Overview
- Benefits for roughly 75 million recipients will rise 2.8% starting in January 2026, an average boost of about $56 per month.
- The Bureau of Labor Statistics published September CPI-W data on Oct. 24 after a shutdown pause, allowing the Social Security Administration to finalize the COLA, which tops 2025’s 2.5% increase.
- Rising Medicare premiums and other expenses are expected to reduce how much of the increase retirees keep, reinforcing complaints that the raise lags actual living costs.
- Analysts and some lawmakers are renewing calls to revisit the CPI-W formula or consider temporary relief, though no changes have been enacted.
- The SSA also updated 2026 earnings test limits to $23,480 for beneficiaries under full retirement age and $65,160 in the year they reach it, and beneficiaries can review individualized notices online by enrolling in my Social Security by the agency’s reported Nov. 19 date.