Social Security COLA for 2026 Projected at 2.7%: Here’s What That Means for You
- Author: Wilbert Raynor
- Posted: 2025-08-14
Social Security beneficiaries could see a 2.7% cost-of-living adjustment (COLA) in 2026, according to the latest forecast from The Senior Citizens League (TSCL).
This is a slight uptick from July’s 2.6% projection, boosted by new inflation data showing a 0.2% rise in the Consumer Price Index for All Urban Consumers (CPI-U) last month.
When Will the Final Number Be Announced?
The official 2026 COLA will be set in October 2025, when the Social Security Administration (SSA) calculates the average inflation rate for July, August, and September using the CPI-W (Consumer Price Index for Urban Wage Earners and Clerical Workers).
How Much Could Your Benefits Increase?
Using the July 2025 average monthly Social Security benefit of $1,863.12:
-
Monthly increase: $50.30
-
New average monthly benefit (Jan 2026): $1,913.42
That’s a modest improvement compared to 2025’s 2.5% COLA, and far below the unusually high increases seen during the post-COVID inflation surge.
You might be missing out on benefits! Check what’s available to you here.
Why Some Seniors Remain Concerned
While a boost is always welcome, many retirees argue that COLA doesn’t fully reflect their real-world spending.
Critics point out that the CPI-W underrepresents key costs for older Americans, especially:
-
Housing
-
Medical care
-
Transportation
-
Groceries
These four categories account for over 85% of spending for Americans 62+, and prices remain stubbornly high despite easing overall inflation.
What’s Next?
The August and September inflation reports will be crucial in determining the final COLA.
For now, the 2.7% projection offers an early preview of what could come in January 2026.
The SSA will announce the official number in mid-October 2025, and new benefits will take effect January 2026.
-
Dive into more great content at FindFamilyBenefits and discover expert tips and fresh insights on maximizing your retirement savings, debunking health myths, and more.
Join us today and live your best life!
