Social Security’s cost-of-living adjustment (COLA) for 2027 is 3.6%, the Social Security Administration announced on October 14, 2026. Nearly 72 million Social Security beneficiaries will see the increase beginning in January 2027, and increased payments to about 7.3 million Supplemental Security Income (SSI) recipients will begin on December 31, 2026.
On average, Social Security retirement benefits will rise by about $75 per month. It is the largest COLA since the 8.7% adjustment for 2023, and it follows 2.8% for 2026 and 2.5% for 2025.
How much more will you get?
SSA puts the average retired-worker benefit at about $2,095 before the COLA and about $2,170 after it — a $75 monthly gain, or roughly $900 over a year. The math scales with your benefit: a $2,000 monthly benefit rises by about $72 before any deductions, while a $1,500 benefit rises by about $54.
Federal retirees are treated differently: Civil Service Retirement System (CSRS) retirees get the full 3.6%, while most Federal Employees Retirement System (FERS) retirees get 2.6% — the FERS formula subtracts one percentage point when the Social Security COLA is above 3%. FERS retirees under 62 generally get no COLA at all.
How the 3.6% was calculated
The COLA is not a policy decision — it is set by law from the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). SSA compares the average CPI-W for July, August and September with the same third-quarter average from the last year a COLA took effect.
For 2027, the base was the third quarter of 2025, when CPI-W averaged 317.265. The third quarter of 2026 averaged 328.746 — 3.6% higher — so the COLA is 3.6%. Forecasters had expected 3.5%, so the official number came in a tenth of a point higher. If prices fall, benefits do not: the COLA is zero in that case, as it was for benefits paid in 2010, 2011 and 2016.
When you will see it — and a scam warning
Individual COLA notices appear in the my Social Security Message Center starting in late November, up to three weeks before paper notices arrive by mail in December. To see the notice online, account holders must enroll in paperless notices by November 18. You do not need to register, apply or activate anything — the increase is automatic.
That is also why the SSA’s Office of the Inspector General issued a scam warning alongside the announcement: fraudsters are already calling, texting and emailing beneficiaries claiming they can increase payments or activate the COLA for a fee, or asking victims to change direct-deposit details or share personal information. SSA never charges a fee to apply a COLA and never asks you to pay to activate it.
What the COLA does not cover
The 3.6% is the headline, not the net gain. Medicare Part B premiums and income-related adjustments, which CMS announces separately in November, come out of the check afterward — so the amount that actually lands in a bank account can be smaller than the headline increase. The 2027 taxable maximum also rises, to $192,300.
FAQ
What is the Social Security COLA for 2027? 3.6%, announced October 14, 2026 — the largest since 2023.
When does the 2027 COLA start? Social Security benefits rise beginning with December 2026 benefits, payable in January 2027; SSI payments at the new rate begin December 31, 2026.
How much more will the average retiree get? About $75 a month, taking the average retired-worker benefit from about $2,095 to about $2,170.
Do I need to apply for the COLA? No — it is automatic. Anyone asking for a fee to activate it is running a scam.
Sources
– https://www.ssa.gov/news/en/press/releases/2026-10-14.html
– https://oig.ssa.gov/scam-alerts/2026-10-21-social-security-2027-cola-announced-beneficiaries-are-not-the-only-ones-looking-forward-to-the-cola/