Social Security's 2027 COLA Is One of the Highest in Decades, but There Are Still 2 Issues Retirees May Run Into

Stefon Walters, The Motley Fool

Sat, October 24, 2026 at 12:05 PM CDT 3 min read

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Inflation has been high for most of the year as geopolitical events have driven up commodity prices, so it was no real surprise that the Social Security cost-of-living adjustment (COLA) -- which is intended to help retirees fight inflation -- was above average.

The 3.6% COLA for 2027 is the third-highest since 2012 and the fifth-highest in the past 35 years. This sizable bump is surely welcomed by retirees, but not everything is peachy keen. Retirees still face two key problems: The future of benefits and how far their current benefits stretch.

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