A flat COLA in 2027 means no real gain for seniors — and another year of eroding purchasing power

A flat COLA in 2027 means no real gain for seniors — and another year of eroding purchasing power. The Senior Citizens League estimates a 2.8 percent cost-of-living adjustment (COLA) for Social Security in 2027. The 2027 COLA estimate is unchanged from the 2026 COLA, which took effect in January 2026. A flat year-over-year COLA fails to account for cumulative inflation since pre-pandemic levels. Housing, utilities, groceries and medical care costs remain significantly higher than in 2019. The Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), which determines COLAs, does not reflect the spending patterns of most seniors. Roughly 40 percent of Social Security beneficiaries rely on the program for all or nearly all of their income. A 2.8 percent increase in benefits while real expenses rise faster results in continued erosion of purchasing power for retirees.