Social Security Benefits Announced for 2026
The Social Security Administration has announced a 2.8% increase in monthly Social Security and Supplemental Security Income (SSI) benefits for 2026. This marks a decrease from the 3.2% cost-of-living adjustment (COLA) implemented for 2025. The 2026 adjustment is based on the rise in the Consumer Price Index (CPI) over the 12-month period ending September 2025.
For individuals paying into Social Security through wages, the maximum amount of earnings subject to Social Security tax will increase to $184,500 in 2026. This change reflects a 4.8% increase in the taxable wage base. Notably, this adjustment continues the trend of the Social Security earnings limit growing at a pace that exceeds the annual CPI increase.
Key 2026 Social Security Figures
What it means for you:
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Wage Base Increase: Up to $184,500 in wages will be subject to Social Security tax in 2026. This equates to a maximum employee Social Security tax of $11,439—an increase of $521 from 2025. If you work for more than one employer and overpay Social Security tax, any excess can be claimed as a credit on your individual tax return.
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Average Retirement Benefit: The estimated average monthly Social Security retirement benefit for all retired workers will rise to $2,071 in 2026—an average increase of $56 per month.
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SSI Eligibility: SSI benefits remain available to individuals with limited income and financial resources. To qualify, countable resources must not exceed $2,000 for individuals or $3,000 for married couples.
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Students Receiving SSI: Blind or disabled students can continue to receive SSI benefits as long as their earned income does not exceed the annual and monthly student exclusion thresholds.
Social Security & Medicare Tax Rates
The Social Security and Medicare tax rates will remain unchanged for 2026:
| Tax Type | Employee Rate | Employer Rate | Self-Employed Rate |
|---|---|---|---|
| Social Security | 6.20% | 6.20% | 12.40% |
| Medicare | 1.45% | 1.45% | 2.90% |
| Additional Medicare Surtax | 0.9% on wages above $200,000 (single) / $250,000 (married filing jointly) | N/A | Applies on income above thresholds |
Self-employed individuals pay both the employee and employer portions, for a combined 15.3% self-employment tax rate on applicable earnings.
