Core Insights - Social Security has been a crucial financial support system for millions of Americans over the past 90 years, providing stability in retirement finances [1] - The program undergoes frequent changes, with some occurring annually, which can affect recipients [2] Changes to Social Security - The annual cost-of-living adjustment (COLA) for Social Security recipients is set to increase by 2.8% for 2026, based on a 2.76% rise in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) from 2024 [4][6] - The wage base limit for Social Security payroll taxes has increased to $184,500 from $176,100, meaning higher earners will contribute more to Social Security taxes [8][9] - Early claimers of Social Security can now earn more from working before being affected by the retirement earnings test, providing additional flexibility for those who choose to work while receiving benefits [6]

Summary of Key Points Core Viewpoint - The maximum monthly Social Security benefit is projected to increase from $5,108 in 2025 to approximately $5,245.97 in 2026, highlighting the importance of earning a high salary and delaying benefits claims to maximize retirement income [1][9]. Earnings Requirements - To achieve the maximum Social Security benefit in 2026, individuals must earn a substantial salary, specifically at or above the wage base limit, which is expected to rise from $176,100 in 2025 to $183,600 in 2026 due to inflation [5][9]. - Social Security benefits are calculated based on the average wages from the highest 35 years of earnings, with only income up to the wage base limit being considered for benefits [4][5]. Claiming Strategy - Individuals aiming for the maximum benefit must plan to delay their Social Security claims until age 70, which is eight years after becoming eligible at age 62 [6][7]. - Delaying benefits allows individuals to accumulate delayed retirement credits, which enhance the standard Social Security checks until age 70, maximizing the overall benefit [8][9].