Podcast Episode 419: Social Security Changes for 2026
Prefer to watch? Click here to watch and listen on YouTube.
Social Security will look different in 2026, and while the adjustments may seem minor on the surface, they can carry real weight over the course of a 20- to 30-year retirement. So, what do projections indicate will change and why does it matter for your long-term planning?
In this episode of Money Wisdom, Jake Doser, CFP®, CPWA® and Nicholas J. Colantuono, CFP® discuss how benefits are shifting, why the full retirement age continues to increase, and the impact of higher costs tied to healthcare and taxes.
1. Cost-Of-Living Adjustment (COLA)
For 2026, analysts project Social Security’s cost-of-living adjustment (COLA) to be 2.7%, a slight increase from 2.5% in 2025. While the goal of the COLA is to keep pace with the rising cost of living, it often falls short over the long term. That’s why it’s so important to strike the right balance between safe and market-based investments in your portfolio.
2. New Full Retirement Age
The full retirement age is the age at which you can collect your full Social Security benefit. Individuals born after 1960 now have a full retirement age of 67.
But why does this age keep increasing? Simply put, retirement is longer because people are living longer. With a higher full retirement age, you will need your assets to last longer. You may need to consider delaying retirement or re-evaluating when to claim benefits.
3. Maximum Taxable Earnings Limit Increase
Social Security caps the amount of income you pay taxes on and receive credit for when benefits are calculated. Analysts project that the maximum taxable earnings limit will increase to $183,600 in 2026. While this might seem beneficial for higher earners, it can pose a concern in retirement. If your income exceeds this threshold, the system limits the total earnings it uses to calculate your retirement benefits.
4. Medicare Part B Premium Increase
In 2026, Part B premiums are set to increase from $185 to $206.50 per month — an 11% jump compared to the projected 2.7% COLA. This reflects a Medicare hike that outpaces your Social Security increase. Keep in mind, the more income you have, the higher your Medicare premiums can be. That’s why it’s critical to be strategic about how you take income and plan around thresholds that trigger higher Medicare costs.
Need help making the right Social Security decisions? Get your free Social Security Decisions guide by texting “SOCIAL” to 800-757-0436.
Information presented here is considered current as of the created date. Over time, some information presented may become stale. We recommend you consult with your Financial Professional before making any changes based on information contained here.
Johnson Brunetti is a marketing name for the businesses of JB Capital and JN Financial.
Investment Advisory Services offered through JB Capital, LLC. Insurance Products offered through JN Financial, LLC.
The guarantees provided by any type of insurance contract are based on the claims-paying ability of the insurance company.
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