After an 8.7% Social Security cost-of-living adjustment for 2023, next year's increase may not be as large

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After an 8.7% Social Security cost-of-living adjustment for 2023, next year's increase may not be as large
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Older generations are spending more, thanks to a record Social Security cost-of-living adjustment for 2023. But benefits may not increase as much next year.

for the consumer price index for urban wage earners and clerical workers, or CPI-W. The Social Security Administration uses the CPI-W to calculate the annual COLA adjustment.

"The average retiree has found living with these high rates of inflation extremely difficult," said, David Tinsley, senior economist at Bank of America Institute.Michael Nagle/Xinhua via Getty Images "What this cost-of-living increase has done is allowed them some breathing space to move their spending higher," he said. "But I don't think anyone would pretend they aren't facing quite a lot of pressure still."

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