Millennial Money: What the 2024 Social Security COLA could mean for your retirement

The Social Security Administration adjusts its benefits payments each year to reflect changes in the cost of living. The new year will bring a 3.2% increase, much smaller than last year’s 8.7% raise. Even if you’re decades away from retirement, the annual cost of living adjustment can help you predict your potential future payments so you can plan accordingly. Certified financial planners recommend understanding how the COLA reflects the health of the economy, budgeting conservatively for future benefits and rounding out your retirement portfolio with other investments to ensure you can weather changes.