As 2025 progresses, many Americans are starting to plan their financial future. One of the most important aspects to consider is Social Security, which is one of the main sources of income for retirees. In order to maximize the benefits they will receive in 2026, it is essential to make informed decisions starting now.
The maximum amount is set at $5,108, thanks to a 2.5% cost-of-living adjustment (COLA). However, very few people manage to reach this figure. There are, however, ways to optimize these payments and increase the chances of receiving the maximum benefit.
This is how you can maximize Social Security benefits
The retirement amount mainly depends on the 35 years of highest earnings that each person has had throughout their working life. In order to qualify for the maximum benefit, it is necessary to have had taxable income at the maximum allowed level during those years.
In 2025, the Social Security taxable earnings limit is $176,100. Those who exceed this amount for 35 years of work will be able to access the maximum benefit of $5,108.
The importance of choosing the retirement age
One of the most influential factors in determining the amount of benefits is the retirement age. The full retirement age (FRA) for most Americans is 67 years (220 ft.). However, if you decide to wait until age 70 (230 ft.), your benefits will increase considerably:
1) Early retirement (62 years/203 ft.): the maximum benefit would be $2,831.
2) Retirement at full retirement age (67 years/220 ft.): the maximum benefit would be $4,018.
3) Retirement at age 70 (230 ft.): the maximum benefit rises to $5,108.
If you have started collecting your benefits early, pay attention
If you have already started receiving Social Security benefits but want to receive a higher amount, there is an option. The Social Security Administration allows you to "pause" payments if less than 12 months have passed since you started receiving them. This gives you the opportunity to receive a higher payment later, although you must return all the money received up to that point.
Once you have returned the payments, you can reapply for benefits later, adjusting the amount in your favor. It is important to remember that, when you reach age 70 (230 ft.), Social Security will automatically start paying the maximum benefit. For this, they will not take into account when you started receiving it.