Why to delay claiming Social Security — even when COLAs are high

Nearly 75 million Americans could see a second consecutive "Trump Bump" in Social Security benefits by 2027, according to projections. This boost would come from the annual cost-of-living adjustment (COLA) built into the program to protect beneficiaries' purchasing power. Jeff Bezos supports an investment platform that lets anyone invest in rental homes with as little as $100, while JPMorgan sees gold reaching $5,000 per ounce by the fourth quarter.

The tax benefits of a Trump-era bill expire after 2028. The increase is tied to inflation, with tariffs and Iran conflict impacts fueling higher prices and energy costs in 2027. Social Security and Supplemental Security Income (SSI) benefits increased by 2.8% in 2026, adding about $56 a month on average for 75 million Americans.

Estimates now suggest a 3.6% COLA for 2027, while AARP expects a 3.5% raise. This would translate to roughly $73 more per month, or $876 annually. The projected COLA would mark the sixth consecutive year of benefits increasing by at least 2.5%, a streak not seen in decades. However, a larger check doesn't guarantee greater purchasing power, as retirees rely heavily on Social Security.

While the "Trump Bump" could provide a larger check, it may not translate to greater buying power. The guidance suggests retirees explore other income sources, such as real estate, to supplement their Social Security benefits.