7 Things Veterans and Military Retirees Should Know About 3.6% COLA for 2027

Key Points:

• The Social Security Administration announced a 3.6% cost-of-living adjustment (COLA) for 2027, affecting VA disability compensation, military retirement pay, survivor benefits, Social Security, and Supplemental Security Income, with increases taking effect starting December 1, 2026.
• Payments reflecting the COLA will be disbursed on different dates: VA disability and military retiree payments on December 31, survivor annuities on January 4, and Social Security benefits beginning with January 2027 payments.
• Not all recipients will receive the full 3.6% increase; for example, retirees under the Redux retirement plan receive a 2.6% COLA, and newly retired service members in 2026 get prorated increases based on their retirement quarter.
• The final VA disability and survivor benefit rates require congressional approval each year, and concurrent receipt rules affect how much retired military personnel receive if they also get VA disability compensation.
• Some benefits, such as Post-9/11 GI Bill housing allowances, Chapter 35 education benefits, and active-duty basic pay, do not follow the Social Security COLA schedule and may adjust differently or not at all.