Policy Option Projections
Below are our projections of the effects of various retirement policy proposals on Social Security beneficiaries. For each proposal, we also link to SSA's actuarial projections of the effects on the Social Security trust fund.
- Benefit Formula
Changes - Cost of Living
Adjustment Changes - Covered Worker
Changes - Full Retirement
Age Increases - Taxation
Changes
Benefit Formula Changes
Details on the current benefit formula »
| Proposal | Start/End Date(s) | Proposed by? | Projected Effects on… | |
|---|---|---|---|---|
| Beneficiaries in… | Trust Fundsa | |||
| Increase the computation period from 35 years | ||||
| To 40 years (does not apply to DI) | 2012/2020 | SSAB | 2030 | 2050 | 2070 | OACT B4.2 |
| Change PIA formula | ||||
| Reduce the 90%, 32%, and 15% factors to 90%, 21%, and 10% over a 31-year period | 2012/NA | SSAB | 2030 | 2050 | 2070 | OACT B3.1 |
| Price index the PIA formula | ||||
| Reduce the formula factors by the difference in growth rates of wages and prices | 2018/NA | SSAB | 2030 | 2050 | 2070 | OACT B1.1 |
| Protect the bottom 30% of workers from price indexing | 2018/NA | SSAB | 2030 | 2050 | 2070 | OACT B1.2 |
| Credit earnings to caregivers' records | ||||
| Up to 5 years at one-half average wage when caring for children under the age of six | 2012/NA | NASI | 2030 | 2050 | 2070 | OACT B7.3 |
NOTE: DI = disability insurance, OACT = Office of the Chief Actuary, SSAB = Social Security Advisory Board.
a. Because the timing of OACT updates to Trust Fund projections may not coincide with the timing of our updates, the specifications used to make these projections (e.g., years and amounts) may differ.
