Social security recipients will see a 3.6% cost-of-living adjustment (COLA) in 2027, increasing retirement benefits by an average of $75 per month. This adjustment comes as millions of Americans continue to grapple with rising prices.

Key Details

  • Nearly 72 million social security beneficiaries will see higher payments beginning in January 2027.
  • Approximately 7.3 million supplemental security income (SSI) recipients will receive increased payments starting on December 31, 2026.

Frank J. Bisignano, the Social Security Administration (SSA) commissioner, stated,

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"Social security will implement this cost-of-living adjustment for 76 million Americans, giving them greater financial stability."

Current Economic Context

Consumer prices climbed at an annual rate of 3.7% in September, up from 3.4% in August, according to the Bureau of Labor Statistics. Inflation has reached its highest level since hitting a three-year peak of 4.2% in May. Key factors contributing to this inflation include:

  • Gasoline prices rose 34% from last year, accounting for more than half of the overall price increases, largely driven by the US’s war on Iran.
  • Fuel oil costs jumped 74%.
  • Air travel prices increased 22.4%.