Checks will go up an average $75 per month.

The Social Security Administration office is seen in Mount Prospect, Ill., in 2022. Some recipients say the agency’s cost-of-living adjustment in 2027 will not be enough to handle rising prices. Nam Y. Huh — The Associated Press.

BY FATIMA HUSSEIN | THE ASSOCIATED PRESS

The Social Security Administration projected Wednesday that the annual cost-of-living adjustment for older adults and people with disabilities will go up by 3.6% beginning in 2027, with some recipients complaining that is not enough to offset soaring prices.

The adjustment translates to $75 extra per month for the nearly 72 million people who receive monthly Social Security benefits and about 7.3 million beneficiaries who get Supplemental Security Income.

The announcement comes as inflation adds pressure on household budgets and businesses and as midterm elections are weeks away.

The cost-of-living adjustment, or COLA, for retirees and disabled beneficiaries is financed by payroll taxes collected from workers and their employers, up to a certain annual salary. That is set to increase to $192,300 in 2027, from $184,500 in 2026.

The agency’s commissioner, Frank Bisignano, said in a statement that the adjustment will give recipients “greater financial stability.”

Some older adults feel the increase is a drop in the bucket as inflation has eaten away at monthly savings. The government reported Wednesday that inflation accelerated in September, with the consumer price index rising 3.7% in September compared with a year ago and gas prices have spiked in the wake of renewed fighting between the United States and Iran.

Nancy Altman, president of the Social Security Works advocacy group, said the latest inflation data shows that “as important as the Social Security COLA is, it is not keeping up with prices.”

Senior advocacy groups say the COLA is a strong reminder of the financial straits of many older people.

“There’s a lot on the line financially right now for older Americans — one in five have no retirement savings, and more people feel financially insecure this year than last. That makes Social Security’s cost-of-living adjustment critically important,” said AARP CEO Dr. Myechia Minter-Jordan.

The Social Security Administration faces a looming bankruptcy date if a funding shortfall is not addressed by Congress.

The June 2026 Social Security and Medicare trustees’ report states that Social Security’s combined trust funds — which cover old age and disability recipients — will be unable to pay full benefits beginning in 2034. After that, incoming revenue would cover about 83% of scheduled benefits. While a permanent solution for shoring up the benefits program has not been passed into law, lawmakers on the Hill have called for new measures to replenish the trust funds.