Consider it like this: If the average retired worker benefit at age 70 is $2,068 per month, and Social Security's 2025 COLA is 2.5%, then the average 70 year old will receive an additional $51.70 per month next year. No other age group has a large baseline benefit, so no other group will receive a larger COLA.

If you receive Social Security benefits, you may have your calendars marked for mid-October, as that's when the Social Security Administration typically releases the COLA (Cost-of-Living Adjustment) for the following year.

The Social Security Administration will announce the official 2025 COLA, the earnings-test limit for 2025 and the wage cap for Social Security taxes on the same day.

Millions of retired Americans collect a monthly Social Security benefit. And without a yearly cost-of-living adjustment (COLA), many seniors would no doubt fall behind financially from one year to the next.