Social Security COLA: 3.6 % for 2027, and how it is computed

Enter a monthly benefit and the year it started: the calculator applies each COLA the SSA has granted since, up to the one paid from January 2027.

Benefit from January 2027

$2,105.57

11 cost-of-living adjustments since January 2016: +40.4 % in all.

Benefit growth+40.4 %
CPI-U, December 2015 to September 2026+42.5 %
2027 COLA3.6 %

Assumes no other change to your benefit (Medicare premium, earnings test, recomputation).

How this is computed
Each COLA applied, from the SSA table (December increase, paid in January).
Paid fromCOLABenefit
January 20170.3 %$1,504.50
January 20182.0 %$1,534.59
January 20192.8 %$1,577.56
January 20201.6 %$1,602.80
January 20211.3 %$1,623.64
January 20225.9 %$1,719.43
January 20238.7 %$1,869.02
January 20243.2 %$1,928.83
January 20252.5 %$1,977.05
January 20262.8 %$2,032.41
January 20273.6 %$2,105.57

Prepared by Radif Partners · How the figures are built · BLS indexes through September 2026

Social Security benefits rise 3.6 % for 2027. The Social Security Administration announced the cost-of-living adjustment on October 14, 2026: it applies to December 2026 benefits, paid from January 2027, for nearly 72 million beneficiaries, and to SSI payments for about 7.3 million people from December 31, 2026. The average retirement benefit goes up by about $75 a month. The figure follows a formula set by law: the average CPI-W of July, August and September 2026, 328.746, against the same average for 2025, 317.265, an increase of 3.6 % once rounded to a tenth of a percent. The COLA paid in 2026 was 2.8 %. The CPI-W is the index for urban wage earners and clerical workers, not the CPI-U of the headlines, and its 12-month change to September 2026 was 3.9 %. Medicare premiums and the other amounts for 2027 are set separately and are to come.

The formula, step by step

The Social Security Act ties the automatic adjustment to the CPI-W published by the Bureau of Labor Statistics (42 U.S.C. 415(i)). The SSA takes the CPI-W of July, August and September of the current year, averages them and rounds to three decimals. It compares that average with the same third-quarter average of the last year in which a COLA took effect. The percentage increase, rounded to the nearest tenth of one percent, is the COLA. If there is no increase, or if the rounded increase is zero, there is no COLA that year.

(328.746 minus 317.265) divided by 317.265 = 3.6 %, the COLA for 2027. CPI-W from the BLS file, U.S. city average, not seasonally adjusted.
CPI-W20252026
July316.349327.104
August317.306328.481
September318.139330.654
Third-quarter average317.265328.746

The same computation a year earlier compared 317.265 for the third quarter of 2025 with 308.729 for 2024 and gave the 2.8 % paid since January 2026. The September CPI-W comes out in mid-October, which is why the SSA announces the COLA the same day as the September CPI: in 2026, on October 14, 2026.

When the COLA reaches your account

The adjustment applies to the benefit for December, which Social Security pays in January. SSI payments for January are made at the end of December when January 1 falls on a holiday, which is why the higher SSI payment arrives on December 31, 2026. The SSA sends each beneficiary a COLA notice with the new amount and any deductions; people with a personal my Social Security account can see it online from late November, if they enrolled in paperless notices by November 18, and the others receive it by mail in December.

What your benefit became through the COLAs

Benefit from January 2027

$2,364.63

Benefit growth+31.4 %
CPI-U, December 2019 to September 2026+31.1 %
2027 COLA3.6 %
Open the full calculator →

Your exact new amount is on that notice, not in a calculator. The COLA is applied by the SSA to your benefit as the law defines it, and the Medicare Part B premium, usually withheld from the same payment, changes on its own schedule. The 2027 premium is to come: the SSA says Medicare information for 2027 will be available on medicare.gov.

Every COLA since 2000

SSA table of cost-of-living adjustments. Since 1983 the COLA takes effect for December benefits, paid in January of the following year.
Year it took effectCOLA
20263.6 %
20252.8 %
20242.5 %
20233.2 %
20228.7 %
20215.9 %
20201.3 %
20191.6 %
20182.8 %
20172 %
20160.3 %
20150 %
20141.7 %
20131.5 %
20121.7 %
20113.6 %
20100 %
20090 %
20085.8 %
20072.3 %
20063.3 %
20054.1 %
20042.7 %
20032.1 %
20021.4 %
20012.6 %
20003.5 %

Since the third-quarter rule began in 1984, the largest COLA was 8.7 % in 2022, after the price surge of 2021 and 2022. There was none in 2009, 2010, 2015: in each of those years the third-quarter CPI-W did not exceed the last base. The 1999 COLA was first determined at 2.4 % and later made 2.5 % by Public Law 106-554. Before 1983, COLAs took effect in June and compared other quarters; the full table since 1975 is on the SSA website.

Does the COLA keep up with prices?

A benefit that started in January 2016 has received every COLA since, a total increase of 40.4 % by January 2027. Over roughly the same period, from December 2015 to September 2026, the CPI-U rose 42.5 %. The two do not match exactly, for three reasons: the COLA uses the CPI-W, which weighs gasoline and transportation more and retirees' spending less; it measures the change only once a year, from third quarter to third quarter; and it reaches the account months after the prices moved. Retirees who spend more on medical care or rent than the average wage earner can feel that their inflation runs faster than their COLA.

The comparison of the CPI-U, CPI-W and chained CPI shows how far the three national indexes drift apart on the same amount. The cost-of-living adjustment page applies the 3.6 % or the CPI-U of your area to any pay or benefit.

What the COLA does not change

The COLA raises the benefits and SSI payments the law ties to it, but it is not the only Social Security number that changes each autumn. The maximum taxable earnings, the earnings test limits, the substantial gainful activity threshold and the Medicare premiums all have their own rules. Their 2027 values are announced separately; this site does not repeat them until it has read them on the official source. If a news article quotes a 2027 premium or limit, check it against the SSA fact sheet or medicare.gov before relying on it.

The COLA also does not depend on your own expenses or your city. It is one national percentage, the same for a retiree in Honolulu as in Houston, even though prices in those areas did not rise at the same speed. The CPI by city page shows how far apart local inflation ran over the same months.

Questions people ask

What is the Social Security COLA for 2027?

3.6 %, announced by the Social Security Administration on October 14, 2026. It applies to December 2026 benefits, paid in January 2027, for nearly 72 million beneficiaries, and to SSI from December 31, 2026. The SSA estimates the average retirement benefit will rise by about $75 a month.

How is the Social Security COLA calculated?

From the CPI-W: the average of its July, August and September values, compared with the same average of the last year a COLA was paid, rounded to a tenth of a percent. For 2027, 328.746 against 317.265 gives 3.6 %. The rule is in section 215(i) of the Social Security Act.

When will I see the 2027 COLA in my check?

With the payment for December 2026, which arrives in January 2027. SSI recipients get the higher amount on December 31, 2026, because January's SSI payment is made at the end of December. Your COLA notice, online from late November for paperless accounts or by mail in December, gives the exact new amount and deductions.

Why was there no COLA in some years?

Because the law grants a COLA only when the third-quarter CPI-W rises above the base year. In 2009, 2010, 2015 it did not: prices measured by the CPI-W had fallen or not risen enough, so benefits stayed the same. The next COLA was then measured from the last year one was paid.

Was the 2026 COLA 2.8 percent?

Yes. The COLA effective for December 2025 benefits, paid from January 2026, was 2.8 %: the third-quarter CPI-W averaged 317.265 in 2025 against 308.729 in 2024. The 2027 increase of 3.6 % is applied on top of the benefit that already includes it.

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Official sources for this page

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Indexes through September 2026, BLS files read on