Social Security retirement benefits will increase by about $56 a month on average next year due to a 2.8% cost-of-living adjustment, the Social Security Administration said on Friday.
COLA provides both Social Security and Supplemental Security Income an annual adjustment to help ensure those benefits keep up with inflation, CNBC reported. Those programs provide benefit checks to about 75 million people.
According to the AARP, Social Security is the primary source of income for about 40% of older Americans.
Expert estimates had projected a 2.7% to 2.8% increase in benefits for 2026. In 2025, the cost-of-living adjustment was 2.5%. Over the past two decades, the Social Security COLA has averaged 2.6%, according to The Senior Citizens League.
“Social Security is a promise kept, and the annual cost-of-living adjustment is one way we are working to make sure benefits reflect today’s economic realities and continue to provide a foundation of security,” SAA Commissioner Frank J. Bisignano said in a statement.
