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1Scan for outdated or missing drivers - takes under a minute2Repair Windows errors before they cause bigger problems3Fix the driver behind crashes, sound loss and screen glitchesThe 2026 Social Security cost-of-living adjustment is final: the Social Security Administration (SSA) set it at 2.8%, and it applied to benefits payable in January 2026. The next adjustment—2027’s COLA—was still pending as of October 3, 2026. A high-yield savings account (HYSA) may be one place to hold savings, but it does not guarantee that benefits keep pace with inflation.
What is the 2026 Social Security COLA?
SSA announced a 2.8% COLA on October 24, 2025. The increase applied to Social Security benefits payable in January 2026. SSA said nearly 71 million Social Security beneficiaries received the adjustment. Nearly 7.5 million people receiving Supplemental Security Income (SSI) began receiving increased payments on December 31, 2025; some people receive both SSI and Social Security. SSA’s 2025 announcement gives the final adjustment and payment timing.
Is the 2026 COLA final?
Yes. The 2.8% figure is the final 2026 COLA, not a projection. References to an upcoming adjustment now mean the 2027 COLA, which was not yet announced as of October 3, 2026.
How is the Social Security COLA calculated?
SSA calculates the adjustment using the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). In SSA’s words, “A COLA effective for December of the current year is equal to the percentage increase (if any) in the CPI-W from the average for the third quarter of the current year to the average for the third quarter of the last year in which a COLA became effective.” SSA’s COLA page describes the formula.
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For a given adjustment, SSA compares the CPI-W average for July, August and September of the current year with the third-quarter average from the last year a COLA became effective. The 2026 adjustment used third-quarter 2025 data. A broad 12-month inflation statistic, or a single month’s change, is not the COLA calculation: SSA needs the relevant third-quarter averages to determine the official percentage.
What did inflation data indicate about the 2027 COLA?
As of October 3, 2026, the 2027 COLA remained unresolved. The Bureau of Labor Statistics (BLS) reported that CPI-W was up 3.5% over the 12 months through August 2026. That is a year-over-year inflation measure, not the official COLA or a final prediction of its size.
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The September 2026 CPI release was scheduled for October 14, 2026, at 8:30 a.m. Eastern Time. It would provide the last monthly CPI observation needed for the third-quarter comparison. SSA said the next COLA would be announced in October; check its COLA page for the official determination rather than treating an earlier estimate as final. BLS publishes the CPI data and release schedule on its CPI news release page.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Can a HYSA protect Social Security benefits?
Not in the sense of guaranteeing that benefits retain their purchasing power. A HYSA is a savings account, and the information available here does not establish a current rate or account terms for any provider. A rate can change, and an account’s return should not be assumed to match inflation. Keeping some short-term savings in an account may help with access to cash, but it is not a substitute for the COLA formula or a promise against rising costs.
If you are considering a HYSA for savings, verify the provider’s current terms directly before opening an account. Compare:
- Rate and rate changes: Check the current APY and whether it can change.
- Access: Review withdrawal, transfer and processing conditions so the money is available when you need it.
- Costs and minimums: Look for fees, minimum opening deposits and balance requirements.
- Deposit insurance: Confirm whether the institution and account are covered, and understand the applicable limits with the relevant regulator.
No particular account, APY, insurance status or provider terms are established here, so there is no substantiated account recommendation or rate ranking.
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