Social Security Payments Set for 3.6% Boost Next Year
A 3.6% cost-of-living adjustment is set for Social Security benefits in 2027, the largest increase since 2022. The Senior Citizens League estimates the average retirement benefit will rise by about $75.15 per month. Advocacy groups warn the increase may not keep up with inflation, especially for seniors who depend on Social Security for most or all of their income.
The 2027 increase follows a 2.8% adjustment that took effect this year. The Senior Citizens League says the new amount would add roughly $75.15 monthly to the typical retirement check. It is the biggest bump since 2022.
The COLA formula relies on inflation readings from July through September and an index that critics say underweights medical care, prescriptions, rent, and household energy—costs that weigh heavily on older adults. In the league's survey, 89% called this year's raise insufficient, and 44% of seniors reported Social Security as their sole income.
The 3.6% boost could provide modest relief for retirees, particularly those who depend entirely on Social Security. Yet it may not fully offset rising medical, housing, and energy costs, so some older adults could still feel financially squeezed. The change may affect household spending, poverty risk, and demand for assistance programs, though impacts would likely vary by health, housing, and region.