WASHINGTON — Social Security benefits will increase by 3.6% in 2027, giving millions of retirees, disabled workers and other beneficiaries a larger monthly payment beginning in January.
The Social Security Administration announced the 2027 cost-of-living adjustment, or COLA, on October 14. The increase will affect roughly 76 million Americans receiving Social Security or Supplemental Security Income benefits.
For the average retired worker, the adjustment will translate into an increase of about $75 per month, according to the agency.
Average retirement benefits are expected to rise from roughly $2,095 to $2,170 per month after the 3.6% adjustment takes effect.
The higher Social Security payments will begin in January 2027, while increased Supplemental Security Income payments will arrive on December 31, 2026 because the normal January 1 payment date falls on a federal holiday.
How Much Is the Social Security COLA for 2027?
The official Social Security COLA for 2027 is 3.6%. The annual adjustment is designed to help Social Security benefits keep pace with inflation.
Federal law links the COLA to changes in the Consumer Price Index for Urban Wage Earners and Clerical Workers, or CPI-W.
For the 2027 adjustment, the Social Security Administration compared the average CPI-W during the third quarter of 2026 with the corresponding period in 2025.
That calculation resulted in the 3.6% increase. The adjustment applies automatically. Beneficiaries generally do not need to apply or contact the Social Security Administration to receive the higher payment.
How Much Will the Average Social Security Check Increase?
The exact increase depends on how much a beneficiary currently receives. Someone receiving a larger monthly benefit will generally receive a larger dollar increase because the 3.6% adjustment is applied as a percentage.
According to Social Security Administration estimates, average monthly benefits will change approximately as follows:
| Beneficiary | Before 2027 COLA | After 3.6% COLA |
|---|---|---|
| All retired workers | $2,095 | $2,170 |
| Retired couple, both receiving benefits | $3,238 | $3,355 |
| Aged widow or widower living alone | $1,936 | $2,005 |
| Disabled worker | $1,642 | $1,701 |
| Disabled worker, spouse and children | $2,970 | $3,077 |
| Widowed mother and two children | $3,932 | $4,074 |
The average retired worker would therefore receive approximately $75 more per month, or around $900 more over a full year, before accounting for deductions such as Medicare premiums. Individual benefit amounts will vary.
Example: What a 3.6% COLA Could Mean for Your Check
A simple calculation can provide an estimate of how the adjustment could affect a monthly benefit.
A person receiving $1,500 per month would see an increase of approximately:
$1,500 × 3.6% = $54
That would bring the estimated monthly benefit to about:
$1,554
Someone receiving $2,000 per month could receive approximately:
$2,000 × 3.6% = $72
That would bring the estimated payment to roughly:
$2,072 per month.
A beneficiary receiving $2,500 per month could see an increase of about:
$2,500 × 3.6% = $90
The estimated new payment would be approximately $2,590 per month.
Actual Social Security payments can differ because of rounding, Medicare premiums, tax withholding and other deductions.
When Will the 2027 Social Security Increase Start?
The 3.6% COLA will apply to Social Security benefits beginning with benefits payable in January 2027.
Nearly 72 million Social Security beneficiaries are expected to receive the adjustment.
Supplemental Security Income recipients will see their increased January payment earlier — on December 31, 2026.
That does not represent an additional payment. The payment is being issued early because January 1 is a federal holiday.
About 7.3 million people receive SSI, according to the Social Security Administration. Some individuals receive both Social Security and SSI.
New SSI Payment Amounts for 2027
The 3.6% COLA will also increase the federal Supplemental Security Income payment standard.
For 2027, the maximum federal SSI payment will increase to:
- $1,029 per month for an eligible individual.
- $1,544 per month for an eligible couple.
- $516 per month for an essential person.
The maximum individual SSI payment in 2026 is $994 per month, while the maximum for an eligible couple is $1,491.
The actual amount an individual receives may be lower depending on income, living arrangements and other factors. Some states also provide additional SSI supplements.
Social Security Taxable Maximum Rises in 2027
The COLA announcement also comes with several other annual Social Security adjustments.
The maximum amount of earnings subject to the Social Security payroll tax will rise from $184,500 in 2026 to $192,300 in 2027. Workers pay the Social Security portion of payroll taxes on earnings up to this annual limit.
The Social Security tax rate itself remains unchanged at 6.2% for employees, with employers contributing another 6.2%. Self-employed workers generally pay both portions. Medicare taxes do not have the same earnings cap.
Social Security Earnings Limits Also Increase
People who claim Social Security before reaching full retirement age and continue working are subject to annual earnings limits.
For 2027, the earnings limit for workers younger than full retirement age will rise to $25,560, up from $24,480 in 2026.
Social Security generally withholds $1 in benefits for every $2 earned above that threshold.
For people who reach full retirement age during 2027, the earnings limit will increase to $67,920.
In that case, $1 in benefits is withheld for every $3 earned above the limit before the month in which the worker reaches full retirement age.
Once a beneficiary reaches full retirement age, the earnings limit no longer applies.
Maximum Social Security Benefit Changes for 2027
The maximum monthly Social Security benefit for a worker retiring at full retirement age is expected to rise to $4,188 in 2027, compared with $4,152 in 2026.
That figure does not mean every retiree can receive $4,188.
Maximum benefits depend on a worker’s lifetime earnings history, the age at which benefits are claimed and whether the worker earned at or above the taxable maximum for enough years.
When Will Beneficiaries Know Their Exact 2027 Benefit?
Social Security recipients will receive personalized COLA notices showing their exact new benefit amount.
Beneficiaries with a my Social Security account who have chosen electronic notices can access their COLA information online beginning in late November.
People who have not selected paperless notices will generally receive their COLA notice through the mail in December.
The Social Security Administration said beneficiaries who want early online access should create an account and enroll in paperless notices by November 18, 2026.
The notice will show the beneficiary’s new monthly payment and applicable deductions.
Medicare Premiums Could Affect the Net Increase
A 3.6% COLA does not necessarily mean every retiree will see the entire increase deposited into their bank account. Many Social Security recipients have Medicare Part B premiums deducted directly from their monthly benefit.
Changes in Medicare premiums can therefore affect how much of the COLA beneficiaries actually keep. The Social Security Administration said information about 2027 Medicare premium amounts will be available separately through Medicare.
For Medicare enrollees, updated premium information is expected to appear with personalized Social Security information beginning in late November.
Why Social Security Benefits Receive a COLA
Annual cost-of-living adjustments are intended to protect Social Security beneficiaries from losing purchasing power as prices rise.
Social Security has used automatic inflation-based COLAs since the 1970s. The adjustment is based on the CPI-W rather than a discretionary decision by Congress each year.
If the measured cost of living rises, Social Security benefits generally increase according to the formula established under federal law.
For 2027, that formula produced a 3.6% adjustment, giving retirees and other beneficiaries another increase as households continue dealing with higher costs for housing, food, health care and other everyday expenses.
For millions of Americans who depend heavily on Social Security income, the most important number will be the personalized benefit amount shown in their COLA notice. Those higher payments will begin arriving in January 2027.
