Warren, Schumer co-sign new bill aiming to boost benefits in 2026

A newly introduced US Senate bill could raise monthly Social Security payments by $200 from January 2026 through June/July 2026 for retirees, disabled Americans and veterans receiving benefits.

The proposal is formally titled the Social Security Emergency Inflation Relief Act and comes amid concern that the standard cost-of-living adjustment (COLA) does not go far enough.

The bill is co-signed by key Democratic lawmakers, including Elizabeth Warren, Kirsten Gillibrand and Chuck Schumer, according to sources.

If signed into legislation, the $200 “bonus” payment would apply broadly to current beneficiaries of Social Security, Supplemental Security Income (SSI) and veterans' payments.

The $200 increase would represent nearly a 10% boost. The measure also aims to provide immediate relief ahead of the 2026 standard COLA, which is expected to raise benefits by about 2.8 %, or roughly US$56 per month on average.

According to a report, co-signers contend that the current inflation measure (the Consumer Price Index for Urban Wage Earners, CPI-W) underestimates the real cost pressures on older Americans in the case of prescription drugs and health care.

The companion legislation, the Boosting Benefits and COLAs for Seniors Act, would seek to change the formula to the Consumer Price Index for the Elderly (CPI-E).

According to MarketWatch, the bill faces questions on affordability and legislative calendar timing. For the bill to pass, the measure must navigate Senate and House committees, budget reconciliation rules and possible opposition from fiscal conservatives.

Even if the $200 uplift passes, rising costs for the medical system, especially expected hikes in Medicare Part B premiums, may offset some of the benefit gains for low-income retirees, MarketWatch reports.