Description of Proposed Provision:
C2.6: Increase the normal retirement age (NRA) and the earliest eligibility age (EEA) for those age 62 in 2020-2021 to 68 and 63, respectively, and then by 3 months per year in 2022-2025 to 69 and 64, respectively.
Financial Estimates for the OASDI Trust Fund Program
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
|
Expressed as a percentage of current-law taxable payroll |
Trust fund ratio as of January 1 |
Expressed as a percentage of current-law taxable payroll |
|||||||
|
Calendar year |
Cost rate |
Income rate |
Annual balance |
Cost rate |
Income rate |
Annual balance |
|||
| 2017 | 13.41 | 13.03 | -0.38 | 298 | 0.00 | 0.00 | 0.00 | ||
| 2018 | 13.49 | 12.93 | -0.56 | 287 | 0.00 | 0.00 | 0.00 | ||
| 2019 | 13.70 | 12.95 | -0.75 | 273 | 0.00 | 0.00 | 0.00 | ||
| 2020 | 13.83 | 12.97 | -0.87 | 259 | -0.02 | 0.00 | 0.02 | ||
| 2021 | 13.95 | 13.00 | -0.95 | 246 | -0.07 | 0.01 | 0.07 | ||
| 2022 | 14.12 | 13.03 | -1.09 | 233 | -0.13 | 0.01 | 0.14 | ||
| 2023 | 14.33 | 13.06 | -1.27 | 220 | -0.21 | 0.01 | 0.23 | ||
| 2024 | 14.52 | 13.10 | -1.42 | 206 | -0.31 | 0.01 | 0.32 | ||
| 2025 | 14.69 | 13.11 | -1.57 | 193 | -0.41 | 0.01 | 0.42 | ||
| 2026 | 14.83 | 13.15 | -1.68 | 179 | -0.54 | 0.01 | 0.56 | ||
| 2027 | 14.96 | 13.16 | -1.80 | 166 | -0.65 | 0.01 | 0.66 | ||
| 2028 | 15.11 | 13.18 | -1.94 | 152 | -0.74 | 0.01 | 0.75 | ||
| 2029 | 15.26 | 13.19 | -2.07 | 138 | -0.81 | 0.01 | 0.81 | ||
| 2030 | 15.41 | 13.20 | -2.21 | 124 | -0.86 | 0.00 | 0.86 | ||
| 2031 | 15.57 | 13.21 | -2.36 | 110 | -0.88 | 0.00 | 0.88 | ||
| 2032 | 15.71 | 13.22 | -2.49 | 96 | -0.90 | 0.00 | 0.90 | ||
| 2033 | 15.83 | 13.23 | -2.60 | 81 | -0.91 | -0.00 | 0.91 | ||
| 2034 | 15.93 | 13.23 | -2.69 | 65 | -0.92 | -0.00 | 0.92 | ||
| 2035 | 16.00 | 13.24 | -2.76 | 49 | -0.93 | -0.00 | 0.93 | ||
| 2036 | 16.06 | 13.24 | -2.82 | 33 | -0.93 | -0.01 | 0.92 | ||
| 2037 | 16.09 | 13.24 | -2.85 | 16 | -0.93 | -0.01 | 0.93 | ||
| 2038 | 16.08 | 13.24 | -2.84 | ---- | -0.94 | -0.01 | 0.93 | ||
| 2039 | 16.05 | 13.24 | -2.81 | ---- | -0.95 | -0.01 | 0.94 | ||
| 2040 | 16.00 | 13.24 | -2.76 | ---- | -0.96 | -0.01 | 0.95 | ||
| 2041 | 15.94 | 13.23 | -2.71 | ---- | -0.98 | -0.01 | 0.96 | ||
| 2042 | 15.87 | 13.23 | -2.64 | ---- | -0.99 | -0.01 | 0.98 | ||
| 2043 | 15.80 | 13.23 | -2.57 | ---- | -1.01 | -0.01 | 0.99 | ||
| 2044 | 15.74 | 13.22 | -2.52 | ---- | -1.02 | -0.01 | 1.00 | ||
| 2045 | 15.69 | 13.22 | -2.46 | ---- | -1.03 | -0.02 | 1.02 | ||
| 2046 | 15.63 | 13.22 | -2.42 | ---- | -1.04 | -0.02 | 1.03 | ||
| 2047 | 15.59 | 13.22 | -2.37 | ---- | -1.06 | -0.02 | 1.04 | ||
| 2048 | 15.55 | 13.22 | -2.33 | ---- | -1.07 | -0.02 | 1.05 | ||
| 2049 | 15.51 | 13.22 | -2.29 | ---- | -1.08 | -0.02 | 1.06 | ||
| 2050 | 15.47 | 13.21 | -2.26 | ---- | -1.09 | -0.02 | 1.08 | ||
| 2051 | 15.45 | 13.21 | -2.23 | ---- | -1.11 | -0.02 | 1.09 | ||
| 2052 | 15.44 | 13.21 | -2.22 | ---- | -1.12 | -0.02 | 1.10 | ||
| 2053 | 15.44 | 13.21 | -2.22 | ---- | -1.13 | -0.02 | 1.11 | ||
| 2054 | 15.45 | 13.22 | -2.24 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2055 | 15.48 | 13.22 | -2.26 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2056 | 15.51 | 13.22 | -2.29 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2057 | 15.55 | 13.22 | -2.33 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2058 | 15.60 | 13.23 | -2.37 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2059 | 15.64 | 13.23 | -2.41 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2060 | 15.69 | 13.23 | -2.45 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2061 | 15.73 | 13.24 | -2.50 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2062 | 15.78 | 13.24 | -2.54 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2063 | 15.83 | 13.24 | -2.58 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2064 | 15.88 | 13.25 | -2.63 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2065 | 15.93 | 13.25 | -2.68 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2066 | 15.98 | 13.25 | -2.72 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2067 | 16.02 | 13.25 | -2.77 | ---- | -1.15 | -0.02 | 1.13 | ||
| 2068 | 16.07 | 13.26 | -2.81 | ---- | -1.15 | -0.02 | 1.13 | ||
| 2069 | 16.12 | 13.26 | -2.86 | ---- | -1.15 | -0.02 | 1.13 | ||
| 2070 | 16.17 | 13.26 | -2.91 | ---- | -1.15 | -0.02 | 1.13 | ||
| 2071 | 16.22 | 13.27 | -2.95 | ---- | -1.15 | -0.02 | 1.13 | ||
| 2072 | 16.26 | 13.27 | -2.99 | ---- | -1.15 | -0.02 | 1.13 | ||
| 2073 | 16.30 | 13.27 | -3.03 | ---- | -1.15 | -0.02 | 1.13 | ||
| 2074 | 16.33 | 13.28 | -3.06 | ---- | -1.15 | -0.02 | 1.13 | ||
| 2075 | 16.37 | 13.28 | -3.09 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2076 | 16.39 | 13.28 | -3.11 | ---- | -1.13 | -0.02 | 1.11 | ||
| 2077 | 16.40 | 13.28 | -3.12 | ---- | -1.12 | -0.02 | 1.10 | ||
| 2078 | 16.40 | 13.28 | -3.13 | ---- | -1.12 | -0.02 | 1.10 | ||
| 2079 | 16.40 | 13.28 | -3.12 | ---- | -1.12 | -0.02 | 1.10 | ||
| 2080 | 16.39 | 13.28 | -3.12 | ---- | -1.12 | -0.02 | 1.10 | ||
| 2081 | 16.38 | 13.27 | -3.11 | ---- | -1.12 | -0.02 | 1.10 | ||
| 2082 | 16.38 | 13.27 | -3.11 | ---- | -1.13 | -0.02 | 1.10 | ||
| 2083 | 16.38 | 13.27 | -3.11 | ---- | -1.13 | -0.02 | 1.11 | ||
| 2084 | 16.39 | 13.28 | -3.12 | ---- | -1.14 | -0.02 | 1.11 | ||
| 2085 | 16.41 | 13.28 | -3.13 | ---- | -1.14 | -0.02 | 1.12 | ||
| 2086 | 16.43 | 13.28 | -3.15 | ---- | -1.15 | -0.02 | 1.13 | ||
| 2087 | 16.45 | 13.28 | -3.17 | ---- | -1.16 | -0.02 | 1.14 | ||
| 2088 | 16.49 | 13.28 | -3.21 | ---- | -1.17 | -0.02 | 1.15 | ||
| 2089 | 16.53 | 13.29 | -3.24 | ---- | -1.17 | -0.02 | 1.15 | ||
| 2090 | 16.58 | 13.29 | -3.29 | ---- | -1.17 | -0.02 | 1.15 | ||
| 2091 | 16.63 | 13.29 | -3.33 | ---- | -1.17 | -0.02 | 1.15 | ||
| 2092 | 16.67 | 13.30 | -3.38 | ---- | -1.17 | -0.02 | 1.15 | ||
Summarized Estimates
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
| 2017-2091 | 15.75% | 13.83% | -1.92% | 2037 | -0.92% | -0.01% | 0.91% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2034. |
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Based on Intermediate Assumptions of the 2017 Trustees Report.