Senior Group Projects 3.8% Social Security COLA for 2027 as Reform Bill Returns to Congress

Overview

• The Senior Citizens League projects a 3.8% cost-of-living adjustment for 2027 that would raise the average monthly Social Security benefit by about $70 to roughly $2,011–$2,012 if the figure holds.
• That projection, reported Monday, is unchanged from the prior month but could rise if inflation keeps climbing after May’s 4.2% reading pushed costs higher than earlier months.
• Lawmakers have reintroduced the Social Security 2100 Act, which would boost base benefits, create a higher minimum tied to 125% of the poverty line, adopt a senior-focused inflation index for COLAs and raise taxes on high earners to extend solvency.
• Passage of the 2100 Act is widely viewed as unlikely in the current Congress, and separate short-term measures such as a one-time payment or a temporary $200 monthly boost are being promoted to address immediate hardship.
• The 2026 Trustees report projects trust fund depletion in the fourth quarter of 2032, which would force automatic benefit cuts unless Congress enacts revenue or benefit changes and could translate into large benefit reductions for retirees.