Social Security benefits and Supplemental Security Income payments for more than 71 million Americans will increase by 3.2% in 2024, Social Security announced today.
Per HSG Notice 2023-10, for 2024 Annual Recertifications that have not been finalized, owner/agents will need to apply the COLA to any SS income starting with January 2024 recertifications. Owner/agents should also factor in the new COLA increase for Move-in/Initial Certifications.
Owner/agents have three choices when verifying the new SS Award amount.
If you have adopted Streamlined Verification of Fixed Income, you need only print the COLA announcement, attach it to last year's verification, and calculate the 2024 benefit amount.
Remember, don't round until the end of the calculation.
Resident’s January 2024 Annual Recertification
Current SSA Income
Randy Resident $1214.00 * 12 = $14568.00
Rachel Resident $1181.00 * 12 = $14172.00
New SSA Income if COLA is 3.2%
Randy Resident
$1214.00 + 3.2% ($38.85) = $1,252.85
$1252.85 x 12 = $15,034.20 (SS Annual Income - $15,034)
Rachel Resident
$1181 + 3.2% ($37.79) = 1,218.79
$1218.79 * 12 = $14,625.48 (SS Annual Income - $14,625)
There is no requirement to correct completed certifications to incorporate this change unless the household income increase equals at least 10% or more of Annual Adjusted Income.