A MAJOR cash boost is set to be announced for up to 70 million people who receive Social Security payments.
Recipients could pocket an extra $648 in 2026 due to cost-of-living adjustments (COLA) if they receive a message in October.
A major cash boost is set to be announced for up to 70 million people who receive Social Security payments[/caption]
Social Security beneficiaries may see a 2.7 per cent cost-of-living adjustment next year, according to new estimates from policy experts.
The upgrade, which also applies to Supplemental Security Income (SSI), is based on the latest government inflation data.
For people who receive $2,000-a-month in payments, the cash boost will mean an extra $54 per month.
Over a whole year this means an additional $648 in the bank.
No increases have been confirmed as of yet with the government due to announce the official rate for 2026 in October.
It comes as estimates from several sources say the percentage could end up being higher with two more months of inflation data yet to be factored into the COLA calculations.
Back in 2025, an adjustment of 2.5 per cent came into effect.
But on average Social Security cost-of-living adjustments have sit at around 2.6 per cent over the past 20 years, according to the Senior Citizens League.
Other switch-ups are underway at the SSA, including Social Security bosses backtracking after issuing an August 18 deadline for recipients of a check worth $5,108.
Meanwhile, the agency’s plan to “save the benefits” was announced as millions of Americans are set to see the funds run out.
And at the start of the month, Social Security made some changes to over 72 million Americans payments.
The One Big Beautiful Bill Act signed into law by President Donald Trump has opened the door for additional tax benefits.
For tax year 2025, seniors age 65 and older who file their taxes individually and earn less than $75,000 would get an additional $6,000 tax deduction.
Those married filing jointly who earn up to $150,000 would get a $12,000 deduction.
Tax payers with incomes that breach those thresholds would see reduced tax deductions until they are completely phased out.
Moreover, the SSA states that about 90 percent of recipients would no longer need to pay income taxes on their benefits thanks to the bill.
And beginning September 30, the SSA will no longer be mailing out paper checks to beneficiaries as it will exclusively make electronic payments.
Recipients will generally need to get payments via direct deposit or through a prepaid debit card called Direct Express.
However, a few beneficiaries will be able to sign up for waivers to continue receiving paper checks under certain circumstances.
The SSA says the change marks an effort to crack down on fraud and save money.
What is SSI?
SUPPLEMENTAL Security Income, or SSI, is a crucial government-run disability program, offering payments to Americans with disabilities who have limited income and resources.
Unlike SSDI, SSI is based on one’s financial need rather than their work history.
SSI benefits are available to those who are disabled, blind, or aged 65 or older and have very limited financial means.
This can include people who have never worked or have not worked enough to qualify for SSDI, such as those disabled from a young age or stay-at-home parents.
The maximum monthly SSI benefit in 2025 is $967 for individuals – up from $943 last year thanks to COLA – and $1,450 for couples.
Those who are eligible can receive both disability and SSI benefits at the same time, which can occur if you are eligible for SSDI but your monthly benefit amount is very low.
