2025 Social Security COLA Increase Set at 2.5%, Adding Financial Pressure to Beneficiaries Carrying Debt

MANALAPAN, N.J., Nov. 06, 2024 (GLOBE NEWSWIRE) -- The Social Security Administration has approved a 2.5% Cost of Living Adjustment (COLA) for 2025, reflecting the moderate decrease in inflation rates compared to recent years. While this adjustment offers slight relief to the almost 70 million Americans who depend on Social Security, it falls short of offsetting the growing financial pressures faced by many beneficiaries, especially older adults burdened with debt.

In comparison, in 2025 social security recipients will receive a 2.5% increase, mirroring the latest Consumer Price Index. For 2024, it was a 3.2% increase, and 2023, 8.7%. For seniors and families feeling the squeeze, Navicore Solution?s credit counseling services offer critical support. Credit counseling provides a comprehensive review of an individual's financial situation, helping them identify options to manage debt more effectively. Navicore?s Debt Management Plan (DMP) is particularly helpful for seniors struggling to keep up with multiple debt payments, making repayment more manageable.

This modest COLA increase could prove insufficient for the millions of retirees and disabled individuals who are already struggling to make ends meet. Rising medical expenses, increasing housing costs, and growing financial responsibilities continue to present significant challenges. As of recent data, nearly 40% of older adults in the United States are carrying debt into their retirement years, with a significant portion of them still facing outstanding student loan balances.

?Our goal is to give seniors the tools and support they need to regain control of their financial futures,? said Diane Gray, Chief Operating Officer at Navicore. ?We understand that financial stress can have a severe impact on health and well-being, and our counselors are here to provide personalized guidance to anyone in need.?

For those looking to better manage their financial situation, in the face of this smaller COLA increase, Navicore provides confidential credit counseling sessions tailored to help seniors navigate complex debt issues, understand their options, and retain financial stability.

About Navicore Solutions

Founded in 1991, Navicore Solutions is a national leader in the field of nonprofit financial counseling with a mission to strengthen the well-being of individuals and families through education, guidance, advocacy, and support.

Navicore counselors provide a wide range of services including credit counseling to consumers in need; education programs through workshops, courses and written material; debt management plan to provide relief for applicable consumers; student loan counseling for those struggling with student loan debt; and housing counseling services in the areas of rental, pre-purchase, default and reverse mortgage. The agency is an advocate of financial education helping communities achieve and maintain financial stability.

Contact:
Lori Stratford
Digital Marketing Manager
Navicore Solutions
lstratford@navicoresolutions.org
navicoresolutions.org

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Source: Navicore Solutions