Proposed Provision: B3.16. For retired worker and disabled worker beneficiaries becoming initially eligible in January 2026 or later, phase in a new benefit formula (from 2026 to 2035). Replace the existing two primary insurance amount (PIA) bend points with three new bend points as follows: (1) 25% AWI/12 from 2 years prior to initial eligibility; (2) 100% AWI/12 from 2 years prior to initial eligibility; and (3) 125% AWI/12 from 2 years prior to initial eligibility. The new PIA factors are 95%, 27.5%, 5% and 2%. During the phase in, those becoming newly eligible for benefits will receive an increasing portion of their benefits based on the new formula, reaching 100% of the new formula in 2035.
OASDI Trust Fund Ratio
(assets as a percentage of annual expenditures)
Year |
Current Law |
Provision |
2019 | 273 | 273 |
2020 | 260 | 260 |
2021 | 245 | 245 |
2022 | 229 | 229 |
2023 | 213 | 213 |
2024 | 197 | 197 |
2025 | 180 | 180 |
2026 | 163 | 163 |
2027 | 147 | 147 |
2028 | 130 | 130 |
2029 | 114 | 114 |
2030 | 97 | 97 |
2031 | 80 | 81 |
2032 | 63 | 64 |
2033 | 46 | 47 |
2034 | 28 | 29 |
2035 | 10 | 12 |
2036 | -9 | -6 |
2037 | -28 | -25 |
2038 | -47 | -43 |
2039 | -67 | -62 |
2040 | -87 | -80 |
2041 | -108 | -99 |
2042 | -129 | -118 |
2043 | -150 | -137 |
2044 | -171 | -155 |
2045 | -192 | -173 |
2046 | -213 | -191 |
2047 | -234 | -209 |
2048 | -255 | -226 |
2049 | -276 | -242 |
2050 | -297 | -259 |
2051 | -318 | -275 |
2052 | -338 | -291 |
2053 | -359 | -306 |
2054 | -380 | -321 |
2055 | -401 | -336 |
2056 | -422 | -351 |
2057 | -444 | -366 |
2058 | -465 | -381 |
2059 | -487 | -395 |
2060 | -509 | -410 |
2061 | -531 | -425 |
2062 | -554 | -440 |
2063 | -577 | -455 |
2064 | -601 | -471 |
2065 | -625 | -487 |
2066 | -649 | -502 |
2067 | -674 | -519 |
2068 | -699 | -535 |
2069 | -724 | -551 |
2070 | -749 | -568 |
2071 | -776 | -586 |
2072 | -802 | -604 |
2073 | -830 | -622 |
2074 | -857 | -640 |
2075 | -885 | -659 |
2076 | -914 | -679 |
2077 | -944 | -699 |
2078 | -975 | -720 |
2079 | -1007 | -742 |
2080 | -1039 | -764 |
2081 | -1072 | -786 |
2082 | -1106 | -809 |
2083 | -1139 | -832 |
2084 | -1173 | -855 |
2085 | -1207 | -878 |
2086 | -1242 | -901 |
2087 | -1275 | -924 |
2088 | -1309 | -947 |
2089 | -1342 | -969 |
2090 | -1375 | -991 |
2091 | -1407 | -1012 |
2092 | -1439 | -1034 |
2093 | -1471 | -1055 |
2094 | -1503 | -1077 |
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