The first piece of good news is that beneficiaries will see a 2.5% bump in benefits beginning in January, thanks to the cost-of-living adjustment (COLA). The average retiree collects just over $1,900 per month in benefits, which amounts to a raise of roughly $50 per month.

But when we look back at the data, it becomes clear that a 2.5% Social Security COLA isn't so terrible. In fact, it's a lot more generous than some of the COLAs beneficiaries have seen in the past. In 2024, Social Security benefits rose by 3.2%. The year prior, they increased by 8.7%. And in 2022, a 5.9% COLA came through.

Social Security beneficiaries will soon experience a welcome change when benefits climb due to a cost-of-living adjustment.

But if you work and collect Social Security before reaching full retirement age, you'll risk having some of your benefits withheld if your income exceeds a certain threshold. In 2025, that threshold, known as the earnings-test limit, is $23,400, up from $22,320.

Social Security is very popular with Americans. Large majorities of Democrats and Republican like the program and want it to continue with no cuts in benefits, no increase in costs to taxpayers, and no real reforms of any kind.

Even if you're in line for the maximum possible benefit, you might be surprised at how much more you can get by waiting.