To help ensure Social Security benefits keep up with the pace of inflation, recipients receive an annual cost-of-living adjustment (COLA). This year, retirees received a 2.8 percent increase, and early predictions show next year’s could be even higher.
Inflation has been increasing in recent months. According to 24/7 Wall St., the war in Iran has pushed prices up, especially for gas. The consumer price index, which measures inflation, in March showed a 3.3 percent year-over-year increase. This has some analysts thinking retirees could see a 3.2 percent COLA in 2027.
While that sounds like good news, it’s important to keep in mind that COLA increases are a response to inflation. Any increase is because the cost of goods has increased. So, retirees won’t be getting “extra” money, as some might think.
Right now, it’s all speculation. The 2027 Social Security COLA will be announced in October.
Council of Seniors is Here to Help Older Americans
While any COLA increase would be welcome, it’s still not enough to help struggling seniors.
All of us here at the Council of Seniors want to improve retirees’ financial futures – and that starts with Congress enacting The SAVE Benefits Act. The passage of this bill can make up for Social Security cost-of-living adjustments (COLAs) that have let you down in recent years. If it passes, $581 will be returned to eligible seniors.
Sign our petition right now to show you’re on board with our effort.