Social Security checks will rise 3.6% in 2027, about $75 a month for retirees

Roughly 76 million Americans who collect Social Security or Supplemental Security Income will see their monthly payments go up 3.6% next year, the Social Security Administration said Wednesday. For the typical retired worker that works out to about $75 more each month.

It is the biggest cost-of-living bump since 2023, when runaway prices produced an 8.7% increase. This year's raise was 2.8%.

When the money arrives

Nearly 72 million Social Security beneficiaries will see the higher amount starting with their January 2027 payments. About 7.3 million people on SSI will get their first larger check on Dec. 31. Some people receive both.

People with an online my Social Security account can read their personal notice starting in late November, up to three weeks before paper letters reach mailboxes in December. Anyone who wants the online version has to open an account and pick paperless notices by Nov. 18. The new one-page notice spells out the payment dates, the new benefit amount and any deductions.

How the raise is set

Federal law ties the yearly adjustment to a price gauge that tracks urban wage earners and clerical workers. The agency compares the July through September average with the same months a year earlier. That gauge was up 3.9% from a year ago in September and averaged about 3.6% across the three months.

The number landed the same morning the government reported that overall consumer prices climbed 3.7% over the past year. Fuel has driven much of that rise since the war with Iran rattled global energy markets.

What it means for your check

To estimate a new payment, multiply the current monthly benefit by 0.036 and add the result. Medicare premiums can eat into the gain because they are often taken straight out of Social Security payments. Medicare trustees project the standard Part B premium will rise to $209.50 a month in 2027 from $202.90 this year. Official 2027 Medicare amounts will show up in online accounts in late November.

Welcome news with a caveat

Groups that speak for older Americans welcomed the raise but warned it will not stretch far for many households. AARP chief executive Myechia Minter-Jordan said the adjustment helps millions of people keep up with groceries, everyday bills and health care. Max Richtman, who heads the National Committee to Preserve Social Security and Medicare, said most seniors will still struggle to keep pace with their real costs.

Workers are feeling the squeeze too. Average pay rose about 3% over the past year, slower than prices. The program's long-term funding gap has also become a campaign issue this fall as candidates trade ideas for shoring up its trust funds.