Retirees to Get Big Social Security COLA Boost for 2022
The increase in the Social Security cost-of-living adjustment for 2022 was driven by higher prices for fuel, appliances and cars.
- (opens in new tab)
- (opens in new tab)
- (opens in new tab)
- Newsletter sign up Newsletter

Seniors will get a significant bump in their Social Security benefits in 2022.
The Social Security Administration announced on Wednesday that the cost-of-living adjustment will be 5.9% for next year. The increase was driven by large jumps in all sorts of energy prices: gasoline, natural gas and electricity. Prices of both new and used cars and trucks surged as demand soared and computer chip shortages crimped supply. Ditto for appliances, TV’s and other furniture. Restaurants and barbers raised prices as wage rates picked up in the face of shortages of workers. And finally, airfares and hotel rates began to rebound from the lows caused by the pandemic.
This is the largest COLA increase since 1982, when benefits surged 7.4%. It is also in line with the 6% increase that The Kiplinger Letter forecast in September.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Social Security COLAs are calculated using the Consumer Price Index for Urban Wage Earners and Clerical Workers. If prices don’t increase or fall, the COLA is zero. That happened in 2010 and 2011, as the economy struggled to recover from the Great Recession, and again in 2016, when plummeting oil prices wiped out the COLA for that year. In 2021, the COLA increased payouts by 1.3%.
-
-
Stock Market Today: Tech, Bank Stocks Lead Markets Higher
Retailers were big gainers, too, thanks to strong earnings from Lululemon Athletica.
By Karee Venema • Published
-
IRS: Don't Trust All Social Media Tax Tips
The IRS warns that not all social media tax advice should be trusted.
By Kelley R. Taylor • Published
-
As the Market Falls, New Retirees Need a Plan
retirement If you’re in the early stages of your retirement, you’re likely in a rough spot watching your portfolio shrink. We have some strategies to make the best of things.
By David Rodeck • Published
-
Retirees: Your Next Companion May Be a Robot
happy retirement Robots may help fill the gap left by a shortage of humans to help older adults live independently.
By Alina Tugend • Published
-
Using Your 401(k) to Delay Getting Social Security and Increase Payments
retirement Your 401(k) can be a bridge from retirement to higher monthly income.
By Elaine Silvestrini • Published
-
How Do I Stop Robocalls From Scamming Me?
retirement The scammers have automated their efforts to separate you from your money. We have ways to make it stop.
By Elaine Silvestrini • Published
-
A Kiplinger-ATHENE Poll: Retirees Are Worried About Money
Making Your Money Last Concerns about recession, inflation and health care costs weigh on retirees and near retirees.
By the editors of Kiplinger's Personal Finance • Published
-
Grandparent Scams Get Victims in Their Hearts
Scams If you get a call from someone who claims to be your grandchild in trouble and needing money right away, be wary. Don’t send any money or give any information until you verify the story.
By Elaine Silvestrini • Published
-
Tech Support Fraud Targets Seniors
retirement Get a message offering help with a computer problem you didn’t think you had? It’s probably a scammer looking for your money and personal information
By Elaine Silvestrini • Published
-
What to Do With Money in a Former Employer’s 401(k)
Basics Leave it behind, move it to your new job’s plan, or roll it over to an IRA. Each of the options has pros and cons.
By Emma Patch • Published