October 2002
Newsbytes

Editor: Scott Gottlieb, CPA
Assistant editor: Susan A. Maffetone, CPA

1.4 Percent Social Security Increase

Jo Anne B. Barnhart, Commissioner of Social Security announced this month that Monthly Social Security and Supplemental Security Income (SSI) benefits to more than 50 million Americans will increase 1.4 percent in 2003,

46 million Social Security beneficiaries will notice the 1.4 percent increase that will begin with benefits that receive in January 2003. Increased payments to 7 million SSI beneficiaries will begin on December 31.

As a result of the increase in the taxable maximum in 2003, the maximum yearly Social Security tax paid by employees and employers will increase by $130.20 each for a total of $5394.00.

Social Security and SSI benefits increase automatically each year based on the rise in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) from the third quarter of the prior year to the corresponding period of the current year. This year's increase in the CPI-W was 1.4 percent.

For more information please visit the website http://www.ssa.gov.