Inflation Spikes Social Security for 2023
Senior Tax Advisory Group
Oct 24, 2022
Colorado - Colorado Springs
The Social Security Administration announced a whopping 8.7% boost to monthly Social Security and Supplemental Security Income (SSI) benefits for 2023. This is on the heels of a 5.9% increase last year. The increase is based on the rise in the Consumer Price Index over the past 12 months ending in September 2022.
For those contributing to Social Security through wages, the potential maximum income subject to Social Security tax increases to $160,200. This represents a whopping 9% increase in your Social Security Tax! Here's a recap of the key dollar amounts:
2023 Social Security Benefits - Key Information
What it means for you
- Up to $160,200 in wages will be subject to Social Security taxes, an increase of $13,200 from 2022. This amounts to $9,932.40 in maximum annual employee Social Security payments (an over $800 increase!) so plan accordingly. Any excess amounts paid due to having multiple employers can be returned to you via a credit on your tax return.
- For all retired workers receiving Social Security retirement benefits, the estimated average monthly benefit will be $1,827 per month in 2023, an average increase of $146 per month.
- SSI is the standard payment for people in need. To qualify for this payment, you must have little income and few resources ($2,000 if single, $3,000 if married).
- A full-time student who is blind or disabled can still receive SSI benefits as long as earned income does not exceed the monthly and annual student exclusion amounts listed above.
Social Security & Medicare Rates
The Social Security and Medicare tax rates do not change from 2022 to 2023.
Note: The above tax rates are a combination of 6.20 percent Social Security and 1.45 percent for Medicare. There is also a 0.9 percent Medicare wages surtax for single taxpayers with wages above $200,000 ($250,000 for joint filers) that is not reflected in these figures. Please note that your employer also pays Social Security and Medicare taxes on your behalf. These figures are reflected in the self-employed tax rates, as self-employed individuals pay both halves of the tax.
Other Articles You May Like
Roosevelt & Cross Incorporated
Roosevelt & Cross Incorporated specializes solely in municipal securities, and has expertise in underwriting, sales, trading, investment banking, and credit analysis. We are able to originate new bond and note issues for state and local governments and market those securities to a large volume of retail and institutional investors. Today, we consistently rank as the most active municipal bond underwriter in New York. We are also a top-ranking underwriter in New Jersey and New England. Feel free to contact us today for more information about our services.Learn more:Municipal Bonds and Securities SpecialistsAbout UsWest Hartford, CTNew York, NYBuffalo, NY
Protect Wealth Academy
Protect Wealth Academy offers reliable asset protection and wealth creation plans for your estate. Whether your attorney has helped protect you against lawsuits and your accountant has helped reduce your taxes, are you certain that you are maximizing both strategies without overpaying? Our webinars let you learn hard-earned asset protection by holding a discussion to help determine if you are truly well-protected. Let yourself be totally guilt-free when it comes to worrying over being financially wiped out in the event of being slapped with a lawsuit. Call us at 800-276-1430 to protect your wealth today!Learn more:Asset Protection TeamAsset Protection Live EventsAsset Protection WebinarsAsset Protection TestimonialsMore Informations!Business Email: support@protectwealth.comBusiness Phone Number: (800) 276-1430Hours of Operation: 8AM-6PM MSTSocial Media Profiles:Facebook - Instagram - LinkedIn - YouTube
What About Skilled Nursing Home Care?
Perhaps your loved one doesnt want to have to stay in a skilled nursing facility after being discharged from the hospital. Or, other than needing daily medical care, they prefer to live independently in their own private residence. In such cases, they might be able to receive skilled nursing care right in their own home. Provided they have the financial means to do so, seniors and their families can hire licensed home health aides to help with various medical procedures, such as:Health monitoringOccupational, physical, and speech therapyBlood draws and injectionsFeeding tubes and cathetersIV dripsWound careThe national median cost of hiring a home health aide is currently $4,576 per month. Keep in mind that the types of home nursing care services that are available will vary depending on state laws, as well as the agency. Furthermore, custodial services such as assistance with ADLs, cooking, cleaning, etc. are separate from skilled nursing services and will cost extra.AmenitiesSkilled Nursing FacilityNursing Home CareMedical CareYesYesAssistance with ADLsYesNot typically available (unless part of the medical condition). Would have to arrange separately/pay extra.MealsYesNot typically available. Would have to arrange separately/pay extra.Activities & EntertainmentYesYes
Local Services By This Author
Colorado Communications Organization
Continuing Education 6775 Rangewood Dr, Colorado Springs, Colorado, 80918Colorado Communications Organization provides education to our local community on current Life, Health and Wealth issues through educational programs developed by local experts. Communication is the key to success in everything you do. We are devoted to bringing current, useful information to Southern Colorado.
Senior Tax Advisory Group
Annuity Specialists 6775 Rangewood Dr, Colorado Springs, Colorado, 80918Senior Tax Advisory Group, Inc. is a national firm devoted to assisting retirees aged 50 and over in protecting their assets, reducing their tax bills, and ensuring that their money lasts while still committing to paying the least amount possible to the IRS.The benefits of working with the Senior Tax Advisory Group can be seen from a financial standpoint as well as in service and retention, and in overall customer satisfaction. Over the years our clients have enjoyed steady returns and safety in their portfolio. Not only do our clients see us 3-4 times per year, per account, but we also provide them with peace of mind and a one- of- a- kind service that can't be found elsewhere! Our simple to understand concepts and strategies makes us proud to serve any friends or family they refer to us as well.
Senior Tax Advisory Group
Income Tax Filing 6775 Rangewood Dr, Colorado Springs, Colorado, 80918Senior Tax Advisory Group, Inc. is a national firm devoted to assisting retirees aged 50 and over in protecting their assets, reducing their tax bills, and ensuring that their money lasts while still committing to paying the least amount possible to the IRS.The benefits of working with the Senior Tax Advisory Group can be seen from a financial standpoint as well as in service and retention, and in overall customer satisfaction. Over the years our clients have enjoyed steady returns and safety in their portfolio. Not only do our clients see us 3-4 times per year, per account, but we also provide them with peace of mind and a one- of- a- kind service that can't be found elsewhere! Our simple to understand concepts and strategies makes us proud to serve any friends or family they refer to us as well.