Trustees Reports- 1996

Table III.A4. - Comparison of Summarized Income Rates and Cost Rates 1/ for Valuation Periods 2/, for OASDI and HI by Alternative, Calendar Years 1996-2070
[As a percentage of taxable payroll 1/]

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                     OASDI                   HI                 Combined
            ---------------------  ---------------------  ---------------------
 Valuation   Income   Cost   Bal-   Income   Cost   Bal-   Income   Cost   Bal-
  period       rate   rate   ance     rate   rate   ance     rate   rate   ance
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Intermediate:
 25-years:
  1996-2020.. 13.54  13.18   0.36     3.24   5.16  -1.92    16.78  18.33  -1.56
 50-years:
  1996-2045.. 13.35  14.74  -1.39     3.25   6.71  -3.46    16.60  21.45  -4.84
 75-years:
  1996-2070.. 13.33  15.52  -2.19     3.28   7.69  -4.42    16.61  23.22  -6.61
Low Cost:
 25-years:
  1996-2020.. 13.46  11.71   1.75     3.22   4.20   -.99    16.67  15.91    .76
 50-years:
  1996-2045.. 13.25  12.59    .65     3.21   4.55  -1.34    16.46  17.15   -.69
 75-years:
  1996-2070.. 13.19  12.73    .46     3.22   4.86  -1.65    16.41  17.60  -1.19
High Cost:
 25-years:
  1996-2020.. 13.61  14.79  -1.18     3.27   6.50  -3.23    16.88  21.29  -4.41
 50-years:
  1996-2045.. 13.46  17.28  -3.82     3.31  10.51  -7.20    16.77  27.79 -11.02
 75-years:
  1996-2070.. 13.50  19.16  -5.67     3.37  12.89  -9.52    16.86  32.05 -15.19
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1/ The taxable payroll for HI is significantly larger than the taxable payroll
for OASDI because the HI taxable maximum amount was eliminated beginning 1994,
and because HI covers all Federal civilian employees, including those hired
before 1984, all State and local government employees hired after April 1,
1986, and railroad employees. Combined OASDI and HI rates are computed as the
sum of the separately derived rates for each program.
2/ For valuation periods, income rates include beginning trust fund balances
and cost rates include an ending fund target equal to 100 percent of annual
expenditures by the end of the period.

Note: Totals do not necessarily equal the sums of rounded components.