Social Security COLA 2026: 2.8% Benefit Increase, What It Means for Your Check—and How Medicare & VA Pay Are Affected

Bassyonni

ago 4 hours

Social Security COLA 2026

A new cost-of-living adjustment will lift Social Security and Supplemental Security Income (SSI) benefits by 2.8% in 2026. The increase is tied to inflation readings and will reach roughly 71–75 million beneficiaries across retirement, disability, and survivors programs.

When the 2026 COLA hits your payment

Social Security: New, higher amounts arrive with January 2026 payments.
SSI: The updated rate appears December 31, 2025 (the January payment paid early due to the calendar).
Who gets it: Retired workers, spouses and survivors, SSDI beneficiaries, and SSI recipients. If you receive both Social Security and SSI, both are adjusted.

How much more is that in dollars?

The agency’s averages point to roughly $56 more per month for a typical retired worker. Your exact increase depends on your current benefit.

Medicare Part B in 2026: what to expect

Standard Part B premium (projection): $206.50/month, up $21.50 from 2025—an 11.6% jump.
Part B deductible (projection): $288 for 2026.
Status: These figures are projected from official program estimates and trustees’ tables; the final numbers are typically confirmed in late fall. If finalized near these marks, the Part B increase will trim part of the COLA for beneficiaries who have premiums deducted from their Social Security checks.

IRMAA surcharges (high-income)

Income-related monthly adjustment amounts are also projected to rise in 2026. If your modified adjusted gross income exceeds the thresholds, plan for higher brackets on Parts B and D. Tax-planning moves (e.g., Roth conversions timing, charitable distributions) can sometimes reduce exposure—ask a qualified advisor.

Veterans and military retirees: VA COLA for 2026

By law, VA disability compensation and military retirement pay adopt the same COLA as Social Security. That means a 2.8% raise beginning with December 2025 entitlements, paid in early January 2026. Expect updated pay tables from the departments to reflect the new rates across all percentages and dependent categories.

Key Social Security numbers for 2026

Maximum taxable earnings (OASDI wage base): $184,500
Quarter of coverage (earnings needed to earn one credit): $1,890
Earnings test (before full retirement age): $24,480/year ($2,040/month)
Earnings test (year you reach full retirement age): $65,160/year ($5,430/month)
Withheld benefits rules remain the same ($1 withheld for each $2 over the first limit; $1 for each $3 over the second limit, applying only to months before reaching full retirement age).

“My Social Security”: how to see your new amount

Check your COLA notice: The agency posts updated 2026 benefit letters in your my Social Security account ahead of January.
Direct deposit timing: Your pay date is tied to your birthdate (second, third, or fourth Wednesday). The higher amount appears on your normal schedule.
SSI calendar quirks: When the 1st falls on a weekend/holiday, SSI pays on the prior business day—hence the December 31 deposit for January.

Will 2.8% keep up with expenses?

A 2.8% COLA is modestly above the long-run average but may lag some household costs—especially Medicare Part B, certain prescriptions, and housing. Budgeting tips for 2026:

Update your net-of-Part-B estimate. If the projected $206.50 premium is finalized, subtract it from your gross benefit to see the true monthly change.
Review Part D/Advantage plans. Formularies, premiums, and out-of-pocket caps shift annually; open enrollment runs Oct. 15–Dec. 7 for 2026 coverage.
Verify withholdings. If you changed tax withholding or moved states, confirm your after-COLA net amount in January.
Emergency buffer. Consider channeling part of the COLA into a small reserve to offset early-year medical bills and deductibles.

Fast answers

What’s the 2026 Social Security COLA? 2.8%.
When do I see it? January 2026 checks (SSI adjusts on Dec. 31, 2025).
Will Medicare eat my raise? Partly. A projected Part B premium of $206.50 would offset some of the increase; the final premium is due later this fall.
Do VA disability and military retirement go up the same amount? Yes—2.8%, effective with December 2025 pay (received in January).

The 2.8% COLA will lift benefits across Social Security, SSI, VA disability, and military retirement in early 2026. Keep an eye on final Medicare Part B figures—likely the biggest swing factor for your net deposit—and use your my Social Security account to confirm the exact dollar amount of your new monthly benefit.