It’s official—veterans will receive higher COLA payments in 2026 — up to $3,938 per month depending on their disability rating

On October 24, the Social Security Administration (SSA) finally announced the new Cost of Living Adjustment (COLA) percentage that will be applied in 2026 in the United States. According to Fox News, this announcement was expected on October 15, but was delayed due to the government shutdown the country is currently experiencing. The increase will be 2.8% and will be reflected in payments to veterans, people with disabilities, and retirees who receive Social Security benefits. The first payment with this increase will be received on December 31 as an advance payment for January 2026.

This new percentage will apply to everyone but will depend on different factors such as the percentage of disability or Medicare costs. According to Shannon Benton, executive director of the Senior Citizens League, it is important to consider alternatives to supplement retirement income, such as early savings or investing in retirement accounts such as 401(K)s or IRAs. Unlike other social programs such as SNAP, the Social Security Administration has announced that COLA will not be affected by the government shutdown and will be paid regardless of the situation, according to The US Sun.

The COLA arrival

After a 9-day delay, the Social Security Administration finally announced on October 24, 2025, the percentage of the new Cost of Living Adjustment (COLA) that will be applied for the upcoming year 2026. The final figure is 2.8%, which will be applied to all Social Security beneficiaries. The first payment with this increase included will be received at the end of December 2025 for the payment corresponding to January 2026—which is brought forward to the first business day due to a holiday. Around 71 million people will see an increase in their monthly payment, potentially reaching a maximum amount of $3,938.58.

COLA and disability benefits

Although all beneficiaries will receive an increase (retirees, veterans, and disabled individuals), those who receive a disability benefit may not receive the full percentage. The payment in your case is based on an assigned disability rating that is determined by various factors, such as the number of children. Here you can see the payments corresponding to each disability percentage:

Source: The US Sun

COLA payments

The payment schedule remains the same as always, with checks being delivered on the first day of each month. However, as we have explained on multiple occasions, if the first day of the month falls on a holiday or weekend, it will be moved up to the first business day. Here is the COLA payment schedule for the upcoming year 2026:

Source: The US Sun

How to supplement retirement income

Another topic that we have also addressed previously is the uncertainty surrounding the future of the Social Security Administration (SSA). That is why organizations such as The Seniors Citizen League (TSCL) through its executive director Shannon Benton, recommend that citizens start saving well in advance, as well as consider the possibility of investing in 401(k) retirement accounts or IRAs.

1. 401(k) Plans. It is a retirement account offered through employers, where contributions are tax-deductible. It is a valuable tool for accumulating savings, as it is common for employers to match employee contributions, which is usually between 2% and 4%.
2. IRA. An Individual Retirement Account (IRA) offers another way to save for retirement. In this case, an IRA is not tied to an employer, making it more flexible in terms of investment options. Contributions are tax-deductible, and the funds grow tax-free until they are withdrawn, at which point they are taxed as income.