Social Security Snafu: No, You Won’t Be Receiving Extra $200 Each Month

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Social Security recipients will be getting much bigger payments in 2023 thanks to an 8.7% cost-of-living adjustment that will boost the average check by more than $140 a month. But if you heard that an extra $200 will be tacked on top of that this year, you heard wrong.

Rumors of the additional $200 got started because of a congressional bill introduced in 2022. The bill, called the Social Security Expansion Act, was co-sponsored by U.S. Rep. Peter DeFazio (D-Ore.) and U.S. Sen. Bernie Sanders (I-Vt.), The Motley Fool reported. But it never passed.

The centerpiece of the legislation was a proposal to apply the 12.4% Social Security payroll tax to all earnings above $250,000 — much higher than the $147,000 maximum in 2022 and the $160,200 maximum that kicked in this year.

The bill also included a $200 monthly increase in Social Security benefits for new and existing recipients that would be paid above and beyond the COLA, according to the Social Security Expansion Act Fact Sheet.

The legislation was referred to various House and Senate committees for discussion, Virginia’s WVEC reported. However, the bill didn’t pass or even make it to a vote during the Democrat-controlled 117th Congress, which ended this year.

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The bill would need to be reintroduced in 2023 to have another shot at passing. That’s unlikely with the House being controlled by Republicans who aim to cut federal spending and reform rather than expand Social Security.

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Sanders has not made an announcement about trying to reintroduce the bill, and DeFazio, the bill’s other co-sponsor, retired following the 2022 session.

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About the Author

Vance Cariaga is a London-based writer, editor and journalist who previously held staff positions at Investor’s Business Daily, The Charlotte Business Journal and The Charlotte Observer. His work also appeared in Charlotte Magazine, Street & Smith’s Sports Business Journal and Business North Carolina magazine. He holds a B.A. in English from Appalachian State University and studied journalism at the University of South Carolina. His reporting earned awards from the North Carolina Press Association, the Green Eyeshade Awards and AlterNet. In addition to journalism, he has worked in banking, accounting and restaurant management. A native of North Carolina who also writes fiction, Vance’s short story, “Saint Christopher,” placed second in the 2019 Writer’s Digest Short Short Story Competition. Two of his short stories appear in With One Eye on the Cows, an anthology published by Ad Hoc Fiction in 2019. His debut novel, Voodoo Hideaway, was published in 2021 by Atmosphere Press.
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