On October 14, 2026, the Social Security Administration announced a 3.6 percent benefit increase for 2027. This cost-of-living adjustment (COLA) is the largest annual adjustment since 2023. Last year’s adjustment was only 2.8 percent and 2025 saw an adjustment of 2.5 percent.
Beginning in January of 2027, approximately 72 million Social Security beneficiaries will see an increase in benefits. For the approximately 7.3 million SSI beneficiaries, the cost-of-living adjustment will begin on December 31, 2026. Because January 1, 2027 falls on a federal holiday, SSI recipients will receive their January payment on December 31, 2026. SSI recipients will receive two deposits in December and none in January.
The average Social Security retirement benefit will increase by $75. The average Social Security disability benefit will increase by $59 per month. For SSI recipients, the federal maximum will increase from $994 to $1,029 a month for individuals and from $1,491 to $1,544 for couples.
The threshold for substantial gainful activity (SGA) will also increase in 2027. In order to be eligible for disability benefits, a person must be unable to engage in substantial gainful activity. A person who is earning more than a certain monthly amount is ordinarily considered to be engaging in SGA. The threshold for SGA will increase from $1,690 a month for the non-blind and $2,830 for the blind to $1,770 for the non-blind and $2,950 for the blind.
To learn more about Social Security disability and SSI benefits, contact an experienced Social Security disability attorney at Gardberg & Kemmerly, P.C. today at 251-343-1111 for a free case evaluation. Gardberg & Kemmerly, P.C. represents Social Security disability claimants in Alabama, Mississippi, Florida, and Louisiana at all levels of the disability process from initial application to appeals to Federal Court.