Gold and Social Security may help protect purchasing power in 2026.

The 2026 Social Security COLA was calculated using mid‑2025 inflation data, and the article reports that gold often rises when the dollar weakens and can act as a diversifying hedge.

For many retirees, Social Security remains a central source of monthly income and that income is paid in dollars. The article notes the 2026 cost-of-living adjustment was calculated from mid‑2025 inflation data, which can leave benefits trailing current prices. Inflation is lower than recent peaks, but modest increases in essentials such as housing, healthcare and groceries can still erode purchasing power over time. The piece discusses gold as an asset that often responds differently than dollar‑denominated holdings and that can act as a form of diversification. What is reported: - The 2026 COLA used inflation data from mid‑2025, creating a timing lag between price changes and benefit adjustments. - Inflation has dropped from recent peaks, but smaller price gains in essentials can still reduce fixed incomes' purchasing power. - The article reports that gold often rises when the dollar weakens and can move quickly with inflation or currency concerns. - The Federal Reserve cut rates in late 2025 and held rates steady at its first 2026 meeting, with debates about policy ongoing. Summary: The article frames a gap between fixed, dollar‑based Social Security income and evolving household costs, and it presents gold as a form of diversification that responds to different economic drivers than cash, bonds or dollar‑denominated savings. The broader effect on retirees will depend on future inflation trends and policy decisions. Undetermined at this time.