5 Creative Things To Do With Your Social Security in 2026
Written by
Laura Beck
Edited by
Molly Sullivan
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Most people think of Social Security as money that covers the bills and not much else. But if you’ve planned well and find yourself with a little breathing room after covering the essentials, your monthly check can do more than just keep the lights on.
In 2026, retirees are dealing with higher interest rates, longer lifespans and more flexible retirement lifestyles than previous generations. For those who don’t need every dollar from their Social Security payments, there are some smart ways to put that extra income to work.
1. Put It Toward Income-Generating Investments
If your other retirement savings can handle your day-to-day expenses, consider investing your Social Security payments to make your portfolio last longer. Thomas J. Brock, a CFA and CPA with over 20 years of financial experience, said this approach makes sense when you have enough cash flow from other sources.
“I recommend investing the monthly benefit to bolster the longevity of your portfolio,” Brock explained. “In most cases, it makes sense to allocate a healthy portion of the funds to income generating assets, such as Treasury securities, real estate and dividend-paying stocks.”
He added that using diversified funds like exchange-traded funds and real estate investment trusts is the best low-cost way to do this.
Thomas Miller, a partner and private wealth advisor at Wealth Coast, agreed that investing surplus Social Security income can protect against inflation. He suggested high-yield savings accounts for short-term needs or conservative bond funds for a safer approach. For those with their near-term expenses covered, a Roth IRA could generate tax-free growth over time.
2. Use It for Charitable Giving
Retirement often means more time to focus on causes that matter to you. Miller said many of his clients use their extra Social Security income to give back to their communities.
“With fewer work obligations, many individuals find greater capacity to give back,” Miller said. “Some choose recurring donations to organizations aligned with their values, while others give their time or professional expertise.”
If you’re strategic about it, charitable giving can also come with tax benefits. Miller mentioned that charitable bunching or setting up a Donor Advised Fund can make your contributions more tax-efficient while still supporting the causes you care about.
3. Build Your Legacy Through Gifting
If leaving money to your family is important to you, Social Security can help you do that while you’re still around to see it make a difference. Miller explained that families focused on legacy planning can use surplus income to grow their estates or gift money directly to loved ones.
There are plenty of ways to make this happen. You could help fund a 529 plan for your grandchildren’s education, contribute toward a down payment on a house or car, or simply give cash for birthdays and holidays. The flexibility means you can tailor your giving to what your family actually needs.
4. Invest In Personal Growth
Retirement isn’t just about maintaining what you have, it’s also a chance to explore new interests. Miller said directing some Social Security income toward continuing education can pay off in unexpected ways.
“Later life can be an ideal time to invest in personal growth,” Miller said. “Allocating funds toward continuing education, such as online courses, community college classes or skill-based workshops, can offer both personal and practical value.”
He pointed out that many retirees take up hobbies like writing or photography for enjoyment, but these interests can also generate some extra income. Even if they don’t, the personal satisfaction is often worth far more than the cost.
5. Focus On Long-Term Financial Stability
The common thread through all of these strategies is thinking beyond the present moment. Miller said that for people who plan carefully, Social Security doesn’t have to be purely functional income.
“When essentials are covered, even modest additional income can be used creatively to strengthen financial security, invest in personal growth, reduce future stress and give back in meaningful ways,” he explained.
Both experts agreed that the right approach depends on your personal situation. Working with a financial advisor who understands your goals can help you make the most of your Social Security benefits in retirement.
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