Social Security announces 2027 COLA Wednesday: Here's how much more you'll get

More than 75 million Americans receiving Social Security benefits will learn Wednesday, October 14, how much their monthly checks will increase in 2027, when the Social Security Administration announces its annual cost-of-living adjustment (COLA).

Forecasters expect the adjustment to land between 3.5% and 3.6%, with the average retiree observing $72-75 per month, the largest increase since 2023 and up from the 2.8% adjustment recipients received in 2026.

The official announcement follows the Bureau of Labour Statistics’ release of September inflation data at 8:30 a.m. ET Wednesday. The COLA is calculated based on changes in the Consumer Price Index of the Urban Wage Earners and Clerical Workers from July through September compared to the same period the prior year.

If the adjustment comes in at 3.5%, it would raise the average retired worker’s benefit by roughly $72 per month, based on the current average monthly payment of about $2,064, as per Forbes. AARP’s 3.6% estimate would translate to about $75 more per month. The new amount would show up in checks beginning in January 2027.

The COLA has fluctuated significantly in recent years, typically driven by inflation trends. Recent adjustments include 2.8% in 2026, 2.5% in 2025, 3.2% in 2024, and 8.7% in 2023 - the highest since 1981. According to the Social Security Administration, the 10-year average COLA is about 3.1%.

The adjustment program has been in place since 1975 and is designed to help benefits keep pace with inflation.