Starting in 2026, a significant change to Social Security will impact retirement plans, particularly for higher earners. The annual wage cap on income subject to Social Security taxes will increase to $184,500 from $176,100 in 2025. This adjustment, tied to inflation and wage growth, means individuals earning above the new cap will pay taxes on an additional $8,400 in wages. Consequently, salaried workers could see an increase of approximately $520.80 in their annual Social Security taxes, while self-employed individuals might pay around $1,041.60 more.