Social Security Optimization for HNW Retirees (2026 Update)

Episode 12 of Retirement Tax Matters focuses on Social Security optimization for Hign-Net-Worth retirees, framing it as a critical spousal protection and legacy tool rather than a simple break-even calculation. We explain why the higher-earning spouse delaying their benefit to age 70 is often the most critical decision, as it maximizes the guaranteed, inflation-adjusted survivor benefit for their partner. We then cover the key 2026 updates, including the 2.8% Cost of Living Adjustment (COLA) and the new maximum monthly benefit of $4,152 for a worker filing at Full Retirement Age. We also discuss how the Social Security payroll tax wage base has increased to $184,500. Finally, we connect this high-benefit strategy to your long-term tax plan, discussing how this large, guaranteed income stream interacts with RMDs and can contribute to the surviving spouse tax shock making proactive planning essential. | Disclosures