Social Security’s Trump Bump-Driven 2027 COLA Is Historic in 3 Unique Ways
For Social Security’s more than 71 million traditional beneficiaries, few announcements have more bearing than the annual cost-of-living adjustment (COLA) reveal in October.
Social Security’s COLA is effectively a near-annual “raise” given to beneficiaries to offset the impact of inflation (rising prices). Think of it this way: If benefits remained static and the price of goods and services continued to climb, Social Security recipients would steadily lose purchasing power over time. Social Security’s COLA combats this loss of buying power.
On Oct. 14, the U.S. Bureau of Labor Statistics published the September inflation report, providing the last data point needed for the Social Security Administration to calculate and announce the 2027 COLA.
Source: www.fool.com — article syndicated from the publisher’s feed; all rights remain with the original publisher.