Social Security COLA to Boost Benefits 2.3%

Social Security and Supplemental Security Income benefits will increase by 2.3 percent in 2008 based on the rise in the cost of living as measured by the U.S. Bureau of Labor Statistics, the Social Security Administration announced.

The cost-of-living adjustment will take effect in the January checks for roughly 47 million Social Security recipients, and those covered by SSI will have the increase reflected beginning with their Dec. 31 checks.

The SSA also noted that next year the maximum amount of earnings that will be subject to Social Security taxes will rise to $102,000 from the current standard of $97,500.

Information about changes in Medicare that will occur in 2008 can be found at www.cms.hhs.gov.