The Social Security Administration (SSA) could issue a 4.2% cost-of-living adjustment for 2027 as the broad consumer price index in April rose 3.8% over the past 12 months, which is the highest jump since May 2023, and higher than the 3.3% in March. The Middle East conflict continues to drive gasoline, energy, and fresh produce prices, Social Security and Medicare Policy expert Mary Johnson recently told a media outlet.
Johnson had predicted a mere 1.2% COLA increase for 2027 before the Middle East conflict broke out in late February. On her revised 4.2% prediction, she said, 'this represents the highest rate of inflation since 2022 and a potentially significant erosion in many consumers' standard of living.'
