A recent forecast predicts a 2.63% cost-of-living adjustment (COLA) for Social Security recipients, slightly lower than previous years. While some seniors may be disappointed, a lower COLA is actually good news for retirees, improving their buying power. In the past decade, years with COLAs below 3% have generally seen an increase in Social Security's purchasing power. Additionally, a smaller COLA can result in less of their benefits being taxed by the government. The current economic goal is slow and steady inflation, benefiting seniors relying on Social Security. With recent CPI numbers suggesting a possible 2.5% to 2.7% COLA for 2025, the outlook is positive for retirees. Overall, a moderate inflation rate is ultimately beneficial for Social Security recipients, ensuring the continued stability and effectiveness of the program in supporting seniors' retirement needs.