.
Is it sustainable to eliminate taxes?
Despite its appeal, this proposal faces significant challenges. Federal taxes on Social Security generate billions of dollars annually, which are reinvested into the program to sustain it. Eliminating this revenue source could accelerate the depletion of the Social Security trust fund, which is already projected to face financial shortfalls in the coming decades.
Critics argue that unless an alternative funding source is identified, the program’s long-term viability could be jeopardized. The fairness of the plan is also questioned, as higher-income retirees, who rely less on Social Security, would benefit disproportionately from the tax elimination.
For those looking to minimize their tax burdens, relocating to a state without Social Security taxes could be a practical alternative. Here’s a guide to the states where Social Security isn’t taxed: States with no Social Security taxes.
Even if Trump’s proposal gains public support, it faces steep challenges in Congress. Opposition could come from both Democrats, who often advocate for increased funding to preserve Social Security, and fiscal conservatives, who prioritize budget discipline and deficit reduction. The lack of a clear plan to replace the lost revenue adds further uncertainty to the proposal’s viability.
What might come next?
At this point, Trump’s plan is more of a discussion point than a formal legislative initiative. However, it underscores the broader debate about modernizing Social Security to adapt to a rapidly evolving economic landscape. Whether this idea materializes depends on political will, public support, and the outcome of the 2024 elections.
While the prospect of repealing federal taxes on Social Security benefits is undoubtedly attractive, it’s vital for Americans to carefully weigh the potential savings against the broader implications for the program’s sustainability and future.
One of the most anticipated holidays for Americans has arrived: Thanksgiving Day. This celebration stands out as one of the longest-running in the country, as well as being one of the most special, as it marks the beginning of the Christmas holiday season.
Thanksgiving Day is celebrated every fourth Thursday in November and its main objective is to bring together family, friends, and other loved ones to give thanks for everything they have. It is usually celebrated with a traditional turkey dinner with gravy, although today, the options are more varied.
Given its importance in the lives of Americans, Thanksgiving is one of eleven federal holidays. Holidays are designated by Congress through Title V of the United States Code.
Does my boss or employer have to pay me extra if I work on Thanksgiving Day?
Generally, during official holidays, federal government offices are required to close, so government employees have a paid day off. Many other state and private institutions have also included these days as days off for their workers, but not all.
For example, certain businesses, schools, post offices, libraries, and banks tend to close on all holidays. In the case of supermarkets, pharmacies, and restaurants, most only close on holidays such as Thanksgiving or Christmas Day.
Federal law also does not require employers to pay overtime if you have to work on a holiday. In fact, if your company gives you the day off for a holiday, they aren’t required to pay you under federal law.
This, however, may be different in the state where you live, or even your company may have an overtime compensation policy for federal or state holidays. Some states stipulate that companies must pay overtime if employees have to work on a holiday. These laws apply on top of federal law.
In conclusion, everything will depend on the policies of the company or the employer, as well as the states where you live. So it is recommended to consult directly with the human resources office of the company where you work.
The most anticipated weekend for shopping enthusiasts has arrived. As is tradition every Friday after Thanksgiving is Black Friday, which falls this year on November 29. Millions of customers will flock to malls and shop online to take advantage of the best sales of the Christmas season.
Given the reach and economic impact of Black Friday, this date has become the ideal attraction for scammers looking to exploit those ready to spend their money. Not every website is trustworthy for making purchases, as some can put your money or personal information at risk.
Websites you shouldn’t shop on this Black Friday: Chrome warns of scams on these pages offering deals
Due to the risk these sites pose, browsers like Chrome and Safari have started issuing warnings about certain online stores that may pose a risk to shoppers, whether it’s because they have been reported for selling counterfeit products, failing to deliver items, or compromising user security.
Among the most questionable sites, and those receiving the most alerts from Chrome and Safari, are shopherebest.com, discounts-mania.com, onlinemegaoffers.com, and bargainflashsale.com, which are identified as the most prone to product scams, according to a report by Solo Dinero.
Tips to avoid falling for scams when shopping online
The most important thing when shopping online is being able to identify unreliable sites. Tips to avoid scams include checking the domain and avoiding those with suspicious extensions or misspelled names. Spelling errors or an excess of ads and pop-ups can also be a red flag.
Ideally, verify the privacy policy of the websites you visit and check purchase reviews on reliable platforms like Trustpilot or ScamAdvisor, to name a few. Staying informed is key to avoiding scams and making safe purchases.