How the COLA is figured
The COLA equals the increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) from the third quarter of last year to the third quarter of this year. It is announced in October and takes effect with January benefits. When prices do not rise, there is no COLA—as in 2010, 2011, and 2016.
What it means for planning
Social Security is one of the few sources of retirement income that automatically keeps up with inflation. That makes it especially valuable late in retirement, and is one reason delaying benefits can pay off.
Common questions
What is the 2026 Social Security COLA?
2.8%, effective with January 2026 benefits.
What was the largest COLA?
Since automatic adjustments began, the largest was 14.3% in 1980. The largest recent one was 8.7% in 2023.
Official 2026 figures from: IRS: 2026 401(k) and IRA limits (IR-2025-111) · IRS: Catch-up contributions · IRS: Required minimum distributions · IRS: Publication 590-B (Uniform Lifetime Table) · IRS: Rev. Proc. 2025-19 (2026 HSA limits) · SSA: 2026 COLA fact sheet · CMS: 2026 Medicare premiums and deductibles · SSA: Cost-of-living adjustment history · BEA: Regional Price Parities by state (2024 data)