LA CROSSE, Wis. -- Starting next year the amount seniors get in their Social Security checks is going to go up for the first time in three years. But will it be enough to offset a predicted hike in Medicare costs?

The increase in Social Security benefits starting in January is a cost of living adjustment, thanks to a higher inflation rate. But also starting in January are changes to Medicare costs that could eat up some, if not all, of that boost to Social Security.

And that's leaving the nearly 60 million Americans who get Social Security benefits keeping an eye on their bank accounts.

Mabel Hooverson has been getting Social Security benefits since she retired at 62. That's 26 years worth of checks.

"I rely on it. Without it, it would be hard-going," said Hooverson.

So she was happy to find out she's going to see her monthly Social Security checks fatten up by 3.6 percent starting in January. It's the first cost of living adjustment since 2009.

"Well I was glad to hear that they're going to increase something after not having it for a couple years," said Hooverson.

But she's also been on Medicare since she was 65. And the director of the La Crosse County Aging Unit Noreen Holmes says Hooverson can also expect a hike in Medicare Part B costs next year which cover doctor visits and lab tests.

"What we expect will happen is the increase in Medicare Part B payments will more than make up for the cost of living increase. In fact the costs could be so great in Medicare Part B that it could actually be a decrease in what people are actually getting, which puts a lot of seniors at risk," said Holmes.

The average monthly Social Security check in a senior's mailbox cashes in at little more than $1,000. So the cost of living adjustment would amount to about a $39 increase per month.

"An increase of $39 for any of us I think would be a minimal increase in a month. The fact that Medicare Part B might eat it up, it's just not, it's not enough," said Holmes.
And shes sees this as part of a troubling trend.

"I see a squeeze occuring for older people. And I fear what happens is, they have to make choices then. Well, do I renew my medication or do I eat?" said Holmes.

And that leaves seniors like Hooverson wondering what's next.

"Well, we make do with what we've got. If we can't make one thing, we just give up something else," said Hooverson.

The money for the increase in Social Security benefits has to come from somewhere. That means workers will pay more into the Social Security system. The exact amount workers will pay in next year won't be known for a few more weeks.

Social Security benefits make up more than 40 percent of elderly Americans' income.
The change in Medicare premiums should be announced next month.