A Fly in the 2023 COLA Ointment? - Motley Fool
According to an old adage, if there is some bad news hidden in an otherwise positive event, it can be referred to as “a fly in the ointment.” Such is the case with the historically high Cost of Living Adjustment all Social Security recipients will see next year, when their benefit amount will jump by at least 8.7%. But here’s the “fly:” for many recipients, that huge COLA increase may be enough to cause them to exceed the income threshold at which Social Security benefits are subject to income tax. And that would mean they’ll be dishing out more money to Uncle Sam when tax time rolls around in 2024. As the saying goes, “the government giveth and the government taketh away” as reported in this Motley Fool article by Sean Williams. Click here to read more.