Millions of Social Security beneficiaries are projected to receive a 2.8% COLA increase in 2026. Learn what this means for your monthly check and your budget.

For seniors on Social Security, there’s perhaps no more important an announcement each year than a COLA (cost-of-living adjustment) announcement. This year’s COLA announcement was actually delayed due to the government shutdown.

As January 1 is a federal holiday, SSI recipients are scheduled to receive their January 2026 payment a day early—on December 31. The same is set to happen again at the end of January, with SSI payments being paid on the 30th rather than February 1, which is a Sunday.

While everyone receives the same 2.8% COLA, the dollar value of that increase depends on your existing benefit. Social Security calculates monthly payments based on your 35 highest-earning years, adjusted for inflation. Higher lifetime earnings generally lead to a higher base benefit.

The U.S. Federal Reserve’s latest interest rate cut of a quarter percentage point lowered the benchmark federal funds rate to a range of 3.5%-3.75% in mid-December. This move continues to spark optimism among market participants,

New year brings changes to Social Security benefits. A 2.8% Cost-of-Living Adjustment will increase monthly payments for millions. This adjustment may impact eligibility for other aid programs like Medicaid and SNAP.

Medicare premiums rise sharply in 2026, and retirees may see part of their COLA raise wiped out. Learn how the new costs work and how to protect your budget.

In December, the Federal Reserve cut its benchmark interest rate for the third time this year. The move was not unexpected, but what’s a little less clear is what the Fed intends to do in 2026. If you’re someone who collects Social Security,