Bernie Sanders Pushes $2,400 Annual Increase in Social Security Benefits

Bernie Sanders Social Security: A new plan to raise Social Security payments by at least $2,400 every year is getting attention after the November 3, 2026, elections. Sen. Bernie Sanders (I-Vt.) wants Congress to pass the Social Security Expansion Act. He first introduced this bill in February 2025 along with Sen. Elizabeth Warren (D-Mass.) and other lawmakers.

The plan would increase benefits for retirees and disabled people. It would also change the yearly Cost-of-Living Adjustment (COLA) and collect more money from wealthy Americans through higher taxes.

The proposal comes as Social Security faces a funding problem. The 2026 Trustees Report says the retirement trust fund could run out of its reserves in 2032. After that, available income would cover only 78% of scheduled retirement and survivor benefits.

Social Security Walk-Ins in 2026: Can You Visit an SSA Office Without an Appointment?

Bernie Sanders Wants $2,400 More in Social Security Benefits

In a post on X, Sanders explained his plans for the program.

“As the next chair of the Social Security Subcommittee, a top priority will be to expand Social Security benefits by at least $2,400 a year & extend Social Security’s solvency for generations. How? By scrapping the cap & demanding that the wealthy pay their fair share of taxes.”

Sanders is expected to become the head of the Senate subcommittee on Social Security in January 2027. Democrats have also won control of both the House and Senate in the 2026 elections.

The Social Security Administration says retired workers got an average of around $2,092 every month in October 2026. If Sanders’ plan adds another $200 per month, the average payment could go up to about $2,292.

But the $2,400 increase is an estimate under the proposal. It doesn’t mean every beneficiary is guaranteed to receive exactly $200 extra each month.

The bill would also change the benefit calculation formula. The first part of the formula would increase from 90% to 95% and the first income limit used in the calculation would rise by 18%. The SSA would also recalculate payments for existing beneficiaries. Some children of disabled or deceased workers could also qualify for extended benefits.

New COLA Calculation and Higher Taxes

Social Security payments go up every year based on inflation. Right now, the SSA uses the CPI-W to decide how much the payments should increase.

But Sanders wants to use a different method called CPI-E. It looks more closely at the money older people spend on things like healthcare and housing. Since these costs take up a large part of their money, this change could lead to bigger yearly increases in Social Security payments.

Social Security 2027 Maximum Taxable Earnings: How Much Will Your Income Be Taxed?

The bill would also collect more taxes from high earners and investors.

Another major change involves investment income. The bill proposes increasing the Net Investment Income Tax (NIIT) from 3.8% to 16.2%.

This tax applies to certain investment earnings such as interest, dividends, rental income and capital gains. Currently, it generally affects people with modified adjusted gross income above $200,000 for single filers and $250,000 for married couples filing jointly. The proposal would also include certain business income that isn’t currently covered.

Can the Social Security Expansion Act Become Law?

The proposal could receive more attention when the new Congress begins in January 2027. But Democratic control of Congress doesn’t mean the bill will automatically pass.

President Donald Trump will remain in office until 2028 and could veto the legislation. Most major bills also need 60 votes in the Senate to overcome a filibuster.

Other Social Security reform ideas include removing the payroll tax cap, changing the COLA formula and increasing the retirement age.