A big announcement (with a possible delay)
The Social Security Administration (SSA) is gearing up to announce the 2026 Cost-of-Living Adjustment (COLA) next week — an event millions of retirees wait for every year. COLA is a major deal because it determines how much bigger your monthly Social Security check will be starting in January.
However, this year’s announcement could hit a snag. Thanks to the ongoing U.S. government shutdown and the lack of a new budget deal, the SSA might delay revealing the new COLA rate. Still, no matter when the announcement drops, retirees in 10 lucky states are already on track to receive the largest benefit increases in the nation.
What COLA means — and why it matters
If you’re retired, chances are you keep a close eye on COLA updates every fall. The Cost-of-Living Adjustment is meant to help Social Security benefits keep pace with inflation — basically, to make sure your check still buys what it did the year before.
For many Americans, this yearly boost is essential. Surveys show that most retirees depend mainly, or even entirely, on Social Security income to cover their daily expenses. That’s why the COLA number matters so much — it’s not just a percentage; it’s a lifeline for millions.
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Predictions for the 2026 COLA increase
So, how much of an increase can retirees expect next year?
According to estimates from The Senior Citizens League, a nonpartisan advocacy group, the 2026 COLA could come in at around 2.7%.
That may sound small, but even a modest percentage increase can make a noticeable difference. The key thing to remember is that while everyone gets the same percentage increase, the dollar amount depends on your current benefit.
For example, a retiree receiving $2,000 a month might see an increase of about $54, while someone getting $1,500 would see about $40 more each month.
How the COLA is calculated
The COLA is based on the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) — basically, a government measure of inflation.
The SSA compares the average CPI numbers from July through September (the third quarter of the year) to the same period from the previous year. If prices have gone up, benefits go up, too.
So, when everything from groceries to gas costs more, your Social Security check will likely rise to help you keep up — though not always as much as retirees might hope.
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The 10 states with the highest Social Security benefits
According to the SSA’s Annual Statistical Supplement, these are the 10 states where retirees receive the highest average Social Security payments — and therefore will get the biggest 2026 COLA dollar increases:
- New Jersey – Average benefit: $2,172
- Connecticut – Average benefit: $2,159
- Delaware – Average benefit: $2,139
- New Hampshire – Average benefit: $2,121
- Maryland – Average benefit: $2,084
- Michigan – Average benefit: $2,067
- Washington – Average benefit: $2,061
- Minnesota – Average benefit: $2,053
- Massachusetts – Average benefit: $2,021
- Indiana – Average benefit: $2,016
These states tend to have higher wages on average, meaning workers there paid more into the Social Security system over their careers — which leads to bigger monthly checks after retirement.
Why do these states come out on top
Social Security benefits aren’t based on where you live now — they’re based on how much you earned and paid in taxes during your working years. But since many of these top states also have higher average incomes, retirees from those places naturally end up with larger checks.
When you add in the 2026 COLA increase, retirees in these states could see their average payments climb to more than $2,200 per month next year.
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