We're Less Than 9 Months Away From These Social Security Changes

Social Security is a critical source of income for many retirees, so it's important for seniors to keep up to date on any developments. Planning ahead can help retirees better understand what their budget and financial situation will look like in the future.

That's why it's helpful to look at some upcoming Social Security changes that will be occurring in less than nine months. Here are some of those changes to start getting ready for.

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1. Your monthly Social Security benefit amount will change

One big change that will arrive in 2027 is an increase in Social Security benefits.

In most years, retirees see larger checks because of a Social Security COLA. The cost-of-living adjustment is based on inflation, and it's specifically calculated using data from the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). When third-quarter CPI-W data shows rising prices, seniors get a raise.

The official data used in the calculation won't be released for a while, but CPI-W numbers are published monthly. Based on those numbers, retirees can expect around a 2.8% cost of living adjustment next year. This means the average monthly Social Security check of around $2,076 will increase by approximately $58.12, assuming these projections hold.

2. Medicare premiums will take a bigger bite out of your benefits

For many Social Security retirees, Medicare premiums are withdrawn from Social Security checks. If you're 65 or over, chances are good this will be the case for you.

Unfortunately, Medicare premiums are likely to increase in 2027, which means they'll take a bigger bite out of your benefits than they do this year. Between 2025 and 2026, monthly Medicare premiums rose by $17.90, jumping from $185 in 2025 to $202.90 this year. That's nearly a 10% increase.

Retirees are likely looking at more big premium increases next year as well. In fact, multiple studies have demonstrated that Medicare premiums are increasing rapidly, with a recent report from the Joint Economic Committee estimating that premiums will likely have doubled by 2035.

Seniors need to factor in these rising Medicare costs in their retirement planning efforts so they can make a plan for how to cover care. The good news is, the rules say your benefits can't go down, so if the premium increase adds up to more than the amount of your raise, you still won't lose money. It can eat up most of the benefit increase, though, which could leave seniors struggling if they were counting on a big COLA.

3. You'll have to earn a little more to qualify for benefits

Current workers will face some changes as well. Specifically, the amount needed to earn a work credit will likely increase in 2027.

The earnings required to get a work credit increase in most years to account for wage growth. In 2026, for example, the amount of income needed to earn a work credit was $1,890, up from $1,810 in 2025.

The specifics of how much more you'll need to earn in 2027 are not yet available, but it's worth remembering that you need a total of 40 credits, and you can earn a maximum of four credits per year. You'll need to work at least 10 years and earn enough to get these credits if you want Social Security based on your own work record.

4. You should be able to work a little more as a retiree

Finally, many seniors should be aware that they'll be able to earn a little more from working without temporarily forfeiting Social Security checks.

Under the current rules, you can work as much as you want with no impact on benefits once you have reached your full retirement age (FRA). But if you're younger than that and you earn too much, Social Security benefits are withheld. You eventually get the money back when benefits are recalculated, but that takes time. It's frustrating for many to lose those benefits temporarily and not be able to double-dip.

In 2027, the rule isn't changing regarding being able to work as much as you want once you hit FRA. But the thresholds before younger workers lose benefits will rise, providing more opportunity to earn income without benefits being cut.

Retirees and current workers should begin thinking about these changes now, as they're less than nine months away. It's worth looking at what you can do to be ready -- including aiming to increase your income by next year if you're worried you won't earn enough work credits, or making sure you're investing wisely so you'll have the funds you need to adjust for higher out-of-pocket Medicare costs.

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