Social Security COLA for 2027 Is 3.6%: How to Calculate Yours
The annual cost-of-living adjustment — or COLA — for Social Security recipients intends to help payments keep up with inflation. Even though inflation numbers are the primary factor in how the increase is decided, don’t expect it to fully cover the price hikes we’ve seen this year.
The Social Security Administration1 announced a 3.6% cost-of-living adjustment for 76 million beneficiaries that will start in January of 2027. The good news is it’s a relatively decent increase from the 2026 COLA. However, be prepared for it to be offset by things like Medicare Part B Premiums increases or expenses that have shot up significantly, like gas and utilities.
Beneficiaries will receive a notice of their increased monthly payment from the Social Security Administration in December. Here’s what else you need to know about the annual Social Security increase.
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How to Find Out Your 2027 Social Security COLA
You can see your specific COLA notice online by creating a My Social Security account by Nov. 18.
You also can get an update as soon as your COLA increase is posted by enabling account notifications. Simply log into your My Social Security account, then select email or text notifications under message center preferences.
Or, you can do the math yourself, assuming the predication holds true.
Simply multiply your current benefit amount by 0.036 to determine how much your monthly payment could increase.
For example, if you receive an average monthly Social Security benefit of $2,087, you would multiply that by 0.036 and find that your checks will increase by about $75 per month next year.
Roughly 76 million Americans will see the bump in their monthly Social Security benefits or in their Supplemental Security Income payments in 2027.
The increase, determined by the Department of Labor’s Bureau of Labor Statistics, is tied to the annual COLA increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers.
The increase is good news compared to recent years. In 2023, the increase was a historically high 8.7%, the increase then dropped to 3.2% for 2024, and it was 2.5% in 2025. It bumped up to 2.8% in 2026.
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How to Create a My Social Security Account
If you don’t already have an account, you can create one anytime. However, beneficiaries should create one by Nov. 18 to receive their 2027 COLA notice online.
It’s a good idea to create an online account for other reasons, too — especially if you receive Social Security or SSI benefits. Go to www.ssa.gov/myaccount to begin.
With a My Social Security account, you can also:
- Request a new Social Security card.
- Set up or change direct deposit.
- Get your Social Security tax form (SSA-1099).
- Print a benefit verification letter.
- Change your address.
To create an account, you’ll need to do the following:
- Verify your identity by entering personal information about yourself.
- Answer some security questions.
- Create a username and password.
- Confirm your email address or phone number by entering a one-time security code.
Whether you have an online account or not, you can expect to receive a paper notice in the mail in December.
How Much Money Will the Average Social Security Recipient Get in 2027?
Here’s what the increase would look like for the average recipient:
- Retired workers will get an extra $75 a month on average. The current average monthly benefit is $2,087.
- Disabled workers will get an extra $58 a month on average. The current average monthly benefit is $1,635.
- The average Supplemental Security Income (SSI) benefit for individuals will increase by $26. The current average monthly benefit is $738.
Some of That COLA Goes to Medicare
There is no such thing as a free lunch. The increase in Social Security benefits is often matched or exceeded with an increase in Medicare Part B Premiums, which increased by nearly 10% in 2026. Details about the Medicare increase for 2027 are expected to be available at www.medicare.gov in late November.
If your budget is a little too tight even after the increase, we have a list of the best part-time jobs for retirees and an explainer on working while collecting Social Security. If working isn’t an option, we have tips on saving in retirement.
Rachel Christian is a Certified Educator in Personal Finance and a senior writer for The Penny Hoarder. Timothy Moore contributed to this report.
