Proposed Provision: Progressive indexing (30th percentile) of PIA formula factors beginning with individuals newly eligible for OASI benefits in 2016, continuing through 2025, and resuming in 2064: Create a new bend point at the 30th percentile of the AIME distribution of newly retired workers. Maintain current-law benefits for earners at the 30th percentile and below. Reduce the 32 and 15 percent formula factors above the 30th percentile such that the initial benefit for a worker with AIME equal to the taxable maximum is reduced by 1.12 percent per year as compared to current law (for the years that progressive indexing applies). Disabled workers are: (a) not affected prior to normal retirement age; and (b) subject to a proportional reduction in benefits, based on the worker's years of disability, upon conversion to retired-worker beneficiary status.
OASDI Trust Fund Ratio
(assets as a percentage of annual expenditures)
Year |
Present Law |
Provision |
2013 | 330 | 330 |
2014 | 315 | 315 |
2015 | 301 | 301 |
2016 | 286 | 286 |
2017 | 271 | 271 |
2018 | 257 | 258 |
2019 | 244 | 245 |
2020 | 231 | 231 |
2021 | 218 | 219 |
2022 | 204 | 205 |
2023 | 189 | 191 |
2024 | 173 | 176 |
2025 | 158 | 161 |
2026 | 142 | 146 |
2027 | 125 | 130 |
2028 | 108 | 114 |
2029 | 90 | 98 |
2030 | 71 | 81 |
2031 | 52 | 63 |
2032 | 31 | 44 |
2033 | 11 | 25 |
2034 | -11 | 6 |
2035 | -32 | -14 |
2036 | -55 | -34 |
2037 | -78 | -54 |
2038 | -101 | -74 |
2039 | -124 | -95 |
2040 | -148 | -116 |
2041 | -172 | -137 |
2042 | -196 | -158 |
2043 | -220 | -179 |
2044 | -245 | -200 |
2045 | -269 | -221 |
2046 | -294 | -242 |
2047 | -319 | -264 |
2048 | -345 | -285 |
2049 | -371 | -307 |
2050 | -397 | -329 |
2051 | -423 | -350 |
2052 | -449 | -372 |
2053 | -476 | -394 |
2054 | -502 | -417 |
2055 | -530 | -439 |
2056 | -557 | -462 |
2057 | -585 | -485 |
2058 | -613 | -508 |
2059 | -642 | -532 |
2060 | -671 | -557 |
2061 | -701 | -582 |
2062 | -732 | -607 |
2063 | -763 | -633 |
2064 | -794 | -660 |
2065 | -826 | -686 |
2066 | -859 | -714 |
2067 | -892 | -741 |
2068 | -925 | -770 |
2069 | -959 | -799 |
2070 | -993 | -828 |
2071 | -1028 | -858 |
2072 | -1064 | -890 |
2073 | -1101 | -922 |
2074 | -1139 | -955 |
2075 | -1178 | -989 |
2076 | -1217 | -1024 |
2077 | -1258 | -1060 |
2078 | -1299 | -1096 |
2079 | -1340 | -1133 |
2080 | -1382 | -1171 |
2081 | -1424 | -1208 |
2082 | -1466 | -1246 |
2083 | -1508 | -1284 |
2084 | -1550 | -1322 |
2085 | -1592 | -1361 |
2086 | -1635 | -1400 |
2087 | -1678 | -1440 |
2088 | -1722 | -1480 |
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