"So a larger COLA versus a smaller one could spell the difference between being able to cover retirement expenses versus having to skimp on essentials. To put it even more bluntly, a stingy Social Security COLA could mean that some seniors might have to skip meals, cut medication doses in half, and resort to other such extremes. So any time there's an inkling of a small COLA, it can be devastating for retirees who rely heavily on those benefits."
"December's CPI showed that inflation rose 2.7% on an annual basis. That's good news for seniors who are hoping to make the most of this year's Social Security COLA. In 2026, Social Security benefits rose 2.8%. If inflation is being measured at 2.7%, it means this year's COLA is outpacing inflation slightly - at least as of now."
Social Security COLA announcements directly affect many seniors because some rely solely on Social Security for income. A small COLA can force seniors to skip meals, cut medication doses, or take other extreme measures to make ends meet. December's Consumer Price Index showed 2.7% annual inflation while Social Security benefits rose 2.8% in 2026, so the current COLA slightly outpaces inflation. The Senior Citizens League estimates a 2.5% COLA for 2027, but COLA calculations depend on third-quarter inflation data and remain uncertain. Retirees benefit from having income sources beyond Social Security.
Read at 24/7 Wall St.
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