Changes to Social Security Work Rules Set for 2026

Working While Collecting Social Security: Many seniors work while receiving Social Security benefits to supplement their income, but working before reaching full retirement age (FRA) can affect their benefits.

Upcoming Rule Changes in 2026: Starting in 2026, the income limits for working while collecting benefits will increase, allowing retirees to earn more without losing benefits, although those under FRA will still face reductions based on their earnings.

Impact of Earnings on Benefits: If retirees earn above certain thresholds, they may lose $1 in benefits for every $2 or $3 earned over the limit, depending on whether they will reach FRA during the year.

Recalculation of Benefits: Benefits lost due to excess earnings are recalculated at FRA, potentially increasing monthly benefits for life, which can help retirees manage their savings better.