2026 Social Security COLA: The 2.8% Raise and What It Means for Your Benefits
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The headline number: 2.8% in 2026
The Social Security cost-of-living adjustment (COLA) for 2026 is 2.8 percent. That is the percentage added to Social Security benefits paid beginning January 2026, and to Supplemental Security Income (SSI) benefits paid beginning December 31, 2025. The Social Security Administration (SSA) sets the figure once a year, after the Bureau of Labor Statistics (BLS) publishes the inflation reading for the third quarter (July, August, September).
For context, the 2025 COLA was 2.5%, and the 10-year average COLA has run about 3.1%. So 2.8% sits slightly above 2025 and a bit below the recent decade average — a moderate raise in a cooling-inflation environment.
How the COLA is actually calculated
The COLA is not a guess. It is tied to a specific government price index: the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), published by the BLS.
- SSA compares the average CPI-W for the third quarter of the current year against the average for the third quarter of the prior year (using the highest third-quarter average from the earlier year as the base).
- If prices are up, the percentage increase becomes the COLA, rounded to the nearest tenth of one percent.
- If prices are flat or down, no COLA is paid — but benefits are never reduced. The law prohibits a negative COLA.
This is why the September inflation report is the one everyone in retirement planning waits for: it is the final data point SSA needs. For 2026 the third-quarter numbers came in high enough to produce a 2.8% adjustment.
What the raise looks like in real dollars
A percentage is abstract. Here is what SSA’s 2.8% COLA translates to for typical beneficiaries in 2026:
| Benefit type | Estimated 2026 average monthly amount | Change vs. 2025 |
|---|---|---|
| Retired worker (individual) | about $2,071 | ~$56 more per month |
| Aged couple, both receiving benefits | about $3,208 | higher |
| Aged widow(er), alone | about $1,919 | higher |
| SSI individual federal payment | $994 | higher |
| SSI couple federal payment | $1,491 | higher |
These are estimated averages from SSA. Your own number depends on your earnings history and current benefit. SSA mails or posts (in your my Social Security account) a personalized COLA notice in late November or early December telling you exactly what you will receive.
The Medicare Part B offset you need to subtract
Here is the part that surprises people. Most beneficiaries have their Medicare Part B premium deducted directly from their Social Security check. Part B covers doctor visits, outpatient care, and preventive services, and its premium is set separately by the Centers for Medicare & Medicaid Services (CMS) — not by the COLA.
For 2026, the standard Part B premium is $202.90 per month, up from $185.00 in 2025, an increase of $17.90. The annual Part B deductible also rises, to $283 in 2026 (from $257). Higher-income beneficiaries pay more through the income-related monthly adjustment amount (IRMAA), with total Part B premiums reaching as high as $689.90 per month at the top bracket.
The practical effect: a 2.8% gross benefit raise does not mean a 2.8% bigger deposit in your bank account. If you are subject to the standard Part B premium, the $17.90 monthly increase is taken out before you see the money. On the average $2,071 retired-worker benefit, that alone trims the visible raise by roughly a third. Run your own net number with the take home pay estimator once you know your 2026 gross benefit and premium.
Bigger taxable maximum and earnings-test limits
Two other 2026 changes matter if you are still working or near retirement:
- Higher taxable maximum. The cap on earnings subject to the 6.2% Social Security tax rises to $184,500 in 2026 (from $176,100 in 2025). Above that, only the 1.45% Medicare tax applies.
- Earnings test (if you claim before full retirement age). In 2026, if you are under full retirement age for the whole year, you can earn up to $24,480 before SSA withholds $1 of benefits for every $2 earned above that. If you reach full retirement age in 2026, the limit is $65,160, with $1 withheld for every $3 earned above it (until the month you hit full retirement age). Once you are full retirement age, there is no earnings limit.
These thresholds are indexed to wage growth, so they typically rise a little each year.
A worked example
Say Maria, a retired teacher, received a $1,900 monthly Social Security benefit in 2025. Her 2.8% COLA adds about $53, bringing her gross 2026 benefit to about $1,953. But Maria pays the standard 2026 Part B premium of $202.90, up $17.90 from 2025. Her net deposit therefore rises by roughly $35 a month — not $53. Small, but it is the honest number she should budget around.
If Maria instead had high income and owed the top IRMAA tier, her net deposit could actually fall in 2026 despite the COLA, because the Part B increase plus surcharge would exceed the 2.8% gross raise. This is exactly why looking at the gross COLA alone can mislead.
Frequently Asked Questions
Is the 2026 COLA the same for SSI and Social Security?
Yes. The same 2.8% percentage applies to both Social Security and SSI benefits. The timing differs: Social Security COLA takes effect with January 2026 checks, while SSI COLA takes effect December 31, 2025.
Will my state tax my Social Security?
Some states tax a portion of Social Security benefits; others do not. This varies by state and changes over time, so check your state’s current rules rather than assuming.
Where do I find my personalized 2026 amount?
Sign in to your my Social Security account at SSA.gov. The COLA notice is typically available in the Message Center in late November. It shows your specific new benefit after any deductions.
Does the COLA apply to Medicare Advantage or Part D?
The COLA itself applies to Social Security and SSI cash benefits. Medicare Part D and Medicare Advantage plan premiums are set by plans and by CMS separately, and they can rise faster or slower than the COLA.
The bottom line
The 2026 Social Security COLA is a real, moderate 2.8% raise that lifts the average retired-worker benefit to about $2,071 a month. But the headline percentage and your actual deposit are two different numbers once the higher $202.90 Part B premium is deducted. Check your personalized notice, subtract your premium, and budget the net — then project the income into a longer plan with the retirement savings projector.
Sources & authoritative references
- Social Security Administration — COLA Information (2026): https://www.ssa.gov/cola/ (retrieved 2026-08-15)
- Social Security Administration — Retirement & full retirement age: https://www.ssa.gov/planners/retire/ (retrieved 2026-08-15)
- Centers for Medicare & Medicaid Services — 2026 Medicare Parts A & B Premiums and Deductibles: https://www.cms.gov/newsroom/fact-sheets/2026-medicare-parts-b-premiums-deductibles (retrieved 2026-08-15)
- U.S. Congress Research Service — Social Security: Cost-of-Living Adjustments (updated May 2026): https://www.congress.gov/crs-product/94-803 (retrieved 2026-08-15)