Every year, the Social Security Administration, or SSA, examines inflation data and adjusts Social Security benefits accordingly. In short, the annual cost-of-living adjustment, or COLA, is designed to help retirees keep up with the rising cost of goods and services.

It’s not uncommon for seniors on Social Security to collect those benefits for two decades or longer. But in that long a time frame, the value of a dollar can seriously erode due to inflation. That’s why Social Security’s automatic cost-of-living adjustments,

Key Takeaways For 2026, the Senior Citizens League predicts a smaller cost-of-living adjustment for Social Security benefits compared to last year.They estimate that the COLA will be 2.1% in 2026, which is down from 2.

When you are on  Social Security, you can expect your retirement benefits to increase during most years. That’s because Cost of Living Adjustments (COLAs) typically happen automatically from year to year.

Social Security beneficiaries have relied on annual cost-of-living adjustments (COLAs) to maintain their purchasing power.