Social Security's Trump Bump-Led 2027 COLA Is on Pace to Do Something That Hasn't Been Witnessed Since the 1990s
A history-making moment appears to be on the way in 2027, courtesy of President Trump.
Social Security beneficiaries can look forward to a potentially groundbreaking 2027 cost-of-living adjustment (COLA). On October 14, the U.S. Bureau of Labor Statistics will release the September inflation report, providing the final piece to determine the COLA. The COLA is a near-annual raise given to beneficiaries to offset inflation. If the price of goods and services increases by 3% from one year to the next, Social Security payouts must rise by the same amount to maintain buying power.
Last year's COLA featured a "Trump bump," marking the second consecutive year beneficiaries saw their payments increase due to the president's influence. This year's COLA is expected to be even more significant, being the first increase since the 1990s. However, while larger checks are welcomed, they also pose potential challenges for the leading retirement program.
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