Source: Douglas Rissing / Getty
Updated Oct. 15, 2025, 10:15 A.M.
The Social Security Administration (SSA) has delayed its annual cost-of-living adjustment (COLA) announcement due to the ongoing government shutdown. Originally scheduled for October 15, the update will now be released on October 24, once the Bureau of Labor Statistics (BLS) publishes September’s Consumer Price Index (CPI) data.
The COLA determines how much Social Security benefits will increase for the nation’s 75 million recipients, including retirees, disabled Americans, and survivors, to help offset inflation. The rate is based on third-quarter inflation data, covering July through September.
According to the SSA, the 2026 COLA announcement will coincide with the delayed release of CPI data later this month. “The Social Security Administration will use this release to generate and announce the 2026 cost-of-living adjustment on October 24,” the agency said in a statement. Despite the delay, officials confirmed that the new COLA will still take effect on January 1, 2026.
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Early projections suggest a modest increase in benefits next year. The Senior Citizens League, an advocacy group for older Americans, estimates a 2.7% COLA — slightly higher than the 2.5% increase awarded in 2025. AARP predicts a similar range between 2.6% and 2.9%. A 2.7% adjustment would raise the average monthly payment for retirees by $54, from $2,008 to $2,062.
Inflation remains a key factor in determining the final figure. Economists expect the September CPI to rise to 3.1% annually, up from 2.9% in August. Experts attribute the recent uptick partly to tariffs under the Trump administration that have increased import costs on goods such as clothing, food, and steel.
While inflation has cooled from its 2022 highs, many everyday costs remain elevated, leaving some retirees worried that benefit increases may still lag behind rising prices.
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