SSDI Benefits To See 2.8 Percent Benefit Increase For 2026

The Social Security Administration (SSA) has announced the cost of living increase for 2026. Social Security payments will receive a 2.8% increase next year. This increase affects approximately 75 million Americans, bringing relief in the face of rising living costs. On average, retirees will see their monthly Social Security benefit rise by about $56, beginning January 2026.

The increase applies to:

• Social Security Disability Insurance (SSDI)
• Retirement benefits
• Survivor benefits
• Supplemental Security Income (SSI)

Nearly 71 million Social Security beneficiaries will benefit from the 2.8% increase starting in January 2026. Meanwhile, payments for nearly 7.5 million people who receive SSI will increase beginning December 31, 2025, a timing difference because SSI benefit notices and payments are handled slightly differently.

It is important to note that over the last decade the COLA increase has averaged about 3.1%. Last year’s increase (for 2025) was 2.5%. So while 2.8% is slightly below the decade average, it is still a meaningful boost for beneficiaries.

A COLA helps preserve purchasing power for retirees and beneficiaries, but when inflation in specific expense categories (such as healthcare, housing, and utilities) is higher than the average inflation index, the increase may feel insufficient.

In addition to the benefit increase, other key thresholds related to Social Security will adjust for 2026. The maximum amount of earnings subject to Social Security tax (the “taxable maximum”) is slated to rise to $184,500, up from the 2025 figure of $176,100. This increase reflects growth in average wages and ensures the program remains aligned with earnings trends.

Recipients will receive notices about their new benefit amounts starting in early December. Those with an individual “my Social Security” account can view their COLA notice online. For benefits recipients also enrolled in Medicare, information about their 2026 benefit amount will be available via the Message Center in their “my Social Security” account starting in late November. If a recipient does not have an account set up, that notice will arrive in the mail during December.

The underlying law mandates how the COLA is calculated. The Social Security Act links the annual adjustment to changes in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), as measured by the Bureau of Labor Statistics. This mechanism ensures that benefit adjustments track inflation as experienced by wage-earners over time.

Beneficiaries should be sure they either establish or access their “my Social Security” account ahead of the November deadline to review their personalized notices promptly.

Recent COLA increases

Learn More About Social Security Disability Benefits

Every year, changes to the cost of living results in SSDI payment increases. This is always a good thing, but are the benefits enough?

Get the most benefits possible with help from a White Plains Social Security Disability lawyer from The Law Office of Michael Lawrence Varon. Let us assess your case and discuss the next steps. Schedule a consultation by calling (914) 228-1770 or filling out the online form.

Source:

blog.ssa.gov/social-security-announces-benefit-increase-for-2026/