Social Security’s 2.8% 2026 COLA Widens Retirement Gaps for Federal Workers
Updated
Updated · FEDweek · Jun 12
Social Security’s 2.8% 2026 COLA Widens Retirement Gaps for Federal Workers
3 articles · Updated · FEDweek · Jun 12
Summary
A 2.8% Social Security cost-of-living adjustment for 2026 increases benefits proportionally, meaning federal retirees with larger starting checks gain bigger dollar raises year after year.
An example in the report shows a retiree starting at $2,400 a month gets a larger COLA boost than one starting at $1,800, widening the monthly gap from $600 initially to more than $813 after 10 years.
Using a 3.1% average COLA over 30 years, the projection grows those benefits to about $5,998 versus $4,498 a month, expanding the difference to roughly $1,500.
For FERS employees, that compounding matters because Social Security is one of three retirement income streams, alongside a pension and Thrift Savings Plan, giving some workers more flexibility to delay claiming and lock in a higher base.