Every year, the Social Security Administration calculates a cost-of-living adjustment (COLA) for the upcoming year using key economic indicators, aiming to help benefit recipients maintain their purchasing power as the value of a dollar changes. As prices rise for essentials such as food, housing, transportation, and healthcare, the COLA is designed to keep benefit amounts in line to keep pace, rather than fall behind. Among the many federal benefits impacted by the adjustments are Social Security retirement benefits as well as Supplemental Security Income, or SSI. For 2026, the COLA will be 2.8%.
Those receiving benefits can expect to see this increase in effect on their payments starting in January 2026. It is essential to note that while the maximum SSI benefit for an individual is increasing from $967 to $994, the $2,000 asset limit for those receiving SSI remains unchanged by the cost-of-living adjustment.
For individuals with ABLE accounts, the maximum annual funding limit will be $20,000 in 2026, up from $19,000 in 2025.
The start of a new year is a good time to revisit your budget, review benefits, and plan for the year ahead. If you have any questions about how the 2026 adjustments may affect you or a family member, we encourage you to reach out to your advisor at Oak Wealth Advisors. We’re here to help and look forward to hearing from you.
Cost-of-living Adjustment (COLA) Information – Social Security Administration
2026 Cost-of-Living Adjustment (COLA) Fact Sheet – Social Security Administration
– The Oak Wealth Advisors Team, November 2025
