The 2026 cost-of-living adjustment
Social Security benefits rose 2.8% for 2026. The increase applies to benefits for December 2025, which are paid in January 2026. The adjustment follows the change in the consumer price index for urban wage earners (CPI-W) from the third quarter of one year to the third quarter of the next.
The 2027 COLA is announced in October. It had not been published when this page was last checked on October 11, 2026.
Key 2026 figures
| Item | 2026 |
|---|---|
| Maximum earnings subject to Social Security tax (taxable maximum) | $184,500 |
| Earnings needed for one credit (quarter of coverage) | $1,890 |
| Maximum monthly benefit for a worker retiring at full retirement age | $4,152 |
| Maximum federal SSI payment, individual / couple | $994 / $1,491 a month |
The maximum benefit only goes to people who earned at or above the taxable maximum for most of their careers. Most retirees get much less; your own estimate is in your Social Security statement.
Working while you collect: the earnings test
- Under full retirement age all year: $1 in benefits is withheld for every $2 you earn above $24,480.
- The year you reach full retirement age: $1 is withheld for every $3 above $65,160, counting only earnings before the month you reach it.
- From full retirement age on: no limit.
Full retirement age by birth year
| Born | Full retirement age |
|---|---|
| 1943 to 1954 | 66 |
| 1955 | 66 and 2 months |
| 1956 | 66 and 4 months |
| 1957 | 66 and 6 months |
| 1958 | 66 and 8 months |
| 1959 | 66 and 10 months |
| 1960 or later | 67 |
If you were born on January 1, use the previous year.
Claiming at 62 versus waiting until 70
You can start retirement benefits at 62, but the check is reduced for good. The cut is 5/9 of 1% for each of the first 36 months before full retirement age and 5/12 of 1% for each month beyond that. With a full retirement age of 67, claiming at 62 means 60 months early and a 30% lower benefit. With a full retirement age of 66, it is 25% lower.
Waiting past full retirement age earns delayed retirement credits of 2/3 of 1% a month, or 8% a year, for anyone born in 1943 or later. Credits stop at 70. With a full retirement age of 67, waiting until 70 raises the benefit by 24%.
What it means for your monthly budget
A 2.8% COLA on a $2,000 monthly benefit is $56 more a month. Check whether your Medicare Part B premium, usually taken from the same check, also went up, because the net change can be smaller. If you work before full retirement age and expect to earn more than the limit, budget for lower payments: the earnings test can take $1 of every $2 above $24,480.
Sources
- Federal Register: Cost-of-Living Increase and Other Determinations for 2026 (SSA, 90 FR 49047) (2025-11-03)
- SSA: 2026 Cost-of-Living Adjustment (COLA) Fact Sheet (2025-10-24)
- eCFR: 20 CFR 404.409, What is full retirement age? (2026-10-11)
- eCFR: 20 CFR 404.410, reduction of benefits before full retirement age (2026-10-11)
- eCFR: 20 CFR 404.313, delayed retirement credits (2026-10-11)