The Bay State’s 2026 Budget: Big Wins for Older Adults

Governor Maura Healey signed 2026 fiscal year state budget July 4, 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. However, the governor did refuse to sign off on Secure Choice, a program that would allow more people to save for retirement.

“AARP commends the Massachusetts Legislature and Governor Healey for passing the Fiscal Year 2026 budget, which reflects a strong commitment to the Commonwealth’s older residents and their families, " said Jen Benson, AARP Massachusetts State Director. "AARP applauds the investment in home and community-based care, support for the Bay State's 780,000 family caregivers, and essential services that help people age with dignity."

Read the full Statement here
AARP is disappointed the Secure choice plan was omitted from the budget by the Governor.

"We believe Secure Choice, a new retirement savings option that will help strengthen the financial resilience of workers without access to employer-sponsored plans, should have been included in the final budget and we urge legislators to override the Governor’s decision," said Benson. "Massachusetts older residents and their families rely upon critical programs and policies that empower them to have health security and financial resilience."

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.

The governor chose to send back an important inititiave to help people save for retirement. The budget the legislature sent the goveronor included the Secure Choice plan. The plan 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.

The governor sent the proposal to be studied rather than implemented. AARP has been advocating for this initiative since 2018.

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.

AARP sent a letter to urging Gov. Healey to sign the budget. You can read it here.
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.