A shopper looks at a beverage display June 4, 2026 at the Market 32 Supermarket in South Burlington, Vermont.
Robert Nickelsberg | Getty Images
The Social Security Administration announced on Wednesday that beneficiaries will receive a 3.6% cost-of-living adjustment (COLA) in 2027, aimed at helping millions of Americans keep pace with inflation.
Retirement benefits are projected to rise by an average of $75 per month, providing a significant financial boost to those relying on these payments. The annual adjustment applies to both Social Security retirement benefits and Supplemental Security Income (SSI), directly impacting the financial stability of 76 million individuals.
“Social Security will implement this cost-of-living adjustment for 76 million Americans, giving them greater financial stability,” Social Security Commissioner Frank Bisignano said in a statement.
Approximately 72 million Americans will see their benefit increases in January, while about 7.3 million SSI beneficiaries will receive higher payments starting December 31.
The 3.6% increase is in line with the projections outlined by Social Security experts last month, who forecasted a rise between 3.5% and 3.6%. This adjustment marks the largest benefit increase since 2023, when beneficiaries received an 8.7% boost—the highest in four decades—in response to surging inflation.
The announcement comes as new government data reveals that consumer price increases are accelerating, with the consumer price index rising 3.7% over the past 12 months, driven partly by climbing gas prices.