ROANOKE, Va. – If you receive Social Security, your monthly benefit is expected to change next year.
That’s because Social Security benefits are adjusted each year for inflation through what’s known as a cost-of-living adjustment, or COLA.
The 2026 COLA was 2.8%. The Social Security Administration says it will announce the next COLA in October 2026.
Social Security Administration: COLA information
How is the 2027 COLA calculated?
The Social Security Administration uses the Consumer Price Index for Urban Wage Earners and Clerical Workers, known as the CPI-W, to calculate the annual COLA.
The calculation uses the average CPI-W for the third quarter of the year — July, August and September — and compares it with the third-quarter average from the last year in which a COLA became effective.
That means September’s inflation data is the final piece of the calculation for the 2027 COLA.
The Bureau of Labor Statistics is scheduled to release September’s Consumer Price Index data in October.
What could a Social Security increase mean for your monthly budget?
The Social Security Administration estimates the average monthly retirement benefit for a retired worker was about $2,071 in January 2026.
For example, a hypothetical 3.5% increase on a $2,071 monthly benefit would be about $72.49 more per month, bringing the benefit to roughly $2,143.49.
That’s only an illustration. The actual 2027 COLA has not been announced.
A larger Social Security check also doesn’t necessarily mean more money left over at the end of the month, because the costs of necessities can change as well.
Inflation is still affecting everyday expenses
The latest federal inflation data shows consumer prices increased 3.4% over the 12 months ending in August 2026.
During that same period:
Food: +2.7%
Shelter: +3.0%
Energy: +16.3%
The Bureau of Labor Statistics also reported that medical care services increased 2.5% over the year.
Bureau of Labor Statistics: August 2026 Consumer Price Index
That means how much a Social Security increase actually helps a beneficiary’s budget can depend on that person’s individual expenses, including housing, food, utilities and health care.
Medicare costs are another factor
For many older adults, Medicare is another expense that can affect how much of a Social Security increase they actually see.
The standard Medicare Part B premium is $202.90 per month in 2026, up $17.90 from $185 per month in 2025.
The 2027 Part B premium has not yet been finalized.
Centers for Medicare & Medicaid Services: 2026 Medicare premiums
For beneficiaries who have their Medicare Part B premium deducted from their Social Security payments, changes to Medicare costs can affect the amount of their benefit they actually receive.
Local Office on Aging offers Medicare counseling
The Local Office on Aging is preparing to help people navigate Medicare costs and coverage options during the upcoming Medicare Open Enrollment period.
Through the Virginia Insurance Counseling and Assistance Program, LOA offers free counseling to help people understand Medicare, compare plans and costs, and navigate their coverage options.
LOA’s Medicare Open Enrollment counseling will be available October 15 through December 7, 2026, Monday through Thursday from 11 a.m. to 3 p.m. at Valley View Mall in Roanoke, on the upper level outside the former Sears space. Walk-ins are welcome, although appointments are recommended.
Local Office on Aging: Medicare Open Enrollment Counseling
The Local Office on Aging can be reached at 540-345-0451 for more information about its programs and services.
When will the 2027 Social Security increase be announced?
The Social Security Administration says the 2027 COLA will be announced in October 2026.
Once the official number is released, beneficiaries will be able to see how their Social Security benefit will change and consider that increase alongside changes in their own housing, food, health care and other monthly expenses.
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