2026 Social Security and Retiree COLA Set at 2.8%
Starting January 2026, many federal retirees will see a 2.8% COLA increase in their Social Security and retirement benefits, though FERS retirees will receive a smaller 2% increase due to specific adjustment formulas. The increase aims to keep benefits aligned with inflation, but some argue it doesn't fully cover rising costs like health insurance premiums. The announcement was delayed due to a government shutdown, and the actual benefit increases vary based on the type of retirement plan.