It's no lottery jackpot, but seniors say the extra $39 a month in Social Security benefits they'll start getting in January is a welcome addition.

"It will be extremely welcomed — extremely, extremely welcomed," said Barbara Ferguson of Waikiki, who turns 72 on Wednesday. "It wouldn't go into anything extra for me. It would go for living expenses, just existing."

The Social Security Administration announced yesterday that its cost-of-living adjustment, or COLA, for more than 50 million beneficiaries would increase 4.1 percent in January. That's the biggest jump since a 5.4 percent gain in 1991. Last year's increase was 2.7 percent.

The average Social Security check will increase from $963 to $1,002 in January.

Rising energy prices, including a record-breaking surge in September, were the driving force behind the big COLA increase, which is based on changes in the government's Consumer Price Index. The inflation figure rose 1.2 percent in September, the biggest monthly increase in a quarter-century, mostly because of a huge hurricane-linked rise in energy costs.

Ferguson said she would be happy to get any increase in her $383 monthly Social Security check. She lives on that and interest from a certificate of deposit.

"I have no retirement plan," she said. "My medical costs go up every year. The maintenance fees on my condominium goes up every year."

Hugh Crunden, 75, and his wife, Maria, 73, who live in the lower Ward area, have been hit by rising gas prices like every other driver and would be happy to see a larger Social Security check.

"It's not much, but it certainly will help," Hugh said. "I certainly hope they do it."

But Art Ikeda, 71, of Waikiki, says the net increase will only amount to about $15 a month for him.

While Social Security may be increasing the size of his $900 monthly payment, Medicare's prescription drug plan due in January will mean higher premiums for him, Ikeda said.

"Any additional money is welcome," Ikeda said. "But it's not sizable because they're increasing the (Social Security) benefits while they're increasing the premiums for the drug plan. The government's giving and they're taking. It comes out as a plus, but it's negligible."

About one-fourth of the monthly Social Security gain will be eaten up by a rise in Medicare premiums, which will grow by $10.30 a month, starting in January.

In addition to the higher premium for Medicare Part B, Medicare recipients who decide to take advantage of a new prescription drug benefit will start paying a premium of around $32 a month in January. The amount will vary, depending on which plan they choose.

President Bush had hoped to get Congress this year to pass a Social Security overhaul he viewed as the centerpiece of his second term. It was intended to bolster Social Security finances to deal with a looming funding crisis as 78 million baby boomers retire and would have allowed younger workers to create personal accounts. However, the measure has failed to attract widespread support in Congress.

The cost-of-living adjustment announced yesterday will go to more than 52 million people. More than 48 million receive Social Security benefits and the rest Supplemental Security Income payments, aimed at the poor and disabled.

The average retired couple, both receiving Social Security benefits, will see their monthly check go from $1,583 to $1,648.

The standard SSI payment will go from $579 to $603 per month for an individual and $869 to $904 for a couple.

The average monthly check for a disabled worker will go from $902 to $939.

The Social Security Administration also announced yesterday that 11.3 million workers will pay higher taxes next year because the maximum amount of Social Security earnings subject to the payroll tax will rise from $90,000 to $94,200 next year. In all, an estimated 159 million workers will pay Social Security taxes next year.

By law, the monthly increase in Medicare premiums cannot be higher than an individual's cost-of-living adjustment. Social Security recipients whose cost-of-living increase will be less than the $10.30 premium increase next year will not be forced to pay the entire $10.30.