The Social Security Administration recently announced the cost-of-living adjustment (COLA) for 2026. The announcement was delayed from the originally scheduled release date of October 15 to October 24. The 2.8% increase was in line with economists’ estimates. The cost-of-living increase was 8.7% for 2023, 3.2% for 2024 and 2.5% for 2025. According to The Senior Citizens League, the Social Security cost-of-living increase average over the past 20 years is 2.6%. Almost 71 million Americans receive Social Security and will enjoy an increased benefit payment in January of 2026.

Social Security Administration Commissioner Frank J. Bisignano stated, “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. The cost-of-living adjustment is a vital part of how Social Security delivers on its mission.”

The average retired individual’s Social Security payment in 2025 is $1,976 per month and will increase by approximately $56. Social Security recipients with larger payouts will receive a greater increase.

Social Security recipients will receive a one-page notice with the cost-of-living increase in straightforward language and with personalized information for the individual related to the new monthly benefit amount. Individuals can also access the notice early by creating an online Social Security account. Alerts can also be delivered via text or email if the individual has set that up as a notification preference.

Military retirees will also receive a 2.8% cost-of-living increase, effective December 1, 2025. Veterans’ benefits for disability pay and dependents’ compensation will also benefit from the 2.8% increase.