The Social Security Administration (SSA) announced Friday that its 2026 cost-of-living adjustment (COLA) will raise benefits by 2.8% for roughly 73 million Americans who receive Social Security or Supplemental Security Income (SSI). The annual adjustment, which reflects rising prices over the past year, was delayed for more than a week due to the recent government shutdown.
On average, monthly Social Security payments will increase by about $56 beginning in January. The typical Social Security check will rise to $2,071 from the current $2,015. Those receiving SSI benefits will see the increase reflected in their Dec. 31, 2025, payments. Beneficiaries can expect to receive notices in the mail in December outlining their new benefit amounts.
The COLA is calculated based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), a measure that tracks changes in prices for common goods and services. The Bureau of Labor Statistics reported Friday that overall inflation rose by 3% between September 2024 and September 2025. Over the last decade, the annual Social Security cost-of-living adjustment has averaged 3.1%.
Many Beneficiaries Say the Increase Falls Short
While the 2.8% increase offers some financial relief, many older Americans say it does not fully keep pace with the rising cost of living. A recent poll conducted by AARP found that only 22% of Americans over 50 believe a 3% adjustment is sufficient to cover higher expenses. About three-quarters of respondents indicated that they would need a 5% increase or more to maintain their standard of living, and 26% said they would require an 8% raise.
