Social Security announces 2027 cost-of-living adjustment estimates

Social Security officials have released early estimates for the 2027 cost-of-living adjustment, known as COLA. The adjustment raises benefit payments each year to keep up with rising prices. Early figures vary widely. The Senior Citizens League predicts a 3.8% increase, while analyst Mary Johnson estimates 4.7% based on recent inflation data. The official number will be announced in mid-October 2026, after September inflation figures are published on October 14. The final COLA is calculated using a price index that tracks what urban workers spend. After the announcement, beneficiaries will receive personal notices explaining their new payment amount. Millions of retirees rely on this adjustment for their financial planning. Payments in 2027 will arrive on the second, third, or fourth Wednesday of each month, depending on the beneficiary's birth date.