3 Big Changes Coming to Social Security in 2025!What You Need to Know!‪@ScanderLoud‬

hey there welcome back to our Channel today I'm diving into three key changes coming to Social Security in 2025 these changes are significant and could impact your financial planning whether you're already retired or still working these updates are crucial staying informed can help you make better decisions for your future let's Jump Right In and explore what's new first up cost of living adjustments or Cola in 2025 the cola is projected to be 2.57% this adjustment is designed to help your benefits keep Pace with inflation that's lower than the 3.2% increase we saw in 2024 why the decrease you ask well inflation has eased to 2.9% which is a positive sign for the economy while that's good news for prices it means a smaller bump in your Social Security checks this could affect your monthly budget but remember the final number won't be out until October so stay tuned for the official announcement second let's talk about full retirement age or F this is the age at which you can claim full Social Security benefits in 2025 the F will be 66 years and 10 months this is part of a gradual increase aimed at keeping the system sustainable that's 2 months longer than in 2024 here's the breakdown if you were born in 1959 your f is 66 years and 10 months this slight increase can affect your retirement planning if you were born in 1960 or later it's 67 knowing your f is essential for maximizing your benefits retiring early at 62 means reduced benefits which can be a significant reduction over time but delaying past F can boost your monthly checks by up to 8% per year until age 70 this can make a big difference in your retirement income lastly social security credits and taxes these are crucial for determining your eligibility and benefit amount in 2025 you'll need to earn more to qualify for social security credits this change reflects the rising cost of living in 2024 you needed $1,730 for one credit and $ 6,920 for four these thresholds are expected to increase expect this to go up in 2025 though the exact figures aren't out yet keep an eye on the updates to stay informed also the wage cap for Social Security taxes will increase in 2024 it's $168,600 this cap limits the amount of in become subject to Social Security tax so if you're earning more be prepared for a higher tax bill next year this could impact your take-home pay so there you have it these changes are important to understand as they can affect your financial planning three big changes to watch for in Social Security in 2025 staying informed can help you make the best decisions for your future keep an eye out for the official announcements in October and plan accordingly thanks for watching your financial future is important so stay updated don't forget to like And subscribe for more updates see you next time stay informed and take care