The Social Security Administration has officially announced the 2026 COLA (Cost-of-Living Adjustment), giving 71 million Americans a 2.8% increase in their monthly benefits. For the average retiree, this comes to about $56 more per month. The adjustment, revealed on October 24, 2025, helps seniors, disabled workers, and low-income families keep up with rising living costs such as food, rent, and healthcare.
What Is the Social Security COLA?
The COLA is an automatic yearly increase designed to ensure Social Security payments keep pace with inflation. It is based on the CPI-W index, which measures price changes for everyday essentials.
Why COLA Is Important
- Protects purchasing power
- Adjusted every year since 1975
- Requires no application — increases are automatic
- Helps retirees, SSDI recipients, survivors, and SSI beneficiaries
The 2.8% increase is smaller than 2023’s record 8.7%, but still meaningful for millions.
How the 2026 COLA Was Determined
The SSA calculates COLA by comparing CPI-W data from July to September of one year to the same period the next year. Mild inflation in 2025 resulted in the 2.8% increase. Although the announcement was delayed due to a federal shutdown, payments remain on schedule.
Quick Example
If you receive $2,000 per month:
- 2.8% increase =Â $56
- New monthly benefit =Â $2,056
Medicare Part B premiums will rise in 2026, so your net benefit may be slightly lower.
New 2026 Social Security Benefit Amounts
The following table shows the updated averages after the 2.8% raise:
| Benefit Type | 2025 Monthly Avg | 2026 Monthly Avg | Monthly Increase |
|---|---|---|---|
| Retirement | $1,976 | $2,032 | +$56 |
| Disability (SSDI) | $1,539 | $1,582 | +$43 |
| SSI Individual | $943 | $969 | +$26 |
| SSI Couple | $1,415 | $1,455 | +$40 |
| Max Benefit at Age 70 | $4,983 | $5,108 | +$125 |
| Spousal Benefit (50%) | $988 | $1,016 | +$28 |
Your exact increase depends on your earnings history and when you claimed benefits.
2026 Social Security Payment Schedule
Payments are issued based on your date of birth. SSI follows a fixed schedule.
Monthly Payment Timing
- Birth dates 1–10: Second Wednesday
- Birth dates 11–20: Third Wednesday
- Birth dates 21–31: Fourth Wednesday
- SSI:Â Paid on the 1st each month
If a payment date falls on a weekend or holiday, it arrives the previous business day.
Who Will Receive the 2026 COLA Increase?
The COLA applies automatically to almost all Social Security and SSI recipients, including:
- Retirees
- Disabled workers (SSDI)
- Widows, widowers, and dependents
- Low-income seniors and disabled individuals receiving SSI
New beneficiaries starting in 2026 will receive the updated amounts immediately.
How Medicare Affects Your 2026 COLA
Medicare Part B will increase $17.90, raising the monthly premium to $202.90.
Net Impact for Average Retirees
- COLA increase: +$56
- Medicare deduction: –$17.90
- Net gain:Â +$38.10 per month
Low-income seniors may qualify for Extra Help, which reduces Medicare costs.
Tips to Maximize Your Social Security Benefits in 2026
- Delay claiming until age 70 to receive the highest possible benefit
- Check your SSA earnings record to fix errors and increase your payment
- Use senior savings programs (energy assistance, food benefits, discounts)
- Plan for taxes, since up to 85% of benefits may be taxable
- Work additional years to replace low-earning years in your record
Frequently Asked Questions
1. When will the 2026 COLA start?
Retirement and SSDI benefits increase starting January 1, 2026, while SSI increases start December 31, 2025.
2. How much more will beneficiaries receive?
Most retirees will see about $56 more per month, depending on their current benefit.
3. Why is the COLA only 2.8%?
It’s based solely on inflation measured through the CPI-W between Q3 2024 and Q3 2025.
4. Does Medicare reduce the COLA increase?
Partially. After the Medicare Part B premium increase, the average retiree still sees about $38 more per month.
5. Do I need to apply for the COLA?
No. All Social Security and SSI recipients get the increase automatically.
Conclusion
The 2026 Social Security COLA brings meaningful financial relief for millions of Americans facing rising living costs. While Medicare premiums reduce part of the increase, most beneficiaries will still receive higher monthly payments. Staying informed, reviewing your earnings record, and planning ahead can help you make the most of your benefits in 2026.