{
  "id": 15726181,
  "title": "44% of Older Americans Rely Entirely on Social Security. Here's What the 2027 Cost-of-Living Adjustment (COLA) Means for Them.",
  "url": "https://urgent.news/2026/10/20/44-of-older-americans-rely-entirely-on-social-security-heres-what-the",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-20T09:28:00.000Z",
  "source": {
    "name": "Motley Fool",
    "slug": "motley-fool",
    "url": "https://www.fool.com/retirement/2026/10/20/older-americans-rely-entirely-on-social-security/?source=iedfolrf0000001"
  },
  "original_language": "en",
  "account": "A staggering 44% of older Americans, or approximately 24.8 million retirees, rely exclusively on Social Security for their retirement income, according to a 2026 Senior Survey by The Senior Citizens League. This figure represents a significant increase from the 39% reported the previous year, a concerning trend that reflects the inadequacy of many Americans' retirement savings.\n\nThe good news is that Social Security benefits are adjusted annually to account for inflation, a process known as Cost-of-Living Adjustments (COLAs). The 2027 COLA has been announced at a rate of 3.6%, providing some relief to retirees, though the increase may not be sufficient for everyone, especially given the COLA's traditional reliance on inflation measures that are more applicable to typical workers' spending habits than seniors'.\n\nThe average monthly retirement benefit as of September was $2,089, or $25,000 annually. With the 3.6% COLA increase, the monthly benefit would rise by approximately $75, resulting in a new average monthly benefit of $2,164, or $26,000 annually. However, it's crucial to consider that while Social Security benefits are increasing, Medicare premiums are also on the rise, which may offset some of the gains retirees anticipate.\n\nMoreover, the long-standing financial surplus in the Social Security system is dwindling, and if Congress fails to take action, the system could run out of funds. While this won't cause benefits to disappear entirely, as workers continue to pay Social Security taxes on their earnings which help fund the benefits, the overall amount may be reduced by about 22%.\n\nRetirees should not ignore these developments. It's essential to communicate with your elected representatives about your concerns regarding the future of Social Security. There are viable solutions to strengthen the system, such as taxing all of workers' earnings. For additional resources on managing and growing your retirement savings, consider The Motley Fool's premium services.",
  "summary": "When every penny counts, a 3.6% bump in Social Security benefits can help -- but it's likely not enough.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}