With the November election approaching, all eyes will be on the presidential candidates and how they will shape the future of Social Security if they claim the Oval Office. But regardless of who wins the White House or control of Congress, there will be changes to Social Security in 2025.

Below are five aspects of the program that will be affected regardless of who is in power.

1. The size of retirees’ checks

The first big change will affect current retirees. Seniors receiving Social Security will see higher payments next year. This is because automatic cost-of-living adjustments are built into the benefit program to offset the erosion of purchasing power.

As prices rise, so do the benefits. A formula looks at changes in a consumer price index to determine how big the COLA will be. Experts are currently predicting a 2.6% increase, though seniors won’t know for sure until October, since the formula looks at third-quarter data.

2. The amount you must earn to qualify for a work credit

Social Security is an earned benefits program. You must earn 40 work credits to qualify for benefits, and you can earn up to four credits per year. You collect work credits by earning and paying taxes on the income you earn. In 2024, you must earn $1,730 to qualify for one work credit. So if you earn $6,920 this year, you will use all four credits for which you qualify.

The amount you must earn to receive a work credit increases each year to account for wage growth. For example, in 2023, you can earn a work credit by earning just $1,640.

For those who work but don’t earn much, it’s worth paying attention to this change coming next year. You don’t want to have too few work credits to receive retirement benefits as you get older.

3. How much money you can earn without it affecting your social security benefits

Once you reach full retirement age, you can work as much as you want without affecting your benefits. That won’t change.

However, if you under your full retirement age, that is not the case. Once you reach a certain income threshold, you begin to forfeit a portion of your Social Security payments. Eventually, the money will come back to you when your benefits are recalculated at full retirement age, but in the meantime, you may find that your Social Security checks disappear if your salary is too high.

The amount you can earn before this happens will change in 2025 (it will probably go up) because it is indexed to inflation. This is good news because it means people can earn more in a salary and still get benefits.

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The 2024 salary threshold is $22,320. The 2025 threshold has not yet been announced.

4. How old you must be to claim your benefit without penalties

People approaching retirement will face another major change in 2025. This change is already baked in and will happen automatically.

The age at which they can claim full benefits is getting later. While those who turn 66 in 2024 can claim their full, unreduced benefits at 66 and 8 months, anyone who doesn’t turn 66 until 2025 must wait to start their payments until 66 and 10 months. Otherwise, they’ll face monthly early filing penalties that apply to those who claim benefits before full retirement age.

This change was set in motion in 1983, when lawmakers passed a law requiring a gradual increase in the full retirement age to improve the Social Security Bank’s struggling finances.

5. The amount of income subject to social security tax

This change is one that high earners may be unhappy about. The maximum income subject to Social Security tax will be higher in 2025.

Social Security caps the amount of income you pay taxes on and get credit for when benefits are calculated. The cap is $168,600 in 2024, but it is indexed for inflation, so it will go up next year. If you make more than $168,600 in 2025, you can expect a higher Social Security tax bill next year when this cap is raised.

These changes are happening because Social Security has provisions to deal with inflation and because of laws that were passed long ago. No matter who wins the election, seniors and future retirees will have to deal with the changes, so it pays to plan now.

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These 5 Social Security Changes Are Coming in 2025, Regardless of Who Wins the Election was originally published by The Motley Fool