Patrick
In 2026, Social Security and Supplemental Security Income (SSI) payments will see a 2.8% increase, affecting over 75 million Americans.
This update reflects the annual Cost-of-Living Adjustment (COLA), designed to help beneficiaries maintain purchasing power as everyday expenses continue to rise.
How the 2026 COLA Impacts Monthly Payments
The Old-Age, Survivors, and Disability Insurance (OASDI) program applies the 2.8% COLA to monthly benefits beginning in 2026.
While the adjustment is smaller than in years of peak inflation, it still delivers meaningful relief against higher costs for essentials like groceries, utilities, and medications.
Because benefit amounts depend on individual earnings histories and claiming choices, payment increases vary. Based on the most recent SSA data:
- Average retired worker: approximately $2,071 per month
- Average retired couple: roughly $3,208 combined per month
Updated Income Limits Set by the Social Security Administration
Alongside higher benefits, earnings limits are also changing in 2026:
- Under full retirement age (FRA):
- Annual limit rises to $24,480
- $1 withheld for every $2 earned above the limit
- Reaching FRA during 2026:
- Higher limit of $65,160
- $1 withheld for every $3 earned above this amount until the month FRA is reached
- At full retirement age all year:
- No earnings limit
Additionally, the maximum taxable earnings subject to Social Security payroll taxes will increase to $184,500.
Social Security Payment Dates for January 2026
For beneficiaries who did not begin receiving payments before 1997, January 2026 payments are issued based on date of birth:
- Wednesday, January 21: Born between the 11th and 20th
- Wednesday, January 28: Born between the 21st and 31st
Payments are deposited strictly according to this schedule.
Who Receives Social Security and SSI Benefits?
By 2026, nearly 75 million Americans will receive Social Security–related payments enhanced by the COLA increase. Eligible groups include:
- Retired workers
- People with disabilities (SSDI)
- Dependents of eligible workers
- Survivors of deceased workers
- Supplemental Security Income (SSI) recipients
The 2.8% COLA increase for 2026 provides important financial support for millions who rely on Social Security and SSI.
While modest compared to prior years, the adjustment—combined with updated earnings limits and tax thresholds—helps beneficiaries better manage rising living costs.
Understanding payment amounts, income rules, and deposit schedules ensures recipients can plan confidently for the year ahead.
FAQs
When will the 2.8% Social Security increase take effect?
The increase applies to payments issued in 2026, starting with January benefits.
Does everyone receive the same dollar increase?
No. The increase is a percentage, so actual dollar amounts depend on each person’s earnings history and benefit level.
Is there an earnings limit if I work while receiving benefits?
Yes, if you are under full retirement age or reaching it during 2026. There is no limit once you are at full retirement age all year.