Social Security beneficiaries have received annual cost-of-living adjustments (COLAs) tied to a subset of the Consumer Price Index known as the CPI-W, which tracks the price of goods and services across the economy.

The Senior Citizens League (TSCL), a nonpartisan senior group, recently released their monthly COLA estimate, predicting that it would moderate to 2.1% in 2026.

Almost all Social Security beneficiaries are familiar with the most popular and publicized change: the increase in monthly benefit checks for 2025 due to the automated cost-of-living adjustment, or COLA. As you already know, that increase will be 2.5%.

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

Social Security will see some notable changes in 2025 that could impact millions of Americans. While the average benefit will increase, high earners may face a larger tax bill and retirees could find their cost-of-living adjustment falls short.