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2018 Social Security Changes
- Details
- Published: 19 October 2017 19 October 2017
SOCIAL SECURITY FACT SHEET
Cost-of-Living Adjustment (COLA):
Based on the increase in the Consumer Price Index (CPI-W) from the third quarter of 2016 through the third quarter of 2017, Social Security and Supplemental Security Income (SSI) beneficiaries will receive a 2.0 percent COLA for 2018. Other important 2018 Social Security information is as follows:
| Tax Rate | 2017 | 2018 |
| Employee | 7.65% | 7.65% |
| Self-Employed | 15.30% | 15.30% |
NOTE: The 7.65% tax rate is the combined rate for Social Security and Medicare. The Social Security portion (OASDI) is 6.20% on earnings up to the applicable taxable maximum amount (see below). The Medicare portion (HI) is 1.45% on all earnings. Also, as of January 2013, individuals with earned income of more than $200,000 ($250,000 for married couples filing jointly) pay an additional 0.9 percent in Medicare taxes. The tax rates shown above do not include the 0.9 percent.
| 2017 | 2018 | |
| Maximum Taxable Earnings | ||
| Social Security (OASDI only) | $127,200 | $128,700 |
| Medicare (HI only) | No Limit | |
| Quarter of Coverage | ||
| $1,300 | $1,320 | |
| Retirement Earnings Test Exempt Amounts | ||
| Under full retirement age |
$16,920/yr |
$17,040/yr ($1,420/mo) |
| NOTE: One dollar in benefits will be withheld for every $2 in earnings above the limit. | ||
| The year an individual reaches full retirement age | $44,880/yr ($3,740/mo) |
$45,360/yr ($3,780/mo) |
| NOTE: Applies only to earnings for months prior to attaining full retirement age. One dollar in benefits will be withheld for every $3 in earnings above the limit. | ||
| Beginning the month an individual attains full retirement age | None | |
| 2017 | 2018 | |
| Social Security Disability Thresholds | ||
| Substantial Gainful Activity (SGA) | ||
| Non-Blind | $1,170/mo | $1,180/mo |
| Blind | $1,950/mo | $1,970/mo |
| Trial Work Period (TWP) | $840/mo | $850/mo |
| Maximum Social Security Benefit: Worker Retiring at Full Retirement Age | ||
| $2,687/mo | $2,788/mo | |
| SSI Federal Payment Standard | ||
| Individual | $735/mo | $750/mo |
| Couple | $1,103/mo | $1,125/mo |
| SSI Resource Limits | ||
| Individual | $2,000 | $2,000 |
| Couple | $3,000 | $3,000 |
| SSI Student Exclusion | ||
| Monthly limit | $1,790 | $1,820 |
| Annual Limit | $7,200 | $7,350 |
| Estimated Average Monthly Social Security Benefits Payable in January 2018 | ||
| Before 2.0% COLA |
After 2.0% COLA |
|
| All Retired Workers | $1,377 | $1,404 |
| Aged Couple, Both Receiving Benefits | $2,294 | $2,340 |
| Widowed Mother and Two Children | $2,717 | $2,771 |
| Aged Window(er) Alone | $1,310 | $1,336 |
| Disabled Worker, Spouse and One or More Children | $2,011 | $2,051 |
| All Disabled Workers | $1,173 | $1,197 |
*All information pulled from the official Social Security Fact Sheet which can be found at: https://www.ssa.gov/news/press/factsheets/colafacts2018.pdf
