Millions of Americans who rely on Social Security will receive a 3.6% cost-of-living increase in 2027. While the increase is welcome news for retirees and people with disabilities, rising everyday expenses may quickly offset the additional income.
The adjustment, commonly referred to as COLA, is designed to help Social Security benefits keep pace with inflation. For the average retiree, the increase is expected to mean approximately $75 more per month, or about $900 annually.
For Americans already struggling with the costs of groceries, housing, utilities, and healthcare, that additional income may provide only modest relief.
The 3.6% adjustment takes effect in January 2027 and applies to Social Security retirement and disability benefits. Individuals receiving Supplemental Security Income (SSI) will also see an increase.
The amount each person receives will depend on their current benefits. Someone receiving $1,500 per month, for example, will see an increase of $54, bringing their monthly benefit to $1,554 before any deductions.
Although the increase is intended to offset inflation, it may not fully account for the expenses many older and disabled Americans face. Rising Medicare premiums, prescription drug costs, and other medical expenses can take a significant bite out of monthly benefits.
The increase also applies to individuals receiving Social Security Disability Insurance (SSDI), which provides financial assistance to people who can no longer work because of a qualifying disability.
For someone living with a serious injury or long-term disability, Social Security benefits may be an essential source of income. Unfortunately, those benefits do not always cover the full financial impact of being unable to work, particularly when medical bills and other expenses continue to grow.
Social Security disability benefits are not necessarily the only financial assistance available to someone who has suffered a serious injury.
In Pennsylvania, employees injured on the job may be entitled to Workers’ Compensation benefits, including payment of medical expenses and a portion of lost wages. Depending on how the injury occurred, they may also have a separate personal injury claim against a negligent third party, such as an equipment manufacturer, subcontractor, or another responsible party.
People injured in car accidents, falls, or other incidents caused by negligence may also have the right to pursue compensation.
Because Workers’ Compensation and Social Security disability benefits can affect one another, understanding how these programs work together is important.
For nearly 80 years, Galfand Berger has represented injured workers and individuals throughout Pennsylvania, helping them secure the compensation they deserve.
The Social Security increase may offer some financial relief in 2027, but for individuals facing the lasting consequences of a serious injury, understanding their legal rights can make a meaningful difference.
If you or someone you love has been seriously injured at work or because of another person’s negligence, contact Galfand Berger for a free consultation. Contact us online or call us at 800-222-USWA (8792). We are located in Philadelphia and Reading, Pennsylvania, and we serve clients in New Jersey and Pennsylvania.
At Galfand Berger, our personal injury attorneys have been pursuing justice for injured victims throughout Pennsylvania and New Jersey for nearly 80 years.
