The Social Security Administration has announced a 2.8% COLA increase for 2026. While slightly higher than expected, the adjustment is based on the CPI-W index, which reflects worker spending rather than retiree realities. Advocacy groups warn this method undercounts inflation faced by seniors, shrinking their purchasing power. Proposals to switch to the CPI-E index, tailored to older adults’ expenses, remain stalled, leaving long-term retirement security at risk.
The unseen tax: How flawed inflation calculations quietly erode Social Security benefits
