The short answer
Social Security and SSI payments rise 3.6 percent for 2027, under the cost-of-living adjustment announced on October 14, 2026. Social Security benefits rise with the payments made in January, and the average retired worker's benefit goes from about $2,095 to $2,170 a month. SSI's federal maximum rises to $1,029 for an individual and $1,544 for a couple, starting with the payment dated December 31, 2026. The earnings test limit rises to $25,560, the taxable maximum to $192,300 and the disability earnings limit to $1,770 a month. In Medicare drug coverage, the yearly out-of-pocket cap rises from $2,100 to $2,400. The 2027 Medicare Part B premium had not been announced when this was written. SNAP's new figures took effect earlier, on October 1, 2026, when the maximum for a family of four rose to $1,023 a month.
The raise itself
The cost-of-living adjustment, or COLA, is set by a formula: it follows the rise in the Consumer Price Index for Urban Wage Earners and Clerical Workers from the third quarter of one year to the third quarter of the next. From 2025 to 2026, that rise came to 3.6 percent, up from the 2.8 percent COLA that took effect in January 2026.
The increase reaches about 76 million people who receive Social Security, SSI or both. You do not have to apply for it. Social Security posts each person's new amount in the Message Center of their my Social Security account, and mails notices to people who have not chosen to receive them online. Our guide to how the COLA works explains the formula and what it does and does not change.
The new figures at a glance
Swipe sideways to see the whole table.
| Figure | 2026 | 2027 |
|---|---|---|
| Cost-of-living adjustment | 2.8% | 3.6% |
| Average retired-worker benefit | $2,095 before the raise | $2,170 after the raise |
| SSI federal maximum, individual | $994 a month | $1,029 a month |
| SSI federal maximum, couple | $1,491 a month | $1,544 a month |
| Earnings test limit, under full retirement age | $24,480 a year | $25,560 a year |
| Earnings limit, year you reach full retirement age | $65,160 a year | $67,920 a year |
| Substantial gainful activity, not blind | $1,690 a month | $1,770 a month |
| Substantial gainful activity, blind | $2,830 a month | $2,950 a month |
| Earnings for one work credit | $1,890 | $1,970 |
| Maximum earnings taxed for Social Security | $184,500 | $192,300 |
| Medicare drug out-of-pocket cap | $2,100 | $2,400 |
SSI: the first payment to change
SSI pays on the first of the month, and because January 1 is a holiday, the January payment arrives on December 31, 2026. That is the first payment at the new rate: $1,029 a month for an eligible individual and $1,544 for an eligible couple, before any state supplement or reduction for other income.
A higher federal amount does more than raise payments. Because SSI is reduced by countable income, a higher maximum also leaves room for people with slightly more income to qualify. Our guide to SSI income and resource limits explains how countable income is figured, and the SSI calculator estimates a payment at the new rate.
If you receive both Social Security and SSI, the two raises partly cancel out. SSI counts Social Security as income after a $20 exclusion, so the Social Security increase lowers SSI by about the same amount. With no other income and no state supplement, your combined monthly total is the SSI maximum plus $20, so it rises by the $35 increase in that maximum.
Social Security: when the raise lands
For Social Security, the raise starts with the benefits paid in January 2027, on the usual schedule set by your birth date or the date you first received benefits. The average retired worker's benefit rises by about $75 a month, from $2,095 to $2,170.
Two things decide whether your deposit rises by the full 3.6 percent. If your Medicare Part B premium is deducted from your benefit, a higher premium takes part of the raise. And if you have federal tax withheld as a percentage, the withholding rises with the benefit. Our guide to the Social Security payment schedule shows when each deposit arrives, and the retirement calculator estimates a benefit before those deductions.
What the raise is worth
Example (hypothetical): two checks, before and after
Dolores receives a Social Security retirement benefit of $1,800 a month. A 3.6 percent raise adds about $65, for a gross benefit of roughly $1,865 from January. If her Part B premium rises, part of that $65 goes to Medicare instead.
Her neighbor Sam receives SSI and has no other income. His payment rises from $994 to $1,029, an increase of $35, starting with the payment dated December 31, 2026.
A percentage raise is worth more in dollars to larger checks: the same 3.6 percent adds about $36 to a $1,000 benefit and about $108 to a $3,000 one. It applies to every kind of Social Security benefit, retirement, disability, survivor and family benefits alike, as well as to SSI.
If you work while receiving benefits
The earnings test rises with average wages. If you are under full retirement age for all of 2027, Social Security withholds $1 for every $2 you earn above $25,560. In the year you reach full retirement age, it withholds $1 for every $3 above $67,920, counting only earnings before the month you reach that age. Our guide to the earnings test explains how withheld months are credited back later.
For disability benefits, the substantial gainful activity limit rises to $1,770 a month for people who are not blind and $2,950 for people who are blind. Earnings above those amounts generally show the ability to work under Social Security's rules; our guide to working while on SSDI covers the trial work period and the other protections that apply first.
Workers who are not receiving benefits see one change too. Social Security tax now applies to earnings up to $192,300, up from $184,500. An employee earning above the new limit pays 6.2 percent on the extra $7,800, or $483.60 more for the year; a self-employed person pays 12.4 percent, or $967.20.
Medicare: a higher drug cap, and a premium still to come
In Medicare's drug coverage, the yearly cap on what you pay out of pocket for covered Part D drugs rises from $2,100 in 2026 to $2,400 in 2027. Once your spending reaches the cap, you pay nothing more for covered drugs for the rest of the year. CMS projects that the average monthly premium for a stand-alone drug plan will rise by less than a dollar, to about $36.
The Part B premium for 2027 had not been announced when this was written. Because it is deducted from Social Security benefits for most people, check your COLA notice for the exact amount that will come out. Plans themselves change every January, which is why the Medicare open enrollment period that runs until December 7 matters as much as the raise.
SNAP changed first, on October 1
SNAP runs on the federal fiscal year, so its 2027 figures took effect on October 1, 2026. In the 48 contiguous states and D.C., the maximum monthly benefit is $306 for one person and $1,023 for a family of four, and the minimum benefit is $25. Households already receiving SNAP do not have to reapply for the new amounts; the state applies them to every case.
Swipe sideways to see the whole table.
| Figure | 1 person | 4 people |
|---|---|---|
| Maximum monthly benefit | $306 | $1,023 |
| Net income limit, a month | $1,330 | $2,750 |
| Standard deduction | $217 | $229 |
The gross income limit for one person is $1,729 a month, the cap on the shelter deduction is $769, and the resource limit is $3,000, or $4,750 for a household with a member who is 60 or older or disabled. Our SNAP guide explains how the tests work, and the SNAP calculator estimates a benefit.
Other dates on the January calendar
- Marketplace tax credits for 2027 go only to citizens and three groups of noncitizens, starting January 1, 2027, and Medicare ends for some enrolled noncitizens on January 4, 2027. Our guide to noncitizen eligibility covers both.
- Medicaid work requirements for many adults in the expansion group generally begin by January 2027, as our guide to SNAP and Medicaid work requirements explains.
- Tax returns filed in 2027 use the 2026 tax brackets and standard deduction, which our guide to federal income tax brackets lays out.
- Student loan borrowers who sign up for automatic payments by December 31, 2026, get a 1 percent interest rate reduction through June 30, 2028; our guide to student loan repayment plans explains the options.
Before the new year
- Read your COLA notice when it arrives online or by mail, and check the new gross benefit, the Medicare premium and any withholding.
- Review your Medicare plan by December 7, since premiums, drug lists and networks change in January.
- Update your budget with the net amount, not the 3.6 percent headline.
- If you work and claim early, compare your expected 2027 earnings with the new limits.
Common questions
When will I see the 3.6 percent raise?
Social Security benefits rise with the payments made in January 2027. SSI rises with the payment dated December 31, 2026, which is the January payment arriving early because January 1 is a holiday.
Will my deposit rise by the full 3.6 percent?
Your gross benefit rises by 3.6 percent, but the amount deposited can rise by less if your Medicare Part B premium or your tax withholding goes up. Your COLA notice shows the net figure.
Is the 2027 Medicare Part B premium known yet?
Not when this was written. Medicare announces it separately, and your COLA notice shows the premium that will be deducted from your benefit, so check the notice for the exact net amount.
Does a bigger Social Security check affect SNAP?
It can. Social Security and SSI count as income for SNAP, so a higher payment can lower a SNAP benefit slightly when the state next updates your case. SNAP's own amounts were raised on October 1, 2026.
Official sources
- SSA — 2027 cost-of-living adjustment fact sheet
- SSA — Social Security announces 3.6 percent benefit increase for 2027
- SSA — SSI federal payment amounts for 2027
- Medicare.gov — How much does Medicare drug coverage cost?
- USDA Food and Nutrition Service — SNAP fiscal year 2027 cost-of-living adjustments (PDF)
Watch for one more number in November
Most of next year's figures are now known. The one still missing is the Medicare Part B premium, which decides how much of the raise reaches your bank account. When it is announced, compare it with your COLA notice, and if your deposit looks wrong in January, contact Social Security with the notice in hand. For a fuller view of this year's figures, see our roundup of 2026 changes.
