Proposed Provision: H5. Beginning in 2029, for single/head-of-household/married-filing-separate taxpayers with MAGI of $250,000 or more and joint filers with MAGI of $500,000 or more, include up to the remaining 15 percent of Social Security benefits in taxable income (increased from up to 85 percent of benefits taxable under current law). In subsequent years, update these thresholds for growth in wages (AWI). Revenue from this provision would be credited to the Social Security trust funds. Current law taxation of up to 85 percent of Social Security benefits would remain unchanged.

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

Year Current Law Provision
2022230230
2023211211
2024194194
2025177177
2026160160
2027143143
2028126126
2029109109
20309192
20317474
20325757
20333940
20342122
203534
2036-16-15
2037-35-34
2038-54-54
2039-74-74
2040-95-94
2041-116-115
2042-137-136
2043-158-157
2044-180-179
2045-202-200
2046-224-222
2047-246-244
2048-268-267
2049-291-289
2050-313-312
2051-336-334
2052-359-357
2053-383-381
2054-406-404
2055-430-427
2056-453-451
2057-477-474
2058-501-498
2059-525-523
2060-550-547
2061-575-572
2062-601-598
2063-627-624
2064-654-650
2065-681-677
2066-708-705
2067-736-732
2068-764-760
2069-792-789
2070-821-817
2071-850-846
2072-880-876
2073-910-906
2074-940-936
2075-971-967
2076-1003-999
2077-1036-1031
2078-1069-1065
2079-1104-1099
2080-1139-1134
2081-1175-1170
2082-1212-1206
2083-1249-1243
2084-1286-1281
2085-1324-1319
2086-1363-1357
2087-1402-1397
2088-1442-1436
2089-1481-1475
2090-1520-1513
2091-1558-1551
2092-1595-1589
2093-1632-1625
2094-1668-1661
2095-1703-1696
2096-1738-1731
2097-1773-1766
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