You've probably been checking your mail or bank account lately, wondering if the numbers are actually going to change. Well, the short answer is yes. There is an increase. But honestly, it might not feel as big as you were hoping for once the bills start rolling in.
For 2026, the Social Security Administration (SSA) has locked in a 2.8% cost-of-living adjustment (COLA). This isn't just a guess anymore; it’s the official number that started hitting accounts this January. It’s a bit higher than the 2.5% bump people saw in 2025, but let’s be real—with the price of eggs and rent these days, that extra cash can disappear pretty fast.
Is there a social security increase this year and how much is it?
Basically, about 75 million Americans are seeing a change in their monthly payments. This includes retirees, people on disability (SSDI), and those receiving Supplemental Security Income (SSI).
If you’re a retired worker, you’re looking at an average increase of about $56 per month. That brings the average check from roughly $2,015 up to **$2,071**. It’s something. Is it enough to cover a week of groceries? Maybe. But for many, it's a tight squeeze.
The logic behind this 2.8% number comes from the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). The SSA looks at the inflation data from the third quarter of last year—specifically July, August, and September—and compares it to the year before. Because those prices went up, your benefits go up. It’s a formula that’s been around since the 70s, designed to keep your purchasing power from eroding.
The Breakdown: Who Gets What?
It isn't a one-size-fits-all dollar amount. Since it's a percentage, the more you already receive, the bigger your "raise" looks on paper.
- Couples: For an aged couple both receiving benefits, the average check is jumping by about $88, moving from $3,120 to **$3,208**.
- Disabled Workers: If you're receiving SSDI, the average monthly payment is climbing by $44, landing at **$1,630**.
- SSI Recipients: This is the one group that actually got their "2026" increase a day early. Because January 1st was a holiday, SSI payments for the new year were actually sent out on December 31, 2025. For individuals, the maximum federal payment is now $994.
The Medicare "Catch" Nobody Likes
Here is where things get annoying. You get a raise from Social Security, but then Medicare Part B premiums usually decide to take a bite out of it.
🔗 Read more: Is the Stock Market Open Columbus Day? What Traders Actually Need to Know
For 2026, the standard Medicare Part B monthly premium has risen to $202.90. Last year, it was $185. That $17.90 increase is deducted directly from most people's Social Security checks before they ever see the money.
If your COLA increase was $56, but Medicare took $18, you’re really only seeing an extra $38. It’s frustrating. People call it the "COLA giveaway," and it’s why so many seniors feel like they’re running in place financially.
Why the 2.8% feels different for everyone
Some experts, like those at the Senior Citizens League, argue that the way the government calculates this increase is fundamentally flawed for older adults. They advocate for using the CPI-E (Consumer Price Index for the Elderly) instead of the current CPI-W.
Why? Because the current math focuses on what younger workers spend money on. Seniors spend way more on healthcare and housing—two things that have seen prices skyrocket way faster than 2.8%. If the government used the CPI-E, the increase might actually reflect the reality of your pharmacy bill.
Other Big Changes in 2026
It's not just about the monthly check. There are several other "moving parts" to Social Security this year that might affect you if you're still working or just starting to claim.
1. The Taxable Maximum is Higher
If you're a high earner, more of your income is being taxed this year. The maximum amount of earnings subject to Social Security tax jumped from $176,100 to **$184,500**.
2. Earnings Test Limits
Still working while collecting benefits? You need to watch the "earnings test." If you’re under full retirement age, you can earn up to $24,480 this year before the SSA starts withholding some of your benefits ($1 for every $2 earned over the limit). If you reach full retirement age in 2026, that limit is much higher at $65,160.
3. Credits are Harder to Get
To qualify for Social Security, you need "credits." In 2026, you have to earn $1,890 to get one credit (up from $1,810). You can earn a maximum of four credits per year.
How to Verify Your Specific Increase
By now, you should have received a "COLA notice" in the mail. It’s a one-page letter that breaks down your new gross benefit and any deductions for Medicare.
If you lost the letter or it never showed up, don't panic. You can find the exact same information by logging into your "my Social Security" account on the official SSA website. It's usually much faster than trying to call the 1-800 number and waiting on hold for an hour.
Actionable Next Steps
- Check your January statement: Verify that the 2.8% was applied and see exactly how much your Medicare Part B premium changed.
- Adjust your budget: If your net increase is smaller than expected due to the Medicare hike, look at your fixed costs now rather than being surprised in March.
- Update your tax withholdings: If this bump pushes your total income into a new bracket, you might want to adjust how much tax is withheld from your check to avoid a surprise next April.
- Review the Earnings Limit: If you are under 67 and working a part-time job, keep a close eye on that $24,480 threshold so you don't accidentally trigger a benefit reduction.
The 2026 increase is a reality, and while it isn't a windfall, every extra dollar helps when you're managing a fixed income. Stay on top of your "my Social Security" account for any further updates as the year progresses.
Source References:
- Social Security Administration (SSA) Press Release, October 2025.
- Centers for Medicare & Medicaid Services (CMS) 2026 Premium Announcement.
- Bureau of Labor Statistics (BLS) CPI-W Data Reports.
- AARP Public Policy Institute Analysis of 2026 COLA.