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The Bay State’s 2026 Budget: Big Wins for Older Adults and Retirement Security in Massachusetts

State House Picture.jpg
A file picture of the Massachusetts State House in Boston
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The Massachusetts Legislature approved the 2026 fiscal year state budget, marking the earliest budget passage in nearly a decade. This $61 billion spending plan includes major wins for older adults, caregivers, and working families across the Commonwealth.

Governor Maura Healey must sign the bill before it becomes law. AARP sent a letter to urging Gov. Healey to sign the budget. You can read it here.

The budget includes increased funding for nearly every aging-related program AARP Massachusetts championed:

  • Department of Aging and Independence Administration
  • Community Choices Program
  • Serving the Health Insurance Needs of Elders (SHINE)
  • Prescription Advantage
  • Supportive Senior Housing Program
  • Elder Home Care Purchased Services
  • Elder Home Care Case Management and Administration
  • Elder Protective Services
  • Geriatric Mental Health Services Program (level funded)
  • Elder Congregate Housing Program
  • Elder Homeless Placement
  • Elder Nutrition Program
  • Grants to Councils on Aging

These investments will help older adults remain in their homes and communities, access health care, and receive essential services that support their well-being.

A Major Milestone: Secure Choice Retirement Plan
The budget also includes the Secure Choice plan, a state retirement savings program. Secure Choice allows workers who do not have access to a retirement savings plan, like a 401(k) or a pension, to save money through special accounts controlled by the worker. AARP has been advocating for this initiative since 2018. This work and save plan marks a significant step forward in helping workers build financial security for the future.

On June 30, both chambers of the Massachusetts Legislature approved the FY26 budget, the House voted 139-6 and the Senate voting 38-2 in favor. The bill now heads to Governor Maura Healey, who has ten days to take action. She has several options: she can approve the budget as is, approve it with amendments, veto specific line items or sections, or veto the entire bill. If the Governor issues vetoes or amendments, the Legislature can override them before the end of the formal session.

This year’s early budget passage was driven by growing concerns over potential federal funding cuts. As both Houses were voting on the budget on Beacon Hill, Senators on Capitol Hill were voting on amendments to "One Big, Beautiful Bill Act", legislation that provides funding for key provisions of President Trump’s agenda. Lawmakers in Boston say they acted quickly to ensure stability for Massachusetts residents amid economic uncertainty and shifting national policies.

About AARP Massachusetts
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