Description of Proposed Provision:
C2.2: After the normal retirement age (NRA) reaches 67 for those age 62 in 2022, index the NRA to maintain a constant ratio of expected retirement years (life expectancy at NRA) to potential work years (NRA minus 20). We assume the NRA will increase 1 month every 2 years. Also, raise the earliest eligibility age (EEA) for retired-workers, aged widow(er)s, and disabled widow(er)s by the same amount as the NRA starting for those attaining EEA in 2018.
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 |
|||
2017 | 13.41 | 13.03 | -0.38 | 298 | 0.00 | 0.00 | 0.00 | ||
2018 | 13.48 | 12.93 | -0.55 | 287 | -0.01 | 0.00 | 0.01 | ||
2019 | 13.69 | 12.95 | -0.74 | 273 | -0.01 | 0.00 | 0.02 | ||
2020 | 13.83 | 12.96 | -0.87 | 259 | -0.02 | 0.00 | 0.02 | ||
2021 | 13.99 | 13.00 | -0.99 | 246 | -0.03 | 0.00 | 0.03 | ||
2022 | 14.22 | 13.03 | -1.19 | 231 | -0.04 | 0.01 | 0.04 | ||
2023 | 14.50 | 13.05 | -1.45 | 216 | -0.04 | 0.01 | 0.05 | ||
2024 | 14.77 | 13.09 | -1.68 | 201 | -0.05 | 0.01 | 0.06 | ||
2025 | 15.04 | 13.11 | -1.93 | 185 | -0.06 | 0.01 | 0.07 | ||
2026 | 15.30 | 13.14 | -2.16 | 168 | -0.07 | 0.01 | 0.08 | ||
2027 | 15.54 | 13.16 | -2.38 | 151 | -0.08 | 0.01 | 0.09 | ||
2028 | 15.76 | 13.18 | -2.58 | 134 | -0.09 | 0.01 | 0.10 | ||
2029 | 15.97 | 13.19 | -2.77 | 116 | -0.10 | 0.01 | 0.11 | ||
2030 | 16.16 | 13.21 | -2.95 | 99 | -0.11 | 0.01 | 0.12 | ||
2031 | 16.33 | 13.22 | -3.11 | 81 | -0.12 | 0.01 | 0.13 | ||
2032 | 16.47 | 13.23 | -3.24 | 62 | -0.13 | 0.01 | 0.15 | ||
2033 | 16.60 | 13.24 | -3.35 | 44 | -0.15 | 0.01 | 0.16 | ||
2034 | 16.69 | 13.25 | -3.44 | 24 | -0.16 | 0.01 | 0.17 | ||
2035 | 16.76 | 13.25 | -3.51 | 4 | -0.17 | 0.01 | 0.18 | ||
2036 | 16.81 | 13.26 | -3.55 | ---- | -0.18 | 0.01 | 0.19 | ||
2037 | 16.83 | 13.26 | -3.57 | ---- | -0.19 | 0.01 | 0.20 | ||
2038 | 16.82 | 13.26 | -3.56 | ---- | -0.20 | 0.01 | 0.21 | ||
2039 | 16.78 | 13.26 | -3.52 | ---- | -0.22 | 0.01 | 0.23 | ||
2040 | 16.73 | 13.26 | -3.47 | ---- | -0.23 | 0.01 | 0.24 | ||
2041 | 16.67 | 13.26 | -3.41 | ---- | -0.24 | 0.01 | 0.26 | ||
2042 | 16.60 | 13.26 | -3.34 | ---- | -0.26 | 0.01 | 0.27 | ||
2043 | 16.53 | 13.25 | -3.27 | ---- | -0.28 | 0.01 | 0.29 | ||
2044 | 16.46 | 13.25 | -3.21 | ---- | -0.30 | 0.01 | 0.31 | ||
2045 | 16.40 | 13.25 | -3.15 | ---- | -0.32 | 0.01 | 0.33 | ||
2046 | 16.34 | 13.25 | -3.10 | ---- | -0.34 | 0.01 | 0.35 | ||
2047 | 16.29 | 13.25 | -3.04 | ---- | -0.36 | 0.01 | 0.37 | ||
2048 | 16.24 | 13.25 | -2.99 | ---- | -0.38 | 0.01 | 0.39 | ||
2049 | 16.19 | 13.25 | -2.94 | ---- | -0.40 | 0.01 | 0.42 | ||
2050 | 16.14 | 13.25 | -2.89 | ---- | -0.43 | 0.01 | 0.44 | ||
2051 | 16.09 | 13.24 | -2.85 | ---- | -0.46 | 0.01 | 0.48 | ||
2052 | 16.06 | 13.25 | -2.82 | ---- | -0.49 | 0.01 | 0.51 | ||
2053 | 16.05 | 13.25 | -2.80 | ---- | -0.52 | 0.01 | 0.53 | ||
2054 | 16.04 | 13.25 | -2.80 | ---- | -0.55 | 0.01 | 0.56 | ||
2055 | 16.05 | 13.25 | -2.80 | ---- | -0.57 | 0.01 | 0.58 | ||
2056 | 16.07 | 13.25 | -2.81 | ---- | -0.59 | 0.01 | 0.60 | ||
2057 | 16.09 | 13.26 | -2.83 | ---- | -0.61 | 0.01 | 0.62 | ||
2058 | 16.11 | 13.26 | -2.85 | ---- | -0.63 | 0.01 | 0.64 | ||
2059 | 16.13 | 13.26 | -2.87 | ---- | -0.65 | 0.01 | 0.66 | ||
2060 | 16.16 | 13.27 | -2.89 | ---- | -0.67 | 0.01 | 0.68 | ||
2061 | 16.19 | 13.27 | -2.92 | ---- | -0.69 | 0.01 | 0.70 | ||
2062 | 16.22 | 13.27 | -2.94 | ---- | -0.71 | 0.01 | 0.72 | ||
2063 | 16.24 | 13.27 | -2.96 | ---- | -0.73 | 0.01 | 0.74 | ||
2064 | 16.26 | 13.28 | -2.98 | ---- | -0.76 | 0.01 | 0.77 | ||
2065 | 16.29 | 13.28 | -3.01 | ---- | -0.78 | 0.01 | 0.79 | ||
2066 | 16.30 | 13.28 | -3.02 | ---- | -0.81 | 0.01 | 0.82 | ||
2067 | 16.33 | 13.28 | -3.04 | ---- | -0.84 | 0.01 | 0.85 | ||
2068 | 16.36 | 13.29 | -3.07 | ---- | -0.87 | 0.01 | 0.87 | ||
2069 | 16.39 | 13.29 | -3.10 | ---- | -0.88 | 0.01 | 0.89 | ||
2070 | 16.42 | 13.29 | -3.13 | ---- | -0.90 | 0.01 | 0.91 | ||
2071 | 16.46 | 13.30 | -3.16 | ---- | -0.91 | 0.01 | 0.92 | ||
2072 | 16.49 | 13.30 | -3.18 | ---- | -0.93 | 0.01 | 0.94 | ||
2073 | 16.51 | 13.30 | -3.20 | ---- | -0.94 | 0.01 | 0.95 | ||
2074 | 16.52 | 13.30 | -3.22 | ---- | -0.96 | 0.01 | 0.97 | ||
2075 | 16.53 | 13.31 | -3.22 | ---- | -0.97 | 0.01 | 0.98 | ||
2076 | 16.53 | 13.30 | -3.22 | ---- | -0.99 | 0.01 | 1.00 | ||
2077 | 16.52 | 13.30 | -3.22 | ---- | -1.00 | 0.00 | 1.01 | ||
2078 | 16.51 | 13.30 | -3.21 | ---- | -1.01 | 0.00 | 1.02 | ||
2079 | 16.47 | 13.30 | -3.17 | ---- | -1.05 | 0.00 | 1.05 | ||
2080 | 16.43 | 13.30 | -3.13 | ---- | -1.08 | 0.00 | 1.08 | ||
2081 | 16.39 | 13.30 | -3.09 | ---- | -1.12 | 0.00 | 1.12 | ||
2082 | 16.35 | 13.30 | -3.05 | ---- | -1.15 | 0.00 | 1.16 | ||
2083 | 16.33 | 13.30 | -3.03 | ---- | -1.18 | 0.00 | 1.18 | ||
2084 | 16.32 | 13.30 | -3.02 | ---- | -1.20 | 0.00 | 1.21 | ||
2085 | 16.33 | 13.30 | -3.02 | ---- | -1.22 | 0.00 | 1.23 | ||
2086 | 16.34 | 13.30 | -3.04 | ---- | -1.24 | -0.00 | 1.24 | ||
2087 | 16.36 | 13.30 | -3.06 | ---- | -1.26 | -0.00 | 1.26 | ||
2088 | 16.38 | 13.30 | -3.08 | ---- | -1.27 | -0.00 | 1.27 | ||
2089 | 16.42 | 13.30 | -3.12 | ---- | -1.28 | -0.01 | 1.28 | ||
2090 | 16.46 | 13.30 | -3.16 | ---- | -1.29 | -0.01 | 1.28 | ||
2091 | 16.51 | 13.31 | -3.20 | ---- | -1.29 | -0.01 | 1.28 | ||
2092 | 16.56 | 13.31 | -3.25 | ---- | -1.28 | -0.01 | 1.27 |
Summarized Estimates
Proposal | Change from Current Law | ||||||||
---|---|---|---|---|---|---|---|---|---|
Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
2017-2091 | 16.16% | 13.85% | -2.32% | 2035 | -0.50% | 0.01% | 0.51% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2034. |
Based on Intermediate Assumptions of the 2017 Trustees Report.