Trump-Driven 2027 COLA Could Be Historic, but Risky for Social Security

Social Security may award a notably large 2027 cost‑of‑living adjustment (COLA), potentially the fourth‑largest since 1991, with estimates ranging from about 3.8% to 4.7% and an average boost around $98 per retiree per month. While beneficial in the short term, a bigger COLA would accelerate depletion of the Old‑Age and Survivors Insurance (OASI) trust fund, increasing the chance of future across‑the‑board benefit cuts (up to about 22%) if reserves are exhausted. The 75‑year Trustees Report cites a $29.3 trillion unfunded obligation, underscoring that higher current benefits come at the risk of unsustainability without reforms.