SSA Announces the 2023 COLA Increase of 8.7%

On October 13, 2022, the Social Security Administration announced that the monthly Social Security and Supplemental Security Income (SSI) will increase 8.7% in 2023. Increased SS payments will begin in January 2023 while SSI payments will be increased on December 30, 2022. To view the announcement, click here.

Changes to Medicare for 2023 have not yet been announced. When information is available, it will be provided at www.medicare.gov.

What does this mean for your upcoming certifications?

• Annual or Interim Recertifications effective January, February, March, or April 2023 should be processed according to guidance provided in HUD Handbook 4350.3, Rev-1, Change 4, 9-6, B.1.e. Based on this section of the handbook, the owner/agent must use one of the following methods for determining the tenant’s income to be reported on ARs and IRs effective January 1, 2023 – April 1, 2023:

1. 1. Use the benefit information reported in EIV that does not include the 2023 COLA as third party verification as long as the tenant confirms that the income in EIV is what he/she is receiving;
   2. Use the SSA benefit award letter or proof of income letter provided by the tenant that includes the 2023 COLA adjustment if the date of the letter is within 120 days from the date of receipt by the owner;
   3. Determine the tenant’s income by applying the 8.7% COLA increase to the current verified benefit amount and document the tenant file with how the tenant’s income was determined; or
   4. Request third party verification directly from SSA when the income in EIV does not agree with the income the tenant reports he/she is receiving (see Paragraph 9-15)

• All recertifications effective after April 1, 2023 must reflect the SSA benefit including the COLA.