[GYPSY286]

Slide...To All Social Security Recipients:

I have been trying to locate an answer and come up empty. Is there anyone here who can tell me whether the .087% SS increase in 2023 is based on the net amount (after Medicare payment) or the gross monthly amount (before Medicare payment)? I checked MySocialSecurity site, plus several you tube videos which talk about the raise but no one seems to zero in on this.
TIA

[foldspace]

SS increase in 2023 is based on the net amount (after Medicare payment) or the gross monthly amount (before Medicare payment)?

Source: https://www.ssa.gov/oact/cola/colaapplic.html

The increase is based on your full benefit(s), before deductions.

Additionally, there will be a $5.20 reduction in Medicare Part B; which you can buy 2 organic apples with each month!

COLA= Cost of Living


PIA = Primary Insurance Amount


General
A COLA increases a person's Social Security retirement benefit by approximately the product of the COLA and the benefit amount. The exact computation, however, is more complex.

Each Social Security benefit is based on a "primary insurance amount," or PIA. The PIA in turn is directly related to the primary beneficiary's earnings through a benefit formula. It is the PIA that is increased by the COLA, with the result truncated to the next lower dime.

Steps leading from the PIA to the benefit amount

1, A factor is applied to the PIA to account for early or delayed retirement, with the result truncated to the next lower dime
2. Any offset to the benefit, such as payment of the Medicare Supplementary Medical Insurance (SMI) premium, is subtracted
3. Finally, the resulting amount is truncated to the next lower dollar

[TangoLimaSierra]

...the .087% SS increase in 2023

It's an 8.7% increase.