Social Security Benefits and Wage Base Increases for 2026
As we continue our year-end reminders and updates, we want to make certain to provide updated figures released by the Social Security Administration (SSA) for the cost-of-living adjustment (COLA) and 2026 wage base.
Cost of Living Adjustment
In October, the SSA announced a 2.8% cost-of-living adjustment for 2026. This increase will be reflected in the January 2026 payments to Social Security recipients.
Social Security Wage Base
Other adjustments taking effect in January include an increase in the maximum amount of earnings subject to Social Security tax. The maximum taxable wage base is $184,500, an increase of $8,400. In 2025, the wage base was $176,100.
Wages up to this threshold are subject to payroll taxes of 6.2% – a maximum of $11,439. Wages in excess of the $184,500 are not subject to this withholding or the employer’s portion of payroll taxes. Note that there is no maximum wage base for Medicare tax withheld from pay.
2026 Social Security benefits increase 2.8% for COLA
2026 Social Security wage base $184,500
To read the entire press release, please click here.
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