In 2026, the maximum Social Security benefit is $5,181 per month. While most people don’t receive this much money, those who maxed out their average wages and claimed benefits at the age of 70 can receive upwards of $63,000 yearly payment from the Social Security Administration to fund their retirement.
The maximum benefit increases during most years, so for those planning ahead for the future, it may be interesting to estimate what the max benefit amount will be in 2035.
Social Security benefits increase over time due to inflation and rising wages.
During most years, current retirees are given a Cost of Living Adjustment (COLA) based on the rate of inflation. The COLA is calculated based on year-over-year changes to the Consumer Price Index for Urban Wage Earners and Clerical Workers. Future retirees also typically leave work with higher average wages than those in the past due to natural wage growth over time, so they’re likely to receive a higher initial benefit as well.
So, what is the maximum benefit likely to look like in 2035? It all depends on how fast prices and wages rise. There are a few ways to estimate future benefits, though. For example:
The Federal Reserve’s target inflation rate is 2%. If we see that 2% annual inflation rate over the coming decade, then the maximum benefit would equal around $6,227 in 2035.
The average Social Security Cost of Living Adjustment over the last decade was 2.83%. If retirees received a 2.83% raise each year for the coming decade, they’d be looking at around $6275 as a max benefit in a decade.
If inflation is higher than expected and we see a 4% inflation rate each year for the next 10 years, the max benefit would come in at around $6,349.
Obviously, higher levels of inflation are going to lead to a bigger maximum Social Security benefit. However, that’s not necessarily a good thing as seniors tend to suffer when inflation surges because their conservative investment portfolios often lose buying power.
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When estimating the maximum benefit for the future, there’s also one important thing to consider that may not be on your radar, but that should be.
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Social Security’s trust fund is expected to run dry in 2035, according to the 2024 Trustee’s Report. If the trust fund runs out, retirees will still get paid from incoming revenue but there won’t be enough to pay full benefits. The Trustee’s report shows that there will be enough to cover around 83% of the promised payments.
If retirees end up with an automatic 17% cut to benefits, this will obviously affect the maximum payout they’re entitled to. The $6,227 max benefit that would have been available (assuming a 2% inflation rate), would only result in a monthly payment of $5,168 — which isn’t too much higher than the max benefit today. This shows just how much seniors would suffer if cuts happen.
Of course, lawmakers are going to face tremendous pressure to stave off these big benefit cuts. Their approach, however, could require changes that effectively reduce the benefits seniors get. As a result of this uncertainty, it becomes harder to estimate what future benefits are likely to look like.
Current and future retirees should keep this in mind as they estimate what Social Security can do for them in retirement, as the sad reality is that these benefits may not go as far as many seniors would hope for.
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