Proposed Provision: B3.12. Use an annualized "mini-PIA" formula beginning with retired workers newly eligible in 2031. For each indexed earnings year, compute an individual AIME and an individual PIA. Sum these individual PIAs for the 40 highest years of indexed earnings and divide that total amount by 37 to get the PIA for this provision. Phase-in over five years, meaning that in 2031, 80 percent of the benefit would be based on the old 35-year average PIA formula and 20 percent on the new mini-PIA formula, shifting by 20 percentage points each year until 100 percent is based on the new mini-PIA formula for those attaining age 62 in 2035. Disabled worker benefits are unchanged under this provision.

OASDI Trust Fund Ratio
(assets as a percentage of annual expenditures)

Year Current Law Provision
2024188188
2025171171
2026152152
2027134134
2028117117
2029101101
20308484
20316868
20325353
20333737
20342222
203577
2036-9-9
2037-26-25
2038-43-42
2039-60-59
2040-78-77
2041-96-95
2042-115-113
2043-135-132
2044-154-151
2045-174-171
2046-194-190
2047-215-210
2048-235-230
2049-256-250
2050-277-270
2051-299-291
2052-320-311
2053-342-332
2054-364-353
2055-386-374
2056-409-396
2057-431-417
2058-455-439
2059-478-462
2060-502-485
2061-527-508
2062-553-532
2063-579-557
2064-605-582
2065-632-607
2066-660-633
2067-688-660
2068-716-686
2069-745-714
2070-774-741
2071-803-769
2072-834-798
2073-864-827
2074-895-856
2075-927-886
2076-960-917
2077-993-949
2078-1027-981
2079-1062-1014
2080-1098-1048
2081-1134-1083
2082-1172-1118
2083-1209-1154
2084-1248-1191
2085-1287-1228
2086-1327-1266
2087-1368-1304
2088-1409-1343
2089-1450-1382
2090-1491-1421
2091-1532-1459
2092-1573-1497
2093-1612-1535
2094-1651-1571
2095-1689-1608
2096-1727-1643
2097-1764-1678
2098-1801-1713
2099-1838-1748
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