Retirement Social Security

You Have Less Than 6 Weeks to Prepare for 7 Big Social Security Changes

Key 2026 SSA changes every retiree should prepare for.

By Katy Willis

Edited by Laura Hohenstein

Updated Nov. 28, 2025

Everyone focuses on the 2.8% cost-of-living adjustment (COLA) when they talk about the changes to Social Security in 2026. While that does have an impact on your finances, there are other big changes coming that might impact your benefit. And you've only got six weeks left to prepare.

In January, other significant changes that come into force along with your COLA raise include raising the taxable wage base, new earnings test limits, disability thresholds, how much it takes to earn a work credit, and more. Preparing now means you can adjust your retirement plan and not get taken by surprise.

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Taxable wage base increases

If you're still working or self-employed, this change matters to you. The tax rate stays the same, which is 6.2% with an employer match for employees, and 12.4% if you're self-employed.

But the taxable wage base itself is rising from $176,100 to $184,500. This is the amount paid into the old age, survivors, and disability insurance (OASDI) fund. So, if you earn at or above that figure, you'll now pay $11,439 in OASDI tax or $22,878 if you're self-employed.

It's a good idea to adjust withholdings or quarterly estimates in your 2026 budget review if you or your spouse still works. Nobody wants to be hit with a surprise tax bill in April.

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Earnings test limits jump again

If you're under full retirement age (FRA) and working while collecting Social Security, you'll face updated earnings limits in 2026. If you're under FRA all year, the exempt amount rises to $24,480, up from $23,400 in 2025. And, if 2026 is the year you reach FRA, the limit jumps from $62,160 to $65,160.

The withholding hasn't changed when you exceed those amounts. The Social Security Administration (SSA) will still withhold $1 for every $2 that you earn until the year in which you reach FRA. Then it will withhold $1 for every $3 that you earn until the start of the month you reach full retirement age.

Medicare premiums could offset your COLA boost

Although your gross benefit will rise thanks to the 2.8% COLA, your net deposit, which is the actual amount that will land in your bank account, could shrink if Medicare premiums climb. Standard Part B and Part D premiums typically get taken straight out of your check.

Plus, if you crossed the earnings threshold for the income-related adjusted amount (IRMAA) in 2024, you'll also have that premium taken from your gross benefit amount.

To avoid a nasty surprise, check what your specific premium is set to be. You can also shop around during Medicare's open enrollment period (October 15 to December 7) to find a plan that better fits your budget and needs.

If you've had a significant life change, such as divorce, the death of a spouse, or retirement, causing a significant reduction in income, you can ask the SSA to reduce or remove your IRMAA charges.

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Disability benefit levels increase

The COLA and wage-indexing adjustments also apply to disabled worker benefits. The average disabled worker benefit is rising from $1,586 in 2025 to $1,630 in 2026.

Non-blind Social Security Disability Insurance (SSDI) beneficiaries can now earn up to $1,690 per month, based on the latest SGA thresholds. Blind claimants can earn up to $2,830 per month. The trial work period (TWP) cap has also increased from $1,160 per month to $1,210 per month.

Keep a careful track of your earnings while you're claiming SSDI, especially any months that exceed the new TWP threshold. Remember that you're only allowed 9 months within 60 months that exceed the TWP amount. Coordinate with the SSA to reduce the risk of overpayments.

SSI federal benefits will go up

The maximum federal Supplemental Security Income (SSI) benefit is rising from $967 to $994 per month for individuals and from $1,450 to $1,491 per month for couples. The essential person allowance is also increasing from $484 to $498 per month. Any increase at the state level is up to the individual states.

If you're close to your limits for SSI eligibility, recheck at the start of the year. For most adults, SSI requires a very low countable income and countable resources of $2,000 or less for individuals or $3,000 or less for couples. If your savings, bank balance, or other assets are hovering near these amounts, even a small change can take you out of eligibility. If you're worried, it might be worth talking to a benefits counselor.

It takes more to earn a work credit in 2026

It now takes $80 more to get a work credit, meaning in 2026, you'll need to earn $1,890 in covered wages to qualify for one work credit instead of 2025's $1,810. But you can still only earn a maximum of four credits per year.

To qualify for Social Security, you need 40 credits. If you're approaching retirement age and are short of credits, work out the minimum number of hours or earnings you need, at a maximum of four per year, to obtain the credits you need to qualify.

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Maximum retiree benefit increases

If you're reaching full retirement age in 2026, the maximum possible benefit is now $4,152, jumping from $4,018 in 2025. Just be aware that this isn't the amount you'll typically receive; it's just the maximum possible benefit. But to achieve it, you'd have to have an exceptionally high-earning 35-year work record.

For reference, in 2025, the average retiree benefit was $2,015 per month, and in 2026, it is set to be $2,071. Your exact amount will depend on your earnings record. You can check and correct your record, and find out your benefit amount inside your "my Social Security" account.

Bottom line

With these official Social Security changes coming in January 2026, it's best to prepare now, as they can all affect your net benefit. Sign in to your "my Social Security" account and check your COLA notice, where you'll see your gross and net benefit amount and any deductions or withholding. Verify your benefit estimate, check your earnings history is accurate, double-check your work-credit status, and look at your deductions.

Once you know how much you'll be getting, you can revisit your budget and retirement plan to check up on your retirement readiness.

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