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Social Security Administration

The Social Security Administration is the federal agency that pays Social Security and Supplemental Security Income benefits and sets the yearly cost-of-living increase under the law.

Why it matters

The yearly cost-of-living increase is not a decision the agency makes. A formula in law sets it equal to the rise in the Consumer Price Index for Urban Wage Earners and Clerical Workers from the third quarter of one year to the third quarter of the next, which is why the figure follows from inflation data published by the Bureau of Labor Statistics.

BusinessNews

What is the Social Security COLA for 2027?

The Social Security cost-of-living increase for 2027 is 3.6 percent, according to the Social Security Administration notice published in the Federal Register on October 26, 2026.

Social Security Administration, Federal RegisterConfirmed Nov 11, 12:50 PM ET

What happened

The increase applies to benefits for December 2026, which are payable in January 2027. From: What is the Social Security COLA for 2027? Confirmed Nov 11, 12:50 PM ET
The maximum federal Supplemental Security Income payment for 2027 will be $1,029 a month for an eligible individual and $1,544 for an eligible individual with an eligible spouse. From: What is the Social Security COLA for 2027? Confirmed Nov 11, 12:50 PM ET
Earnings up to $192,300 will be subject to the Social Security payroll tax in 2027. From: What is the Social Security COLA for 2027? Confirmed Nov 11, 12:50 PM ET
The 3.6 percent figure is the rise in the Consumer Price Index for Urban Wage Earners and Clerical Workers from the third quarter of 2025 to the third quarter of 2026. From: What is the Social Security COLA for 2027? Confirmed Nov 11, 12:50 PM ET