Detailed Single Year Tables
Description of Proposed Provision:
B1.3: Progressive price indexing (40th percentile) of PIA factors beginning with individuals newly eligible for OASDI benefits in 2029: Create a new bend point at the 40th percentile of the AIME distribution of newly retired workers. Maintain current-law benefits for earners at the 40th percentile and below. Reduce the 32 and 15 percent factors above the 40th 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 |
|||
| 2022 | 14.05 | 12.79 | -1.26 | 230 | 0.00 | 0.00 | 0.00 | ||
| 2023 | 14.31 | 13.04 | -1.27 | 211 | 0.00 | 0.00 | 0.00 | ||
| 2024 | 14.45 | 12.95 | -1.49 | 194 | 0.00 | 0.00 | 0.00 | ||
| 2025 | 14.66 | 12.97 | -1.69 | 177 | 0.00 | 0.00 | 0.00 | ||
| 2026 | 14.88 | 13.08 | -1.80 | 160 | 0.00 | 0.00 | 0.00 | ||
| 2027 | 15.10 | 13.10 | -2.00 | 143 | 0.00 | 0.00 | 0.00 | ||
| 2028 | 15.33 | 13.14 | -2.19 | 126 | 0.00 | 0.00 | 0.00 | ||
| 2029 | 15.53 | 13.17 | -2.35 | 109 | -0.00 | -0.00 | 0.00 | ||
| 2030 | 15.72 | 13.20 | -2.52 | 91 | -0.00 | -0.00 | 0.00 | ||
| 2031 | 15.90 | 13.23 | -2.67 | 74 | -0.00 | -0.00 | 0.00 | ||
| 2032 | 16.06 | 13.24 | -2.81 | 57 | -0.01 | -0.00 | 0.01 | ||
| 2033 | 16.19 | 13.26 | -2.93 | 39 | -0.02 | -0.00 | 0.01 | ||
| 2034 | 16.30 | 13.26 | -3.03 | 22 | -0.02 | -0.00 | 0.02 | ||
| 2035 | 16.38 | 13.27 | -3.11 | 3 | -0.04 | -0.00 | 0.04 | ||
| 2036 | 16.44 | 13.28 | -3.17 | ---- | -0.05 | -0.00 | 0.05 | ||
| 2037 | 16.50 | 13.28 | -3.22 | ---- | -0.08 | -0.00 | 0.07 | ||
| 2038 | 16.54 | 13.29 | -3.25 | ---- | -0.10 | -0.01 | 0.10 | ||
| 2039 | 16.56 | 13.29 | -3.27 | ---- | -0.13 | -0.01 | 0.12 | ||
| 2040 | 16.56 | 13.29 | -3.27 | ---- | -0.16 | -0.01 | 0.15 | ||
| 2041 | 16.54 | 13.29 | -3.25 | ---- | -0.20 | -0.01 | 0.19 | ||
| 2042 | 16.53 | 13.29 | -3.23 | ---- | -0.24 | -0.01 | 0.23 | ||
| 2043 | 16.50 | 13.29 | -3.21 | ---- | -0.28 | -0.02 | 0.27 | ||
| 2044 | 16.47 | 13.29 | -3.18 | ---- | -0.33 | -0.02 | 0.31 | ||
| 2045 | 16.44 | 13.29 | -3.15 | ---- | -0.38 | -0.02 | 0.36 | ||
| 2046 | 16.40 | 13.29 | -3.12 | ---- | -0.44 | -0.02 | 0.41 | ||
| 2047 | 16.37 | 13.28 | -3.08 | ---- | -0.49 | -0.03 | 0.47 | ||
| 2048 | 16.33 | 13.28 | -3.05 | ---- | -0.55 | -0.03 | 0.52 | ||
| 2049 | 16.30 | 13.28 | -3.02 | ---- | -0.62 | -0.03 | 0.58 | ||
| 2050 | 16.27 | 13.28 | -2.98 | ---- | -0.68 | -0.04 | 0.65 | ||
| 2051 | 16.23 | 13.28 | -2.95 | ---- | -0.75 | -0.04 | 0.71 | ||
| 2052 | 16.19 | 13.28 | -2.91 | ---- | -0.82 | -0.05 | 0.77 | ||
| 2053 | 16.16 | 13.28 | -2.88 | ---- | -0.89 | -0.05 | 0.84 | ||
| 2054 | 16.13 | 13.28 | -2.86 | ---- | -0.97 | -0.06 | 0.91 | ||
| 2055 | 16.11 | 13.28 | -2.83 | ---- | -1.04 | -0.06 | 0.98 | ||
| 2056 | 16.09 | 13.28 | -2.81 | ---- | -1.12 | -0.06 | 1.05 | ||
| 2057 | 16.07 | 13.28 | -2.79 | ---- | -1.19 | -0.07 | 1.13 | ||
| 2058 | 16.05 | 13.28 | -2.77 | ---- | -1.27 | -0.07 | 1.20 | ||
| 2059 | 16.04 | 13.28 | -2.76 | ---- | -1.35 | -0.08 | 1.27 | ||
| 2060 | 16.02 | 13.28 | -2.74 | ---- | -1.43 | -0.08 | 1.35 | ||
| 2061 | 16.00 | 13.28 | -2.73 | ---- | -1.51 | -0.09 | 1.42 | ||
| 2062 | 15.98 | 13.28 | -2.71 | ---- | -1.59 | -0.09 | 1.49 | ||
| 2063 | 15.96 | 13.28 | -2.69 | ---- | -1.66 | -0.10 | 1.57 | ||
| 2064 | 15.94 | 13.28 | -2.66 | ---- | -1.74 | -0.10 | 1.64 | ||
| 2065 | 15.92 | 13.28 | -2.64 | ---- | -1.82 | -0.11 | 1.71 | ||
| 2066 | 15.89 | 13.28 | -2.62 | ---- | -1.89 | -0.11 | 1.78 | ||
| 2067 | 15.87 | 13.28 | -2.59 | ---- | -1.97 | -0.12 | 1.85 | ||
| 2068 | 15.85 | 13.27 | -2.57 | ---- | -2.04 | -0.12 | 1.92 | ||
| 2069 | 15.83 | 13.27 | -2.55 | ---- | -2.12 | -0.12 | 1.99 | ||
| 2070 | 15.81 | 13.27 | -2.54 | ---- | -2.19 | -0.13 | 2.06 | ||
| 2071 | 15.79 | 13.27 | -2.52 | ---- | -2.27 | -0.13 | 2.13 | ||
| 2072 | 15.77 | 13.27 | -2.50 | ---- | -2.34 | -0.14 | 2.20 | ||
| 2073 | 15.75 | 13.27 | -2.47 | ---- | -2.42 | -0.14 | 2.27 | ||
| 2074 | 15.72 | 13.27 | -2.45 | ---- | -2.49 | -0.15 | 2.34 | ||
| 2075 | 15.69 | 13.27 | -2.42 | ---- | -2.56 | -0.15 | 2.41 | ||
| 2076 | 15.65 | 13.27 | -2.38 | ---- | -2.63 | -0.16 | 2.48 | ||
| 2077 | 15.61 | 13.27 | -2.34 | ---- | -2.70 | -0.16 | 2.54 | ||
| 2078 | 15.55 | 13.26 | -2.29 | ---- | -2.77 | -0.16 | 2.60 | ||
| 2079 | 15.48 | 13.26 | -2.22 | ---- | -2.83 | -0.17 | 2.66 | ||
| 2080 | 15.41 | 13.26 | -2.15 | ---- | -2.89 | -0.17 | 2.72 | ||
| 2081 | 15.32 | 13.25 | -2.07 | ---- | -2.95 | -0.18 | 2.78 | ||
| 2082 | 15.24 | 13.25 | -1.99 | ---- | -3.01 | -0.18 | 2.83 | ||
| 2083 | 15.14 | 13.24 | -1.90 | ---- | -3.06 | -0.18 | 2.88 | ||
| 2084 | 15.05 | 13.24 | -1.81 | ---- | -3.11 | -0.19 | 2.93 | ||
| 2085 | 14.94 | 13.23 | -1.71 | ---- | -3.16 | -0.19 | 2.98 | ||
| 2086 | 14.83 | 13.22 | -1.61 | ---- | -3.21 | -0.19 | 3.02 | ||
| 2087 | 14.72 | 13.22 | -1.51 | ---- | -3.26 | -0.19 | 3.06 | ||
| 2088 | 14.61 | 13.21 | -1.40 | ---- | -3.30 | -0.20 | 3.10 | ||
| 2089 | 14.51 | 13.20 | -1.30 | ---- | -3.35 | -0.20 | 3.15 | ||
| 2090 | 14.40 | 13.20 | -1.21 | ---- | -3.39 | -0.20 | 3.19 | ||
| 2091 | 14.31 | 13.19 | -1.12 | ---- | -3.43 | -0.20 | 3.23 | ||
| 2092 | 14.22 | 13.18 | -1.04 | ---- | -3.48 | -0.21 | 3.27 | ||
| 2093 | 14.14 | 13.18 | -0.96 | ---- | -3.53 | -0.21 | 3.32 | ||
| 2094 | 14.07 | 13.18 | -0.90 | ---- | -3.58 | -0.21 | 3.36 | ||
| 2095 | 14.02 | 13.17 | -0.84 | ---- | -3.63 | -0.22 | 3.41 | ||
| 2096 | 13.96 | 13.17 | -0.80 | ---- | -3.68 | -0.22 | 3.46 | ||
| 2097 | 13.92 | 13.17 | -0.76 | ---- | -3.73 | -0.22 | 3.50 | ||
Summarized Estimates
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
| 2022-2096 | 15.84% | 13.70% | -2.14% | 2035 | -1.36% | -0.08% | 1.28% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2035. |
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Based on Intermediate Assumptions of the 2022 Trustees Report.