Mon Feb 24 11:50:00 UTC 2025: ## Motley Fool Predicts Higher Social Security COLA for 2026

**Washington, D.C.** – The 2025 Social Security cost-of-living adjustment (COLA) of 2.5% left many retirees disappointed, as the increase barely covered rising living expenses. However, projections for the 2026 COLA are more optimistic, suggesting a potentially larger increase than initially anticipated.

While the official number won’t be released until October 15th, 2025, after the September Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) data is published, The Senior Citizens League (TSCL) predicts a 2.3% increase based on its statistical model. This would raise the average monthly benefit to $2,025. It is important to note that TSCL’s predictions for the 2025 COLA were highly accurate.

Although a larger COLA means bigger checks, the increase might be offset by continued inflation. The CPI-W, used to calculate COLAs, may not accurately reflect the spending habits of retirees, who often spend more on healthcare than younger workers. Using the Consumer Price Index for the Elderly (CPI-E) would likely result in a higher COLA, a change some in Congress are proposing.

The debate over the appropriate inflation index highlights the ongoing challenge of ensuring Social Security benefits keep pace with the rising cost of living, particularly given the program’s $23 trillion funding shortfall. The Motley Fool, a financial services company, advises retirees to monitor updates on the 2026 COLA to better plan their budgets.

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