2027 Social Security COLA — 3.6% Increase
SSA announced a 3.6% COLA for 2027 on October 14, 2026. Average retirement benefit up about $75/month, SSI raise starts Dec 31, 2026, wage base $192,300, earnings test $25,560, max benefit at FRA $4,188, and when your COLA notice arrives.
By Greg, Editor at Finance Maxx. Published · Updated
The Social Security Administration announced a 3.6% cost-of-living adjustment (COLA) for 2027 on October 14, 2026. Nearly 72 million Social Security beneficiaries get the raise starting with January 2027 benefits, and about 7.3 million people on SSI see higher payments starting December 31, 2026. On average, SSA says retirement benefits go up about $75 a month.
Official sources: SSA press release (Oct 14, 2026), the 2027 COLA fact sheet, and SSA.gov/cola.
The same announcement also moves several numbers that matter to people who are still working: the Social Security wage base, the earnings test, and the disability (SGA) thresholds. All of them are below.
The short version
| Question | Short answer |
|---|---|
| 2027 COLA | 3.6% |
| Announced | October 14, 2026 |
| Social Security raise starts | Benefits payable in January 2027 (about 72 million people) |
| SSI raise starts | December 31, 2026 payment (about 7.3 million people) |
| Average retirement benefit | About +$75/month ($2,095 → $2,170, SSA estimate) |
| Max benefit at full retirement age | $4,152 → $4,188/month |
| Wage base (Social Security tax cap) | $184,500 → $192,300 |
| Earnings test (under FRA) | $24,480 → $25,560/year |
| Payroll tax rates | Unchanged: 7.65% employee, 15.30% self-employed |
| COLA notice | Online late November (sign up by Nov 18); paper in December |
Key dates
| Date | What happens |
|---|---|
| October 14, 2026 | SSA announces the 3.6% COLA for 2027 |
| November 18, 2026 | Deadline to create a my Social Security account and enroll in paperless notices to see your COLA notice online |
| Late November 2026 | COLA notices (and, for Medicare enrollees, the 2027 premium amount) appear in the my Social Security Message Center |
| December 2026 | Paper COLA notices mailed to people not enrolled in paperless notices |
| December 7, 2026 | Medicare Open Enrollment ends (guide) |
| December 31, 2026 | Increased SSI payments begin |
| January 2027 | Social Security benefits with the 3.6% COLA begin; 2027 wage base and earnings test apply |
What 3.6% means for a monthly check
SSA’s fact sheet estimates average monthly benefits payable in January 2027:
| Beneficiary type | Before 3.6% COLA | After 3.6% COLA |
|---|---|---|
| All retired workers | $2,095 | $2,170 |
| Aged couple, both receiving benefits | $3,238 | $3,355 |
| Widowed mother and two children | $3,932 | $4,074 |
| Aged widow(er) alone | $1,936 | $2,005 |
| Disabled worker, spouse, and one or more children | $2,970 | $3,077 |
| All disabled workers | $1,642 | $1,701 |
Quick math on your own benefit: multiply your current gross monthly benefit by 0.036. A $1,800 benefit rises by about $64.80 before any deductions. That is a planning sketch; your COLA notice shows the exact new amount, the dates, and any deductions such as Medicare premiums, so the deposit that hits your bank can differ. To see how steady inflation erodes a fixed amount over time, try the inflation calculator.
The maximum benefit for a worker retiring at full retirement age rises from $4,152 to $4,188 a month.
SSI in 2027
| SSI item | 2026 | 2027 |
|---|---|---|
| Federal payment standard, individual | $994/mo | $1,029/mo |
| Federal payment standard, couple | $1,491/mo | $1,544/mo |
| Resource limit, individual | $2,000 | $2,000 (unchanged) |
| Resource limit, couple | $3,000 | $3,000 (unchanged) |
| Student exclusion, monthly limit | $2,410 | $2,500 |
| Student exclusion, annual limit | $9,730 | $10,080 |
SSA says increased SSI payments begin on December 31, 2026. Some people receive both SSI and Social Security, so they may see two changes.
If you’re still working: wage base and payroll tax
The tax rates don’t change for 2027. The cap on wages subject to Social Security tax does.
| Payroll item | 2026 | 2027 |
|---|---|---|
| Social Security wage base (OASDI) | $184,500 | $192,300 |
| Medicare wage base | No limit | No limit |
| Employee rate (6.2% Social Security + 1.45% Medicare) | 7.65% | 7.65% |
| Self-employed rate | 15.30% | 15.30% |
| Quarter of coverage | $1,890 | $1,970 |
The 7.65% doesn’t include the extra 0.9% Additional Medicare tax on earnings over $200,000 ($250,000 married filing jointly), which SSA notes separately.
Worked example (employee, $200,000 wages): Social Security tax stops at the wage base. In 2026 that is 6.2% × $184,500 = $11,439. In 2027 it is 6.2% × $192,300 = $11,922.60. That’s $483.60 more Social Security tax for anyone earning at or above the new cap (the extra 6.2% applies to wages between $184,500 and $192,300). Medicare tax keeps going on every dollar either way.
The take-home pay calculator and This year — FICA still model the 2025 and 2026 wage bases. Use $192,300 when you sketch a 2027 paycheck, and see take-home pay after federal tax and FICA for how the cap and Additional Medicare interact.
Working while collecting: 2027 earnings test
If you claim benefits before full retirement age (FRA) and keep working, SSA can temporarily withhold some benefits above these limits:
| Situation | 2026 limit | 2027 limit | Withholding above the limit |
|---|---|---|---|
| Under FRA all year | $24,480/yr ($2,040/mo) | $25,560/yr ($2,130/mo) | $1 for every $2 over |
| Year you reach FRA (months before FRA) | $65,160/yr ($5,430/mo) | $67,920/yr ($5,660/mo) | $1 for every $3 over |
| Starting the month you reach FRA | None | None | No earnings test |
Example (stated assumptions): under FRA all of 2027, earning $35,560. That’s $10,000 over the $25,560 limit, so SSA would withhold about $5,000 of 2027 benefits ($1 per $2 over). Confirm your own numbers with SSA; how withheld months are handled later is outside this guide.
Disability thresholds (SGA and trial work)
| Disability item | 2026 | 2027 |
|---|---|---|
| Substantial gainful activity, non-blind | $1,690/mo | $1,770/mo |
| Substantial gainful activity, blind | $2,830/mo | $2,950/mo |
| Trial work period month | $1,210/mo | $1,270/mo |
Your COLA notice and Medicare
- Online first: if you have a personal my Social Security account, the notice appears in the Message Center in late November, up to three weeks before paper. You can turn on text or email alerts for new messages.
- No account yet? Create one and enroll in paperless notices by November 18 to see the notice online.
- Paper: people not enrolled in paperless notices get the notice by mail in December.
- One page: SSA says the 2027 notice is a simplified one-page letter with exact dates, your new benefit amount, and any deductions.
- Medicare premium: for Medicare enrollees, the 2027 premium amount will be in the my Social Security Message Center starting late November. Information about 2027 Medicare changes will be at Medicare.gov. This guide does not list a 2027 Part B premium or IRMAA brackets because SSA’s announcement didn’t publish them.
Medicare Open Enrollment runs October 15 – December 7, 2026 for 2027 coverage. If you’re reviewing plans now, see Medicare Open Enrollment 2026.
Taxes and the rest of your plan
A bigger benefit can change your taxable-income picture. If you’re 65 or older, also look at the enhanced senior deduction (up to $6,000 per qualifying person on Schedule 1-A), and sketch your return with the federal tax calculator. This guide doesn’t calculate how much of your benefit is taxable.
Still working? The higher wage base pairs with fall benefit elections. See 2026 401(k) & IRA contribution limits, size deferrals and match with the 401(k) & IRA contribution calculator, and check net pay with the take-home pay calculator.
What this does not do
- It does not calculate your personal 2027 benefit. Your COLA notice and my Social Security are the official numbers.
- It does not list 2027 Medicare Part B premiums, deductibles, or IRMAA brackets. Check Medicare.gov and your late-November Message Center notice.
- It does not calculate how much of your Social Security is subject to federal income tax.
- It does not change the take-home pay calculator or This year — FICA tables, which still model 2025 and 2026.
- It does not cover state supplements to SSI, which vary by state.
- Educational only, not benefits, tax, or legal advice. Confirm with SSA.gov.
FAQ
What is the 2027 COLA?
3.6%, announced by SSA on October 14, 2026.
When does it start?
With Social Security benefits payable in January 2027. Increased SSI payments begin December 31, 2026.
How much is the average increase?
About $75 a month for retirement benefits. SSA estimates the average retired-worker benefit goes from $2,095 to $2,170.
What is the 2027 wage base?
$192,300 (up from $184,500). Rates stay at 7.65% employee and 15.30% self-employed.
What is the 2027 earnings limit?
$25,560 a year under full retirement age ($1 withheld per $2 over), and $67,920 in the year you reach FRA ($1 per $3 over, months before FRA only).
When will I see my COLA notice?
Online in late November if you have my Social Security with paperless notices (sign up by November 18). Otherwise by mail in December.
What is the 2027 Part B premium?
Not in SSA’s announcement. Your 2027 premium will be in the my Social Security Message Center starting late November, and Medicare.gov will post 2027 Medicare changes.
Try it yourself
- Sign in to my Social Security, or create an account and enroll in paperless notices by November 18.
- Multiply your current gross benefit by 0.036 for a rough monthly increase, then wait for the notice for the exact figure and deductions.
- If you’re on Medicare, review plans before December 7 with Medicare Open Enrollment 2026.
- If you’re 65+, sketch 2026 taxes with the federal tax calculator and the enhanced senior deduction.
- Still working and earning near the cap? Use $192,300 as the 2027 wage base in the take-home pay calculator math, and read take-home pay and FICA.
Related reading
- Medicare Open Enrollment 2026: Oct 15 – Dec 7 plan changes for 2027 coverage
- Enhanced senior deduction: up to $6,000 per qualifying person age 65+ on Schedule 1-A
- 2026 401(k) & IRA contribution limits: deferral ceilings for fall elections
- Take-home pay after federal tax and FICA: how the wage base and Additional Medicare hit a paycheck
- This year — FICA: current wage base and payroll tax rates
- Take-home pay calculator: federal + FICA paycheck sketch
- 401(k) & IRA contribution calculator: deferral, match, and IRA room for fall elections
- Federal tax calculator: taxable-income and bracket estimate
- Inflation calculator: purchasing power and future cost at a steady inflation rate