Retired pay and VA benefits go up 3.6% in January, the biggest bump in four years
The Social Security Administration set the 2027 cost-of-living adjustment at 3.6%, and a 2024 law ties veterans benefit increases to that same rate. It is 0.8 percentage points above the 2.8% adjustment for 2026. Army Times puts it in dollars two ways: a retiree drawing $2,500 a month in retired pay gains roughly $90, and a veteran receiving $1,500 a month gains about $54. The increase reaches VA disability compensation, dependency and indemnity compensation and clothing allowances, and it takes effect in January. Anyone with a my Social Security account can see their notice online in late November, weeks before the paper one arrives.