It is finally October 24th, and on this day, seniors across the country can finally release the anticipation they have held all year long. This is because the official 2026 COLA announcement has now been made at 8:30 a.m. in the U.S., revealing a 2.8% increase. With this announcement, retirees across America will finally know the exact figure by which their benefits will be increased in the new year.
The COLA, or Cost of Living Adjustment, is an annual measure of year-over-year inflation. If inflation has increased, benefit amounts will also be increased proportionately (and the good news is that if inflation decreases, your benefits will not be reduced). The 2025 COLA brought seniors an average increase of 2.5%, while the official 2026 COLA has been confirmed at 2.8%.
The 2026 COLA was initially meant to be announced days ago on October 15th. However, due to the U.S. federal government shutdown that began on October 1st and is ongoing, the announcement had been pushed back. On October 10th, the Bureau of Labor Statistics announced that it would be releasing the September CPI that is required for the COLA calculation on October 24th, with the SSA set to make the official COLA announcement on the same day — and that day has now arrived.
Will the Official 2.8% COLA Be Enough?
According to The Senior Citizen’s League, a 2.7% COLA would read as average from a historical standpoint, with the highest COLA on record being the 8.7% increase of 2023. As such, the official 2.8% increase will bring seniors an average of approximately $56 more in their Social Security benefit checks as of January 2026. Even though this official COLA is slightly higher than that of the 2025 COLA, it may still fall short in addressing its purpose.
While a higher COLA is naturally desired since it means more money in your benefits checks, it is also worth remembering that this increase comes about as a result of increases in inflation. This makes a higher COLA something of a double-edged sword because yes, on one hand, you will be receiving more in benefits, but that higher amount has only become possible because the costs of goods and services have also increased.
The Medicare Part B premium is also projected to face a staggering 11.6% increase in 2026, as per the annual report from the Medicare Board of Trustees. This cost hike would bring the price of the premium up from $185 to approximately $206.50. Not to mention the fact that the Part B premium is automatically deducted from the Social Security benefit.
Therefore, when the Part B premium increase and the COLA increase offset each other, the average retiree will see a smaller actual increase in their checks despite the official COLA figure being moderately higher.
COLA Announcement Details
Since the September data had already been collected prior to the government shutdown, the Bureau of Labor Statistics has made a special arrangement and released the September CPI today, thereby allowing the Social Security Administration (SSA) to determine and announce the official 2.8% COLA for 2026.
”BLS will publish the September 2025 Consumer Price Index (CPI) on Friday, October 24, 2025, at 8:30 A.M. Eastern Time. No other releases will be rescheduled or produced until the resumption of regular government services. This release allows the Social Security Administration to meet statutory deadlines necessary to ensure the accurate and timely payment of benefits,” BLS wrote.
The Bureau of Labor Statistics has already released the CPI for September which formed the basis for the COLA calculation. According to BLS data, “In September, the Consumer Price Index for All Urban Consumers rose 0.3 percent, seasonally adjusted, and rose 3.0 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy increased 0.2 percent in September (SA); up 3.0 percent over the year (NSA).”