Detailed Single Year Tables
Description of Proposed Provision:
B1.4: Progressive price indexing (50th percentile) of PIA factors beginning with individuals newly eligible for OASDI benefits in 2028: Create a new bend point at the 50th percentile of the AIME distribution of newly retired workers. Maintain current-law benefits for earners at the 50th percentile and below. Reduce the 32 and 15 percent factors above the 50th percentile such that the initial benefit for a worker with AIME equal to the taxable maximum grows by inflation rather than the growth in the SSA average wage index.
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 |
|||
| 2021 | 14.11 | 12.31 | -1.81 | 253 | 0.00 | 0.00 | 0.00 | ||
| 2022 | 14.30 | 12.93 | -1.38 | 231 | 0.00 | 0.00 | 0.00 | ||
| 2023 | 14.43 | 12.91 | -1.52 | 214 | 0.00 | 0.00 | 0.00 | ||
| 2024 | 14.64 | 12.94 | -1.69 | 196 | 0.00 | 0.00 | 0.00 | ||
| 2025 | 14.86 | 12.96 | -1.90 | 178 | 0.00 | 0.00 | 0.00 | ||
| 2026 | 15.10 | 13.08 | -2.03 | 159 | 0.00 | 0.00 | 0.00 | ||
| 2027 | 15.36 | 13.10 | -2.26 | 141 | 0.00 | 0.00 | 0.00 | ||
| 2028 | 15.62 | 13.14 | -2.49 | 122 | -0.00 | -0.00 | 0.00 | ||
| 2029 | 15.87 | 13.17 | -2.70 | 104 | -0.00 | -0.00 | 0.00 | ||
| 2030 | 16.11 | 13.19 | -2.91 | 85 | -0.00 | -0.00 | 0.00 | ||
| 2031 | 16.28 | 13.21 | -3.07 | 66 | -0.01 | -0.00 | 0.01 | ||
| 2032 | 16.42 | 13.22 | -3.21 | 47 | -0.01 | -0.00 | 0.01 | ||
| 2033 | 16.54 | 13.23 | -3.31 | 27 | -0.02 | -0.00 | 0.02 | ||
| 2034 | 16.63 | 13.24 | -3.39 | 7 | -0.03 | -0.00 | 0.03 | ||
| 2035 | 16.70 | 13.24 | -3.45 | ---- | -0.04 | -0.00 | 0.04 | ||
| 2036 | 16.74 | 13.25 | -3.50 | ---- | -0.06 | -0.00 | 0.05 | ||
| 2037 | 16.79 | 13.25 | -3.53 | ---- | -0.08 | -0.00 | 0.07 | ||
| 2038 | 16.81 | 13.26 | -3.56 | ---- | -0.10 | -0.00 | 0.10 | ||
| 2039 | 16.82 | 13.26 | -3.56 | ---- | -0.13 | -0.01 | 0.12 | ||
| 2040 | 16.82 | 13.26 | -3.56 | ---- | -0.16 | -0.01 | 0.15 | ||
| 2041 | 16.83 | 13.26 | -3.56 | ---- | -0.19 | -0.01 | 0.18 | ||
| 2042 | 16.81 | 13.26 | -3.55 | ---- | -0.23 | -0.01 | 0.22 | ||
| 2043 | 16.77 | 13.26 | -3.51 | ---- | -0.27 | -0.01 | 0.25 | ||
| 2044 | 16.74 | 13.26 | -3.47 | ---- | -0.31 | -0.02 | 0.29 | ||
| 2045 | 16.69 | 13.26 | -3.43 | ---- | -0.35 | -0.02 | 0.33 | ||
| 2046 | 16.66 | 13.26 | -3.40 | ---- | -0.40 | -0.02 | 0.38 | ||
| 2047 | 16.63 | 13.26 | -3.37 | ---- | -0.45 | -0.02 | 0.43 | ||
| 2048 | 16.59 | 13.26 | -3.34 | ---- | -0.50 | -0.03 | 0.48 | ||
| 2049 | 16.56 | 13.26 | -3.30 | ---- | -0.56 | -0.03 | 0.53 | ||
| 2050 | 16.52 | 13.26 | -3.26 | ---- | -0.62 | -0.03 | 0.58 | ||
| 2051 | 16.49 | 13.26 | -3.23 | ---- | -0.67 | -0.04 | 0.64 | ||
| 2052 | 16.45 | 13.26 | -3.20 | ---- | -0.73 | -0.04 | 0.69 | ||
| 2053 | 16.42 | 13.26 | -3.17 | ---- | -0.80 | -0.04 | 0.75 | ||
| 2054 | 16.39 | 13.25 | -3.14 | ---- | -0.86 | -0.05 | 0.81 | ||
| 2055 | 16.37 | 13.25 | -3.12 | ---- | -0.92 | -0.05 | 0.87 | ||
| 2056 | 16.35 | 13.25 | -3.09 | ---- | -0.99 | -0.05 | 0.93 | ||
| 2057 | 16.33 | 13.26 | -3.08 | ---- | -1.05 | -0.06 | 0.99 | ||
| 2058 | 16.32 | 13.26 | -3.06 | ---- | -1.12 | -0.06 | 1.06 | ||
| 2059 | 16.31 | 13.26 | -3.05 | ---- | -1.19 | -0.07 | 1.12 | ||
| 2060 | 16.29 | 13.26 | -3.04 | ---- | -1.25 | -0.07 | 1.18 | ||
| 2061 | 16.28 | 13.26 | -3.02 | ---- | -1.32 | -0.07 | 1.24 | ||
| 2062 | 16.27 | 13.26 | -3.01 | ---- | -1.38 | -0.08 | 1.30 | ||
| 2063 | 16.25 | 13.26 | -3.00 | ---- | -1.45 | -0.08 | 1.37 | ||
| 2064 | 16.24 | 13.26 | -2.98 | ---- | -1.51 | -0.09 | 1.43 | ||
| 2065 | 16.23 | 13.26 | -2.97 | ---- | -1.58 | -0.09 | 1.49 | ||
| 2066 | 16.21 | 13.26 | -2.95 | ---- | -1.64 | -0.09 | 1.55 | ||
| 2067 | 16.20 | 13.26 | -2.94 | ---- | -1.70 | -0.10 | 1.61 | ||
| 2068 | 16.19 | 13.26 | -2.93 | ---- | -1.77 | -0.10 | 1.67 | ||
| 2069 | 16.18 | 13.26 | -2.92 | ---- | -1.83 | -0.10 | 1.72 | ||
| 2070 | 16.18 | 13.26 | -2.91 | ---- | -1.89 | -0.11 | 1.78 | ||
| 2071 | 16.17 | 13.26 | -2.91 | ---- | -1.96 | -0.11 | 1.84 | ||
| 2072 | 16.16 | 13.26 | -2.89 | ---- | -2.02 | -0.12 | 1.90 | ||
| 2073 | 16.14 | 13.26 | -2.88 | ---- | -2.08 | -0.12 | 1.96 | ||
| 2074 | 16.13 | 13.26 | -2.87 | ---- | -2.14 | -0.12 | 2.02 | ||
| 2075 | 16.11 | 13.26 | -2.85 | ---- | -2.20 | -0.13 | 2.08 | ||
| 2076 | 16.08 | 13.26 | -2.82 | ---- | -2.26 | -0.13 | 2.13 | ||
| 2077 | 16.05 | 13.26 | -2.79 | ---- | -2.32 | -0.13 | 2.19 | ||
| 2078 | 16.00 | 13.26 | -2.74 | ---- | -2.38 | -0.14 | 2.24 | ||
| 2079 | 15.94 | 13.26 | -2.69 | ---- | -2.43 | -0.14 | 2.29 | ||
| 2080 | 15.87 | 13.25 | -2.62 | ---- | -2.48 | -0.14 | 2.34 | ||
| 2081 | 15.80 | 13.25 | -2.55 | ---- | -2.53 | -0.15 | 2.38 | ||
| 2082 | 15.72 | 13.24 | -2.48 | ---- | -2.57 | -0.15 | 2.42 | ||
| 2083 | 15.64 | 13.24 | -2.40 | ---- | -2.61 | -0.15 | 2.46 | ||
| 2084 | 15.55 | 13.23 | -2.31 | ---- | -2.65 | -0.15 | 2.49 | ||
| 2085 | 15.46 | 13.23 | -2.23 | ---- | -2.68 | -0.16 | 2.53 | ||
| 2086 | 15.36 | 13.22 | -2.14 | ---- | -2.71 | -0.16 | 2.56 | ||
| 2087 | 15.27 | 13.22 | -2.05 | ---- | -2.74 | -0.16 | 2.58 | ||
| 2088 | 15.17 | 13.21 | -1.96 | ---- | -2.77 | -0.16 | 2.61 | ||
| 2089 | 15.08 | 13.21 | -1.88 | ---- | -2.79 | -0.16 | 2.63 | ||
| 2090 | 15.00 | 13.20 | -1.80 | ---- | -2.81 | -0.16 | 2.65 | ||
| 2091 | 14.94 | 13.20 | -1.74 | ---- | -2.83 | -0.16 | 2.67 | ||
| 2092 | 14.88 | 13.19 | -1.69 | ---- | -2.85 | -0.17 | 2.69 | ||
| 2093 | 14.84 | 13.19 | -1.65 | ---- | -2.87 | -0.17 | 2.71 | ||
| 2094 | 14.81 | 13.19 | -1.62 | ---- | -2.90 | -0.17 | 2.73 | ||
| 2095 | 14.78 | 13.19 | -1.60 | ---- | -2.92 | -0.17 | 2.75 | ||
| 2096 | 14.77 | 13.19 | -1.58 | ---- | -2.94 | -0.17 | 2.77 | ||
Summarized Estimates
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
| 2021-2095 | 16.18% | 13.71% | -2.47% | 2034 | -1.13% | -0.06% | 1.07% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2034. |
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Based on Intermediate Assumptions of the 2021 Trustees Report.