AI Generated Image

Social Security cost of living increase: Prepare to be disappointed, experts warn

AL.com • September 14, 2026 • business

Key Points:

The Senior Citizen League forecasts a 3.5% Social Security cost of living adjustment (COLA) for 2027, the highest in four years but slightly lower than last month’s prediction.
This 3.5% increase is higher than 2026’s 2.8% COLA and 2025’s 2.5%, but still insufficient to keep pace with inflation affecting seniors’ expenses.
The average monthly Social Security benefit would rise by about $67.90, from $1,940.08 to approximately $2,007.98, which may not cover rising costs for food, housing, and fuel.
TSCL Executive Director Shannon Benton emphasized that annual COLA adjustments lag behind real-time inflation, suggesting the need for more frequent, possibly quarterly or monthly, benefit increases.
The official 2027 COLA will be announced on October 14, based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) for July through September.

Trending Business