Social Security recipients urged to mark key date as COLA decision nears

Amid the rising commodity prices continue to hit millions of Americans, especially retirees who rely on Social Security. But a much-needed increase could be coming.

COLA, commonly referred to as the cost-of-living adjustment (COLA), is aimed at easing the burden of inflation.

The Social Security Administration (SSA) has announced a major date that will counter rising costs of living.

The SSA has set the 2027 COLA on October 14, though much of the detail is still under wraps.

Based on current inflation, here’s what retirees can expect from the next COLA increase.

As per the Senior Citizens League, a nonpartisan group that is dedicated to highlighting issues impacting millions of older Americans, estimates that the 2027 Social Security cost-of-living adjustment (COLA) would be 3.6% compared to the last year, when it was 2.8%.

That would boost the average check by about $70 a month.

The expected COLA this year appears to be higher than average mainly because of the rising fuel prices amid the U.S.-Iran conflict.

Overall energy prices (which weigh heavily in the CPI-W formula) were up 14.7% year over year in July, led by a 39.1% jump in fuel oil prices.

One thing to clarify is that until then, the Social Security Administration will announce the next COLA adjustments, which are based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) from July through September.