Social Security can feel familiar, especially if you have followed the program for years or already receive benefits. Over time, it starts to seem settled and predictable.
But the rules do not stand still. Updated limits, small adjustments, and lesser-known provisions can change how much you receive and what happens once benefits begin.
Below are the Social Security rules in 2026 that often catch people off guard, and why understanding them ahead of time can help you avoid surprising retirement mistakes.
Earnings limits before full retirement age can withhold benefits
If you claim Social Security before full retirement age and keep working, earnings limits can reduce your check.
In 2026, you can earn up to $24,480 before benefits are withheld. Above that, Social Security withholds $1 for every $2 earned. In the year you reach full retirement age, the limit rises to $65,160, with $1 withheld for every $3 earned. Once you reach full retirement age, the limit disappears.
What many people miss is that these withheld benefits are not lost. After full retirement age, Social Security recalculates your benefit and increases your monthly check to account for the months when payments were withheld.
It can feel like a penalty in the moment, but it’s a temporary reduction that gets paid back over time. Even so, the short-term drop in your check can be unsettling if you are not expecting it.
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Continuing to work can increase your benefit
Your Social Security benefit is not always locked in once you file. If you keep working and earn enough, Social Security can raise your check.
Each year, the SSA reviews your earnings. If new income replaces a lower-earning year in your top 35, your monthly benefit is recalculated and increases going forward.
The result can feel counterintuitive. Working while collecting benefits may reduce checks in the short term because of the earnings test, but it can also raise your benefit later through recalculation.
Spousal benefits max out at 50% and shrink if you claim early
Spousal benefits often sound more generous than they are. At full retirement age, a spouse can receive up to 50% of the other spouse’s benefit, but that percentage is based on the worker’s full retirement age amount, not what they are actually collecting.
For instance, if your spouse’s FRA benefit is $2,000, the maximum spousal benefit is $1,000, and you only receive that full amount if you wait until your own full retirement age to claim.
Also, note that spousal benefits do not earn delayed retirement credits, so there is no increase for waiting past full retirement age. Claiming early works the other way, though. Filing as early as 62 permanently reduces the spousal benefit, just as it does with a worker’s own benefit.
For couples who expect that spousal income to cover part of their budget, the timing choice can make a meaningful difference.
Spousal eligibility depends on marital status and timing
Eligibility for spousal benefits depends on both your marital status and when your spouse claims. If you are currently married, you generally cannot receive spousal benefits until your spouse files for their own Social Security. If they delay, you may be forced to wait as well or rely on your own benefit in the meantime.
For divorced spouses, eligibility works differently. If your marriage lasted at least 10 years, you may be able to claim spousal or survivor benefits on your ex’s record without waiting for them to file. You must be at least 62 and unmarried, but your ex does not need to apply or even be aware of your claim.
Taxes on your benefits depend on your other income
Your Social Security can be taxed if you have other income, a detail that often catches retirees off guard. The IRS uses a measure called combined income, which includes adjusted gross income (AGI), nontaxable interest, and 50% of your Social Security.
In 2026, if combined income exceeds about $25,000 for single filers or $32,000 for married couples, up to 50% of benefits can be taxed. Above roughly $34,000 and $44,000, up to 85% can be taxed. Income from pensions, part-time work, or investments can push your benefits into the taxable range.
That said, a new senior bonus deduction allows people 65 and older to subtract an extra $6,000 from income, which may keep some retirees below the taxable range.
Even so, until any broader changes take effect, the basic rule holds. The more income you have from other sources, the more likely it is that a portion of your Social Security will be taxed.
Cost-of-living adjustments (COLAs) are small but compound
Social Security applies a cost-of-living adjustment each year to keep benefits in step with inflation, and for 2026, that adjustment is 2.8%. On paper, it’s modest, with a $2,000 check edging up to $2,056.
The surprise is how those small increases compound. COLAs are applied to your existing benefit, so the higher your starting amount, the larger each future increase is in dollar terms. Someone with a bigger base benefit gets more from the same percentage increase every year.
Over a long retirement, the combination of delayed credits and annual COLAs can produce much larger checks later in life, which many retirees overlook when they rush to claim early.
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Bottom line
Social Security is more nuanced than it looks, even for retirees who think they know the rules. Taking the time to understand the fine print can help you maximize your senior benefits and avoid surprises that disrupt your plans. When you know how the rules actually work, Social Security becomes a more reliable and predictable part of your retirement picture.
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Author Details
David Maina
David Maina is a seasoned financial writer for FinanceBuzz who has been crafting insightful, accessible, and well-researched content since 2018. Over the years, he has written extensively on a wide range of personal finance topics, including insurance, retirement planning, Medicare, personal loans, Social Security, and tax planning.
