Social Security COLA 2026: 2.8% Increase — What It Means for Your Benefits
June 30, 2026 · 4 min read
The 2026 Social Security cost-of-living adjustment (COLA) is 2.8%, effective January 1, 2026. This applies to Social Security retirement, SSDI, and SSI. The average retiree received about $56 more per month; SSI increased to $994/month from $967.
2026 Social Security key amounts
| Benefit / Figure | 2025 Amount | 2026 Amount (+2.8%) |
|---|---|---|
| Average retirement benefit | ~$2,015/month | ~$2,071/month |
| Average SSDI (disabled workers) | ~$1,586/month | $1,630/month |
| SSI (individual) | $967/month | $994/month |
| SSI (couple) | $1,450/month | $1,491/month |
| Maximum SSDI (high earners) | $4,018/month | $4,152/month |
| Substantial Gainful Activity (SGA) | $1,620/month | $1,690/month |
| Medicare Part B premium | $185.00/month | $202.90/month |
How the COLA is calculated
SSA calculates the COLA using the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). The percentage change in average CPI-W from the third quarter (July–September) of the prior year to the third quarter of the current year becomes the COLA for the following January.
The 2026 COLA of 2.8% reflects price increases (primarily food, energy, and shelter) from Q3 2024 to Q3 2025. It was announced by SSA in October 2025 and took effect with the January 2026 payments.
Net increase: accounting for Medicare Part B
Most Medicare enrollees have Part B premiums deducted directly from their Social Security check. The 2026 Part B premium is $202.90/month, up from $185.00 in 2025 — an increase of $17.90/month.
For someone with an average retirement benefit, the 2026 COLA added ~$56/month. After the Part B premium increase of ~$17.90, the net increase is approximately $38/month in take-home Social Security income.
If you qualify for a Medicare Savings Program (Medicaid), the state may pay your Part B premium — meaning you keep the full COLA increase.
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Check my benefits →How does the COLA affect SSI?
SSI increased from $967/month in 2025 to $994/month in 2026 — a $27/month increase. Because SSI recipients in most states also automatically qualify for Medicaid, there is no Medicare premium offset for this group.
The SSI resource limits — $2,000 for individuals and $3,000 for couples — did not change in 2026. These limits have not been adjusted for inflation since 1989.
Common questions
What is the Social Security COLA for 2026?
2.8%, effective January 1, 2026. Applies to Social Security retirement, SSDI, and SSI.
How much did Social Security increase in 2026?
Average retirement: +~$56/month. Average SSDI: ~$1,630/month (up from ~$1,586). SSI: $994/month (up from $967). After Part B premium increase, net retirement take-home is about +$38/month.
How is the Social Security COLA calculated?
Based on the percentage change in CPI-W from Q3 of one year to Q3 of the next. Announced by SSA each October; takes effect the following January.
Does the COLA affect Medicare Part B premiums?
Yes — Part B rose to $202.90/month in 2026 (+$17.90). For most retirees, this partially offsets the COLA. If you qualify for a Medicare Savings Program, the state pays Part B and you keep the full increase.
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