The NARSSA Team
October 14, 2026 In the News
The Social Security Administration (SSA) has officially announced a 3.6% Cost-of-Living Adjustment (COLA) for 2027, which will increase monthly benefits for millions of Americans beginning in January 2027.
The annual COLA is designed to help Social Security benefits keep pace with inflation. The adjustment is calculated using the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), based on changes in the index during the third quarter (July through September) compared with the same period of the previous year.
What Does the 2027 COLA Mean for Beneficiaries?
With the 3.6% increase, the average monthly Social Security benefit for retired workers is expected to rise from $2,095 to $2,170, an increase of $75 per month, according to the Social Security Administration.
The 2027 adjustment follows a 2.8% COLA in 2026. While the actual dollar increase will vary depending on each individual’s benefit amount, the annual adjustment is an important factor in helping beneficiaries manage rising living costs.
Additional Social Security Changes for 2027
Along with the COLA, SSA has announced updates to several other key Social Security figures, including the maximum amount of earnings subject to Social Security taxes, retirement earnings test limits, and the earnings required to receive a Social Security credit.
These annual adjustments are important considerations for individuals receiving benefits, those approaching retirement, and financial professionals helping clients plan for their financial futures.
Watch this video as NARSSA’s Melissa Vannette breaks down the 2027 cost-of-living adjustment (COLA), how it works, and what beneficiaries should know.
For complete details on the 2027 COLA and updated Social Security figures, read SSA’s official press release and review SSA’s 2027 COLA Fact Sheet.
