These provisions extend or reduce the categories of workers or the amount of earnings covered under the Social Security system. We provide a summary list of all options (printer-friendly PDF version) in this category. For each provision listed below, we provide an estimate of the financial effect on the OASDI program over the long-range period (the next 75 years) and for the 75th year. In addition, we provide graphs and detailed single year tables. We base all estimates on the intermediate assumptions described in the 2018 Trustees Report.
Choose the type of estimates (summary or detailed) from the list of provisions.
| Number | Table and graph selection |
|---|---|
| F1 |
Starting in 2019, cover newly hired State and local government employees.
Summary measures and graphs
(PDF version)
Detailed single year tables (PDF version) Memoranda containing this or a similar provision: |
| F2 |
Starting in 2019, exempt individuals with more than 180 quarters of
coverage from the OASDI payroll tax. Earnings exempted from OASDI
payroll tax would not be used in computing benefits.
Summary measures and graphs
(PDF version)
Detailed single year tables (PDF version) Memorandum containing this or a similar provision: |
| F3 |
Expand covered earnings to include employer and employee premiums
for employer-sponsored group health insurance (ESI). Starting in
2022, phase out the OASDI payroll tax exclusion for ESI premiums.
Set an exclusion level at the 75th percentile of premium distribution
in 2022, with amounts above that subject to the payroll tax. Reduce
the exclusion level each year by 10 percent of the 2022 exclusion
level until fully eliminated in 2031. Eliminate the excise tax on
ESI premiums starting in 2022.
Summary measures and graphs
(PDF version)
Detailed single year tables (PDF version) Memorandum containing this or a similar provision: |
| F4 |
Expand covered earnings to include contributions to voluntary
salary reduction plans (such as Cafeteria 125 plans and Flexible
Spending Accounts). Starting in 2019, subject these contributions
to the OASDI payroll tax, making the payroll tax treatment of these
contributions like 401(k) contributions.
Summary measures and graphs
(PDF version)
Detailed single year tables (PDF version) Memorandum containing this or a similar provision: |
| F5 |
Tax Reform for Business: Establish a value added tax (VAT) of
3.0 percent for 2020 and 6.5 percent for 2021 and later. Assume about
75% of personal consumption expenditures is subject to the VAT.
Summary measures and graphs
(PDF version)
Detailed single year tables (PDF version) Memorandum containing this or a similar provision: |
| F6 |
Apply a 6.2 percent tax on investment income as defined in the Affordable
Care Act (ACA), with unindexed thresholds as in the ACA ($200,000 for single
filer, $250,000 for married filing jointly), starting in 2020. Proceeds go
to the OASI and DI Trust Funds.
Summary measures and graphs
(PDF version)
Detailed single year tables (PDF version) Memorandum containing this or a similar provision: |