COLA Ledger

An independent reference — not affiliated with the Social Security Administration. Every figure traced to the government publication that produced it.

The 1995 Social Security COLA — 2.8%

Cost-of-living adjustment, 1995

2.8%

This adjustment was determined in 1994, took effect with benefits payable for December 1994, and first reached checks in January 1995.

Determined in
1994December-effective
First in a check
January 1995
Comparison quarter
Q3 1994CPI-W 146.4
Base quarter
Q3 1993CPI-W 142.4

SSA’s own table lists this adjustment under 1994, the year it was determined. The public name it by the year it reaches a check, which is one later. This site uses the name people search for. Why the two labels disagree.

The CPI-W values behind the 2.8%

Every adjustment is an average of three monthly index readings against an average of three others. These are the six values, as the Bureau of Labor Statistics published them for series CWUR0000SA0 — all items, U.S. city average, not seasonally adjusted.

CPI-W monthly index values and quarterly averages behind the 1995 adjustment
QuarterMonthCPI-W index
Base — Q3 1993July 1993142.100
August 1993142.400
September 1993142.600
Base quarter average142.4
Comparison — Q3 1994July 1994145.800
August 1994146.500
September 1994146.900
Comparison quarter average146.4

The quarterly averages are rounded to the nearest tenth — the precision the determination-1994 notice specifies — and the percentage increase between them is then rounded to the nearest tenth of a percentage point. That gives 2.8%.

Reproduced from the raw index

Recomputing this adjustment from the committed CPI-W series returns 2.8%, matching SSA’s published figure. That check runs on all 51 determinations as a blocking build gate, so no page here can ship a figure the arithmetic does not support.

What 2.8% did to a benefit

Monthly benefit amounts are floored to the whole dollar after the adjustment is applied, which is why these figures are not simply the percentage multiplied out.

Effect of the 1995 adjustment on two benchmark monthly benefits
Monthly benefit beforeAfter the adjustmentMonthly increaseOver a year
$1,000$1,028+$28+$336
$2,000$2,056+$56+$672

The 1995 figures this adjustment set

Most Social Security parameters move with the adjustment or with the national average wage index. These are the committed values for 1995, each traced to the government table it came from.

Committed Social Security and Medicare parameters for 1995
Parameter1995
Maximum earnings subject to Social Security tax$61,200
SSI federal payment rate — individual$458
SSI federal payment rate — couple$687
Earnings needed for one Social Security credit$630
Retirement earnings test — under full retirement age$8,160
Retirement earnings test — year of full retirement age$11,280
Substantial gainful activity — non-blind$500
Substantial gainful activity — blind$940
Trial work period — a service month$200
First PIA bend point (eligibility at 62 this year)$426
Second PIA bend point (eligibility at 62 this year)$2,567

Where to go next

Sources and freshness

Figures effective December 1994. Page figures last verified against the sources above on 10 August 2026. BLS data retrieved 10 August 2026. BLS.gov cannot vouch for data or analyses derived from these data after retrieval. Corrections: the correction log · support@inventum.com.au