Social Security's 2027 COLA Is on Track to Be Historic Due to Trumpflation -- but There's a Steep Price to Pay for a Larger Benefit
The cost of President Donald Trump's policies threatens to speed up the timeline to sweeping Social Security benefit cuts.
Social Security's 2027 COLA Is on Track to Be Historic Due to Trumpflation -- but There's a Steep Price to Pay for a Larger Benefit
Overview
In April, more than 54 million retired workers brought home an average monthly Social Security benefit of approximately $2,081. Though this is a relatively modest sum, Social Security income plays a vital role in helping up to 90% of retirees cover their expenses.
For Social Security beneficiaries, few announcements (if any) hold more weight than the annual cost-of-living adjustment (COLA) reveal in October. Social Security's COLA is effectively a raise passed on to recipients that's designed to offset inflation (rising prices) and keep beneficiaries from losing buying power.
Details
Based on independent estimates, Social Security's 2027 COLA is on track to be historic -- one of the largest raises over the last 36 years. But this projected cost-of-living adjustment, which is being fueled by Trumpflation, comes at a potentially steep cost to America's leading retirement program.
Source
Originally published at www.fool.com.
