Episode

2026 Changes You Can't Ignore: Social Security, Tax Rules, and Withdrawal Realities, Ep #202

Podcast
RETIREMENT MADE EASY
Published
Jan 15, 2026
Duration seconds
2401
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Summary

Welcome to 2026! A new year brings a fresh set of rules for your retirement savings, and not all of them are straightforward. With the turning of the calendar comes changes to contribution limits, Social Security adjustments, and new tax mandates that could catch you off guard if you aren't paying attention. In this first episode of the year, I break down exactly what is changing for 2026, from the "good news" of higher contribution limits to the "bad news" of Medicare premium hikes that might eat up your entire Social Security cost-of-living adjustment. I also dive into a controversial new rule from the Secure Act 2.0 that forces high earners to change how they save in their 401(k)s, removing the choice of pre-tax savings for many. We also tackle some fantastic listener questions, including a look at why Target Date Funds had a "lucky" year in 2025 (and why I still don't recommend them), and I dismantle a dangerous misconception about retirement withdrawals, the "Mayonnaise Jar" math that convinces retirees their money will last 20 years when, in reality, inflation and life have other plans. You will want to hear this episode if you are interested in... (00:23) Intro to 2026 Changes. (04:36) Social Security COLA vs. Medicare Premiums. (06:40) New IRA and 401(k) Contribution Limits. (10:24) The New "Roth Catch-Up" Mandate for High Earners. (18:57) New Charitable Deduction Rules. (20:03) Listener Q: Target Date Funds Explained. (29:12) Listener Q: The "Mayonnaise Jar" Withdrawal Mistake. The "Fake" Raise: Social Security vs. Medicare in 2026 We start the year with what sounds like a win: a 2.8% Cost of Living Adjustment (COLA) for Social Security recipients. However, before you start budgeting that extra cash, you need to look at the other side of the ledger. Medicare P…