2024 COLA Increase and HUD Passbook
Social Security Announces 3.2 % Benefit Increase for 2024
Social Security and Supplemental Security Income (SSI) benefits for more than 70 million Americans will increase 3.2% in 2024. The 3.2 percent cost-of-living adjustment (COLA) will begin with benefits payable to Social Security beneficiaries in January 2024. Increased payments to SSI beneficiaries will begin on December 29, 2023. On average, Social Security retirement benefits will increase by more than $50 per month.
The 2024 passbook savings rate will be 0.4 % and will change every year.
On October 9, 2023 HUD posted Annual Inflationary Adjustments and Passbook Rate for 2024. See Annual Inflationary Adjustments and Passbook Rate for more information.
Background: On February 14, 2023, HUD published the Housing Opportunity Through Modernization Act (HOTMA) Final Rule. The Final Rule requires that certain amounts used to make income, asset, and eligibility determinations be adjusted by an inflationary factor on an annual basis. Recipients of funding from covered programs must use the HUD-published values when determining income, net family assets, and adjusted income for income examinations in accordance with the HOTMA Final Rule and other implementation guidance.
Programs that are governed by HUD’s regulations found at 24 CFR Part 5 or are governed by regulations that cross reference 24 CFR Part 5, include (but are not limited to) Public Housing, Section 8 Housing Choice Voucher (HCV), Section 8 Project Based Rental Assistance (PBRA), HOME, HOME American Rescue Plan Program, and Housing Trust Fund.
Along with inflationary adjustments, HUD will publish a passbook rate based on the Federal Deposit Insurance Corporation (FDIC) National Deposit Rate for savings accounts, which is an average of national savings rates published on a monthly basis. Owners must use the HUD-published passbook rate when calculating imputed asset income for net family assets that exceed $50,000 (a figure that is also annually adjusted for inflation). The HUD-published passbook rate will be posted to a dataset on the HUDUser website alongside annual inflationary adjustments.