Natix Investment Manager Lead Portfolio Strategist Jack Jeancarcz discussed the latest job data, The Impact on the Market, his approach to AI and the clammon countdown.
According to a new report, social security beneficiaries are likely to receive a large cost of living adjustment (Cola) next year after the latest inflation data show price pressures.
Social security cola Calculations are calculated using a version of CPI data that measures an average annual inflation for the months of July, August and September-which means the final cola for 2026 will be unveiled after the release of September CPI print in October.
Bureau of Labor Statistics released on Thursday consumer price Index (CPI) for August, in July, increasing from 2.8% in July, the inflation was increased to 2.9% last month on a year-on-year basis. The headline CPI for the month of August rose 0.4%.
With the latest figures at hand, the Senior Citizen League (TSCL) estimated that the social security cola would be 2.7% when declared next month – which would increase the average monthly gain for retired workers from $ 54 to $ 2,008 to $ 2,062.
A major change is coming for social security recipients in late September
Social security cola is based on inflation data from July, August and September. (Kevin Dietsch / Getty Image / Getty Images)
TSCL stated that its latest estimate is more than what was estimated at the beginning of this year, when it was estimated that 2.1% would be Cola, as “inflation is much higher” than its model.
It was also noted that as an annual, 2.7% cola would be almost average from a historical point of view. Profit adjustment The average is 2.6% in the last 20 years. The highest cola was 8.7% in 2023, while the lowest in 2010 and 2011 when Cola was 0.0%.
Inflation has increased in August because Fed Fed Fed Rate Cuts
The official cola of Social Security for 2026 will be announced next month after the release of September CPI data. (Jeffrey Greenburg/Education Images/Universal Image Group Getty Image/Getty Image)
TSCL Executive Director Shannon Benton stated that the group’s research shows that “many seniors believe that inflation is much higher than the cola estimates,” and that last year about 80% of the seniors thought that the implemented 2.5% was much higher than the corlas implemented earlier this year.
For a responsible Federal Budget (CRFB), the Nonpartison Committee developed its forecast for 2026 colas of social security, which estimates the annual Inflation adjustment 2.8%will be slightly higher.
Get Fox Business when you click here
AARP senior vice-president Bill Sweeni said, “For many people, social security is the only inflation-protected income they have retirement.” “Cola allows us to keep the US seniors because everyday costs continue to increase – from grocery accessories to prescription drugs.”
