As the end of the year approaches, many Americans start planning their financial future. This includes paying special attention to their Social Security benefits, one of the main sources of income for retirees.
With 2025 already on the horizon, it's essential to understand how the system works and what steps to take to maximize those benefits. Although the maximum pension amount has been set at $5,108, few manage to reach this figure. However, there are ways to optimize these payments with proper preparation starting now.
The Social Security challenge: Maximize benefits in 2026
Reaching the maximum Social Security amount isn't just a matter of luck, but of decisions made throughout one's working life. In 2025, the maximum monthly check has been set at $5,108 thanks to a 2.5% cost-of-living adjustment (COLA). But only a small fraction of the population qualifies for this benefit.
Data from the Federal Reserve show that, although 64% of non-retirees have some type of retirement account, there is still a significant percentage without savings. With this outlook, it's crucial to make informed decisions to maximize Social Security benefits in 2026.
What to do to receive the maximum Social Security benefits in 2026?
Increase current income:
The amount of retirement benefits is mainly based on each person's 35 highest-earning years. To qualify for the maximum benefit, one must have had taxable earnings at the maximum allowed level. In 2025, the Social Security taxable earnings cap is $176,100, meaning those who exceed that amount for 35 years of work will access the maximum benefit.
Choose the right age to retire:
The age at which you decide to retire is one of the most influential factors in the monthly amount you'll receive. The full retirement age (FRA) for most Americans is 67 years. If you decide to wait until age 70, your benefits will increase considerably, as shown below:
- Early retirement (62 years): the maximum benefit would be $2,831.
- Retirement at full retirement age (67 years): the maximum benefit would increase to $4,018.
- Retirement at age 70: the maximum benefit rises to $5,108.
What if I applied for benefits too early?
If you've already started receiving your Social Security benefits early 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 it will require you to return all the money received up to that point.
Once the payments have been returned, you can reapply for benefits later, adjusting the amount in your favor. It's important to remember that, upon reaching age 70, Social Security will automatically start paying the maximum amount, regardless of when you started receiving it.