Social Security COLA Increase for 2026

The Social Security Administration recently announced a cost-of-living adjustment (COLA) increase for 2026, providing a boost to help keep up with rising costs. This adjustment is designed to help ensure your retirement income continues to support your needs, and we’re here to help you understand how this change may fit into your financial plan.

The Increase for 2026:

The COLA for 2026 is set to be 2.8%, slightly higher than the 2.5% increase in 2025. Starting in January, Social Security beneficiaries will see an average increase of $56. Your total increase may be different depending on multiple factors. You can see what your individual increase will be by logging into your Social Security account.

The agency will also raise the maximum earnings subject to Social Security tax, increasing the taxable wage base from $176,100 to $184,500.

When to Expect the Increase:

Social Security payments are typically issued on the third day of each month, and the amount received in January will reflect the COLA increase for 2026. You should receive communication from the Social Security Administration in December on your increased benefit. 

If you’d like to learn more about the recent COLA adjustment, we’ve attached the Social Security Changes Fact Sheet below.

The annual Social Security COLA announcement provides an excellent opportunity to review your income and expenses and ensure that any adjustments align with your established financial strategy. If you'd like to discuss these potential changes, please don't hesitate to contact us.