The Social Security Administration (SSA) recently announced that beneficiaries will get a 2.5% cost-of-living adjustment (COLA) in 2025. The new adjustment will boost the average retirement check by $48 a month,

One positive aspect of Social Security is that the program is set up to adapt to economic changes. Each year, for example, Social Security benefits are eligible for an automatic cost-of-living adjustment.

The Social Security cost-of-living adjustment for 2025 is the lowest since the post-Covid inflation spike. Yet retirees still face high prices.

Social Security plays a big role in many Americans' retirement security. In fact, 40% of Americans ages 65 and older rely on Social Security for at least half their income, according to the AARP.