The Cost of Living Adjustment for 2026 will be 2.8%, a few ticks higher than the 2025 COLA, Social Security Administration officials announced Friday.<\/p>\n\n\n\n
The long-awaited COLA announcement sets the rate of increase for Social Security beneficiaries, but also for military retirees and people receiving veterans benefits. The increase goes into effect in January. <\/p>\n\n\n\n
The government shutdown delayed the announcement by nine days.<\/p>\n\n\n\n
Nearly 71 million people receive Social Security benefits, officials said, estimating that on average, the monthly benefit will increase by $56. <\/p>\n\n\n\n
As an example, a military retiree who receives $2,500 in retired pay will see a COLA increase of about $70 a month.<\/p>\n\n\n\n
For a veteran receiving $1,500 per month in benefits, the increase would be about $42 in 2026. <\/p>\n\n\n\n
In 2024, Congress passed legislation that ties increases in veterans\u2019 benefits to the rate of Social Security increases. The cost-of-living increase applies to disability compensation, clothing allowances and dependency and indemnity benefits, as well as some other VA assistance programs. <\/p>\n\n\n\n
The COLA is designed to make sure benefits keep pace with inflation. The calculation is based on the Consumer Price Index, which tracks the cost of a wide range of items and calculates inflation and changes in the cost of living.<\/p>\n\n\n\n
The 2025 COLA, at 2.5%, was the lowest increase since before the COVID-19 pandemic. The COLA increases were 3.2% in 2023, 8.7% in 2022 and 5.9% in 2021.<\/p>\n\n\n\n
In 2020, the increase was 1.6%.<\/p>\n\n\n\n
Social Security officials will begin notifying individuals about their new benefit amount by mail starting in early December. <\/p>\n","protected":false},"excerpt":{"rendered":"
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