Many Social Security recipients are holding out hope for the new year, though, and banking on a larger COLA for 2026. So far, initial estimates do seem to indicate that seniors could be looking at a more generous raise. But that's actually not such a good thing.

Her focus is reporting on Social Security, other government benefits and personal finance. She has previously extensively covered U.S. and European politics, Russia's invasion of Ukraine and the British Royal Family.

Every year, Social Security is eligible for a COLA. When inflation remains flat, Social Security benefits remain flat. When there's a decrease in inflation from one year to the next, Social Security benefits also remain flat.