Social Security COLA Benefit To Rise 2.8% In 2026

• The Social Security Administration said that, on average, Social Security retirement benefits will increase by about $56 per month starting in January.
• Social Security beneficiaries will see a 2.8% cost-of-living adjustment (COLA) beginning in January 2026.
• Social Security Administration Commissioner Frank Bisignano said the annual cost-of-living adjustment is one way to ensure benefits reflect today’s economic realities.

The Social Security Administration said on Friday that the Social Security cost-of-living adjustment (COLA) for 75 million Americans will increase 2.8% in 2026.

The agency said that on average, Social Security retirement benefits will increase by about $56 per month starting in January.

The Social Security Administration said that over the last decade, COLA increases have averaged about 3.1% and were 2.5% in 2025. Social Security beneficiaries will see a 2.8% COLA beginning in January 2026, with increased payments to nearly 7.5 million people receiving Supplemental Security Income beginning on Dec. 31, 2025.

Social Security Administration Commissioner’s View

Frank Bisignano, the Social Security Administration Commissioner, said that the annual cost-of-living adjustment is one way to make sure benefits reflect today’s economic realities and continue to provide a foundation of security.

“The cost-of-living adjustment is a vital part of how Social Security delivers on its mission,” Bisignano added.

Details Of The Benefit

The agency said that some other adjustments that take effect in January of each year are based on the increase in average wages. For example, the maximum amount of earnings subject to the Social Security tax is slated to increase to $184,500 from $176,100, the Social Security Administration said.

The earnings limit for workers who are younger than full retirement age will increase to $24,480, the agency added. The earnings limit for people reaching their full retirement age in 2026 will increase to $65,160.

U.S. equities rose in Friday's premarket trading. At the time of writing, the SPDR S&P 500 ETF (SPY), which tracks the S&P 500 index, was up 0.85%, the Invesco QQQ Trust ETF (QQQ) surged 1.01%, while the SPDR Dow Jones Industrial Average ETF Trust (DIA) gained 0.77%.

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