Social Security's 2025 cost-of-living adjustment (COLA) took effect in January. Benefits will increase 2.5% this year, the smallest pay bump for seniors since 2021. Indeed, more than half of retired workers surveyed by The Motley Fool in October said the COLA was insufficient.

Change will impact retirees and public workers, including teachers, firefighters and police officers who also worked in private sector

The repeal of two provisions will boost Social Security payments for certain beneficiaries. Here's what we know so far.

Technically speaking, this is the 2024 COLA, as it goes into effect in December 2024. However, because Social Security is paid a month in arrears, this increase will be reflected in the payment that beneficiaries receive in January. For this reason, it is often referred to as the 2025 COLA.

The Social Security Fairness Act eliminates two provisions that reduced Social Security benefits for some retirees who also received pension income.

President Joe Biden on Sunday signed the Social Security Fairness Act into law, clearing the way for nearly 3 million public workers including teachers, firefighters and police to see an increase to their Social Security benefits.

Each year, tens of millions of retirees collecting Social Security benefits anxiously await the upcoming COLA, or cost-of-living-adjustment (COLA). The COLA is a pivotal part of the Social Security program that reflects the next year's increase in Social Security benefits.

President Biden on Sunday signed a measure into law that will boost Social Security payments for nearly 3 million current and former public employees.

President Joe Biden signed the Social Security Fairness Act into law Sunday, marking what is expected to be one of the last major pieces of legislation of his presidency.