The 2025 Social Security increase may push some retirees into higher tax brackets.
Higher benefits could lead to increased taxes on Social Security income.
The cost-of-living adjustment (COLA) might affect income-based programs, like Medicare premiums.
Some retirees could see smaller net increases due to these added taxes.
The COLA adjustment could result in higher healthcare costs for some seniors.
Increased Social Security benefits may unintentionally affect eligibility for other government assistance programs.