The Social Security Administration has released its adjustments report for 2018. Here is what you can expect:

Small Raise

Recipients will receive a 2% increase in COLA. Just keep in mind as increase in Medicare Part B premiums will likely affect any boost. The maximum possible Social Security benefit for those who begin collecting benefits at full retirement age will increase to $2,788 in 2018.

A Higher Cap
A higher cap will hit wealthier Americans. Americans pay 6.2% of their earned income to Social Security until their income exceeds $127,200. However, this will rise from $1,500 to $128,700 in 2018.

Older Retirement Age
In 2018 full retirement age will rise. Everyone born between 1945 and 1959 must wait until they are 66 to receive 100% of their monthly benefit. For those born in 1956 full retirement age is now 66 and 4 months.

Earning Benefit Will Rise
If you are working and receiving benefits simultaneously, your earning benefits will increase in 2018 to $17,040.

Adjustments to Disability Threshold
For those who receive disability income from Social Security you will see a rise in monthly earnings. Estimated average Social Security benefit payable in 2018 for all disabled workers will increase from $1,173 to $1,197.

What You Should Do to Prepare
Trying to effectively manage yearly changes to Social Security can easily lead to headaches. This is why it is critical your other retirement income streams are properly structured to supply you with a steady flow of income. In an era of financial instability it is important to align yourself with an adviser who has his finger on the pulse of all the economic changes. Here at CKS Summit Group we are committed to guiding you through all of the complexities and changes to Social Security and its impact on your finances.