Social Security Earnings Limits Increase in 2026
The Social Security Administration (SSA) announced today, October 30, 2025, that earnings limits for individuals receiving Social Security benefits while still working will increase in 2026, offering greater financial flexibility to beneficiaries.
The adjustments, designed to accommodate inflation and rising wages, will raise the earnings limit for those under Full Retirement Age (FRA) from $23,400 in 2025 to $24,480 in 2026. For those reaching FRA in 2026, the limit increases from $62,160 to $65,160. The SSA will continue to deduct $1 from benefits for every $2 earned over the limit for those under FRA, and $1 for every $3 earned over the limit for those in the year they reach FRA. These changes impact millions of Americans who choose to work alongside receiving Social Security, a growing trend driven by economic factors and personal preference.
Currently, once beneficiaries reach FRA, there is no earnings limit, meaning they can earn any amount without a reduction in benefits. To qualify for Social Security retirement benefits, individuals must have worked for at least 10 years (40 credits) and contributed to the system through payroll taxes. More information about eligibility can be found on the SSA’s retirement planning website. The earnings test, as these limits are known, was originally implemented to discourage beneficiaries from continuing to work and potentially displacing younger workers.
The SSA confirmed these adjustments yesterday, following the recent announcement of a 2.8% Cost of Living Adjustment (COLA) for 2026, which will increase benefits for millions of recipients. Officials stated that these changes are a step towards ensuring the long-term sustainability of the Social Security system and providing greater financial security for beneficiaries. You can learn more about the AARP’s Social Security resources.
The new earnings limits will be implemented starting January 2026, and the SSA will continue to monitor and adjust these limits annually to reflect changes in the economy.
