WASHINGTON, DC - The Social Security Administration (SSA) announced that benefits will increase by 2.8% in 2026 to help people keep up with the rising cost of living. This means that the average retiree will get about $56 more per month starting in January 2026. The increase, known as the Cost-of-Living Adjustment (COLA), will affect about 75 million Americans, including people who receive Social Security and Supplemental Security Income (SSI).
SSA Commissioner Frank J. Bisignano said the annual adjustment is important to make sure benefits reflect today’s economy and continue to provide financial security for retirees, survivors, and people with disabilities.
The SSA also announced that the maximum taxable earnings — the highest amount of income subject to Social Security tax — will rise from $176,100 to $184,500 in 2026.
People will start receiving letters in December 2025 showing their new benefit amounts, but those with my Social Security accounts can view their notices online faster. The SSA encourages everyone to go digital at ssa.gov/myaccount.
The COLA is based on the Consumer Price Index (CPI-W), which measures inflation, and helps ensure that Social Security benefits keep up with the cost of goods and services. Information about Medicare changes for 2026 will be shared later this year at medicare.gov. Scroll down for more details on this subject...
MORE DETAILS - The Social Security Administration (SSA) has announced a 2.8 percent increase in benefits for 2026, helping 75 million Americans who receive Social Security or Supplemental Security Income (SSI) keep pace with inflation. The increase — known as the Cost-of-Living Adjustment (COLA) — takes effect in January 2026 for Social Security beneficiaries, while SSI recipients will see the change beginning December 31, 2025.
On average, Social Security retirement benefits will rise by about $56 per month, according to the SSA. The latest adjustment follows a 2.5 percent COLA in 2025, with the 10-year average hovering around 3.1 percent.
“Social Security is a promise kept, and the annual cost-of-living adjustment is one way we make sure benefits reflect today’s economic realities,” said SSA Commissioner Frank J. Bisignano. “The COLA ensures that benefits continue to provide a foundation of security for retirees, survivors, and people with disabilities.”
The adjustment affects nearly 71 million Social Security beneficiaries and about 7.5 million SSI recipients — many of whom receive both benefits.
Taxable Earnings and Other Adjustments for 2026 - The SSA also announced that the maximum amount of earnings subject to Social Security tax will increase from $176,100 to $184,500 in 2026. This adjustment, which occurs annually, reflects rising average wages across the nation.
Beneficiaries will begin receiving notification of their new payment amounts by mail in early December 2025. The SSA will again issue a simplified one-page COLA notice outlining the exact benefit amount, effective date, and any applicable deductions.
Going Digital with “My Social Security” - The SSA encourages individuals to access their COLA notices online through their my Social Security account at www.ssa.gov/myaccount. Users who choose paperless delivery can receive updates faster and securely through text or email alerts.
To receive the 2026 COLA notice online, beneficiaries must opt out of paper notices by November 19, 2025. The online account also allows users to request replacement Social Security cards, view benefit information, track claim status, and access SSA-1099 forms.
Information about Medicare changes for 2026, including new premium amounts, will be available in late November at www.medicare.gov and through the SSA’s Message Center for online account holders.
The annual COLA is based on changes in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), calculated by the U.S. Bureau of Labor Statistics, as mandated by the Social Security Act.
For more information, visit www.ssa.gov/cola.
