Social Security COLA Increase: What Beneficiaries Need to Know to Avoid Scams

Starting in January, Social Security and Supplemental Security Income (SSI) recipients will receive a 2.5% Cost-of-Living Adjustment (COLA) increase to help offset inflation, automatically applied to their payments.

This increase will impact millions of Americans who rely on these benefits. But as this much-needed financial boost is set to roll out, scammers are eager to take advantage, preying on the excitement and vulnerability of beneficiaries.

Here's what you need to know to keep your benefits safe and secure.

How the COLA Increase Will Work

The Social Security Administration (SSA) has assured recipients that they don’t need to take any steps to receive this increase. Whether you receive Social Security or SSI, the adjustment will be automatically applied to your bank account or mailed check.

You don’t need to provide any additional information, sign up, or confirm your details to receive your adjusted amount.

Pro Tip: If you get any message or call asking you to verify your Social Security number, bank details, or other personal information to "activate" the COLA, it’s a scam. SSA will never ask for this information.

Common Scams to Watch Out For

As SSA officials warn, scammers are already contacting beneficiaries with fake calls, emails, texts, and even social media messages.

The tactics range from fake threats to more subtle requests for information. Here are some red flags to look out for:

• Fake Calls with Threats or Demands: Scammers might impersonate SSA representatives, warning that your benefits are in jeopardy or that legal action is pending if you don’t provide personal information immediately.
• Unusual Payment Requests: SSA will never request payment through gift cards, prepaid debit cards, or cash transfers to “secure” your benefits.
• Emails or Texts with Attachments or Links: The SSA does not send unsolicited emails or texts with links, pictures, or documents asking for immediate action. Delete these messages, as they’re likely phishing attempts.

How to Protect Yourself

1. Verify Before You Respond: If you receive a message or call about your Social Security benefits, take a moment to verify. Don’t rush to respond or act out of fear.

2. Report Scams: If you suspect a scam, report it to the SSA’s Office of the Inspector General here. This helps them take action to protect other beneficiaries from similar fraud.

3. Check for Reliable Information: SSA will communicate changes and updates via mail. They may occasionally call if you’ve recently requested a benefit or need to update records, but they’ll never make threats, request immediate payment, or ask for confidential details in unsolicited communications.

Trustworthy Resources

For further information about how to stay safe, visit the SSA’s anti-scam resources on their official website, where they share additional tips on protecting your benefits and examples of recent scam tactics.

SSA also offers videos demonstrating real scam scenarios, including common warning signs that indicate you may be dealing with a fraud attempt.

SSA’s Commitment to Your Security

The SSA, led by Acting Inspector General Hannibal "Mike" Ware, is actively working to protect beneficiaries from fraud.

As Ware emphasizes, the SSA is dedicated to safeguarding the public from criminals who try to exploit people relying on Social Security and SSI.

By staying informed and vigilant, you can enjoy your COLA increase securely, without worry.

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In the coming months, keep an eye on official communications from SSA, trust only verified sources, and stay vigilant against any suspicious calls or messages.

Protecting your information is key to reaping the full benefits of your well-deserved Social Security and SSI payments.

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