Detailed Single Year Tables
Description of Proposed Provision:
E2.5: Apply 12.4 percent payroll tax rate on earnings above $250,000 starting in 2023, and tax all earnings once the current-law taxable maximum exceeds $250,000. Do not provide benefit credit for additional earnings taxed.
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 | 14.93 | 0.62 | 211 | 0.00 | 1.90 | 1.90 | ||
| 2024 | 14.44 | 14.96 | 0.51 | 207 | -0.00 | 2.00 | 2.00 | ||
| 2025 | 14.65 | 14.99 | 0.34 | 203 | -0.00 | 2.02 | 2.03 | ||
| 2026 | 14.88 | 15.13 | 0.26 | 197 | -0.01 | 2.06 | 2.06 | ||
| 2027 | 15.09 | 15.19 | 0.09 | 192 | -0.01 | 2.08 | 2.09 | ||
| 2028 | 15.31 | 15.26 | -0.05 | 187 | -0.01 | 2.12 | 2.13 | ||
| 2029 | 15.51 | 15.33 | -0.18 | 182 | -0.02 | 2.15 | 2.17 | ||
| 2030 | 15.70 | 15.39 | -0.31 | 176 | -0.02 | 2.19 | 2.21 | ||
| 2031 | 15.88 | 15.46 | -0.42 | 171 | -0.03 | 2.23 | 2.26 | ||
| 2032 | 16.03 | 15.55 | -0.48 | 166 | -0.04 | 2.30 | 2.34 | ||
| 2033 | 16.16 | 15.62 | -0.54 | 162 | -0.04 | 2.37 | 2.41 | ||
| 2034 | 16.27 | 15.70 | -0.57 | 157 | -0.05 | 2.44 | 2.49 | ||
| 2035 | 16.36 | 15.77 | -0.59 | 154 | -0.06 | 2.50 | 2.56 | ||
| 2036 | 16.43 | 15.78 | -0.65 | 151 | -0.06 | 2.50 | 2.57 | ||
| 2037 | 16.51 | 15.79 | -0.72 | 148 | -0.07 | 2.50 | 2.57 | ||
| 2038 | 16.56 | 15.80 | -0.77 | 145 | -0.08 | 2.50 | 2.58 | ||
| 2039 | 16.61 | 15.80 | -0.80 | 141 | -0.08 | 2.50 | 2.59 | ||
| 2040 | 16.63 | 15.80 | -0.83 | 138 | -0.09 | 2.50 | 2.59 | ||
| 2041 | 16.65 | 15.81 | -0.84 | 134 | -0.09 | 2.51 | 2.60 | ||
| 2042 | 16.67 | 15.81 | -0.86 | 130 | -0.10 | 2.51 | 2.60 | ||
| 2043 | 16.68 | 15.81 | -0.87 | 127 | -0.10 | 2.51 | 2.61 | ||
| 2044 | 16.70 | 15.81 | -0.88 | 123 | -0.11 | 2.51 | 2.61 | ||
| 2045 | 16.71 | 15.82 | -0.90 | 118 | -0.11 | 2.51 | 2.62 | ||
| 2046 | 16.72 | 15.82 | -0.91 | 114 | -0.11 | 2.51 | 2.62 | ||
| 2047 | 16.75 | 15.82 | -0.93 | 110 | -0.12 | 2.51 | 2.63 | ||
| 2048 | 16.77 | 15.82 | -0.95 | 105 | -0.12 | 2.51 | 2.63 | ||
| 2049 | 16.79 | 15.83 | -0.97 | 101 | -0.12 | 2.51 | 2.63 | ||
| 2050 | 16.82 | 15.83 | -0.99 | 96 | -0.12 | 2.51 | 2.63 | ||
| 2051 | 16.86 | 15.83 | -1.02 | 91 | -0.13 | 2.51 | 2.64 | ||
| 2052 | 16.89 | 15.84 | -1.05 | 85 | -0.13 | 2.51 | 2.64 | ||
| 2053 | 16.93 | 15.84 | -1.09 | 80 | -0.13 | 2.51 | 2.64 | ||
| 2054 | 16.97 | 15.84 | -1.13 | 74 | -0.13 | 2.51 | 2.64 | ||
| 2055 | 17.02 | 15.85 | -1.17 | 68 | -0.13 | 2.51 | 2.64 | ||
| 2056 | 17.08 | 15.85 | -1.22 | 62 | -0.13 | 2.51 | 2.64 | ||
| 2057 | 17.14 | 15.86 | -1.28 | 55 | -0.13 | 2.52 | 2.64 | ||
| 2058 | 17.20 | 15.87 | -1.33 | 48 | -0.12 | 2.52 | 2.64 | ||
| 2059 | 17.27 | 15.87 | -1.39 | 41 | -0.12 | 2.52 | 2.64 | ||
| 2060 | 17.33 | 15.88 | -1.45 | 33 | -0.12 | 2.52 | 2.64 | ||
| 2061 | 17.39 | 15.88 | -1.51 | 25 | -0.12 | 2.52 | 2.64 | ||
| 2062 | 17.45 | 15.89 | -1.57 | 17 | -0.12 | 2.52 | 2.64 | ||
| 2063 | 17.51 | 15.89 | -1.62 | 8 | -0.11 | 2.52 | 2.63 | ||
| 2064 | 17.57 | 15.90 | -1.67 | ---- | -0.11 | 2.52 | 2.63 | ||
| 2065 | 17.62 | 15.90 | -1.72 | ---- | -0.11 | 2.52 | 2.63 | ||
| 2066 | 17.68 | 15.91 | -1.77 | ---- | -0.11 | 2.52 | 2.63 | ||
| 2067 | 17.73 | 15.91 | -1.82 | ---- | -0.10 | 2.52 | 2.63 | ||
| 2068 | 17.79 | 15.92 | -1.87 | ---- | -0.10 | 2.52 | 2.62 | ||
| 2069 | 17.85 | 15.92 | -1.92 | ---- | -0.10 | 2.52 | 2.62 | ||
| 2070 | 17.91 | 15.93 | -1.98 | ---- | -0.10 | 2.52 | 2.62 | ||
| 2071 | 17.96 | 15.93 | -2.03 | ---- | -0.09 | 2.53 | 2.62 | ||
| 2072 | 18.02 | 15.94 | -2.08 | ---- | -0.09 | 2.53 | 2.62 | ||
| 2073 | 18.07 | 15.94 | -2.13 | ---- | -0.09 | 2.53 | 2.62 | ||
| 2074 | 18.12 | 15.95 | -2.18 | ---- | -0.09 | 2.53 | 2.62 | ||
| 2075 | 18.17 | 15.95 | -2.22 | ---- | -0.09 | 2.53 | 2.61 | ||
| 2076 | 18.20 | 15.95 | -2.25 | ---- | -0.09 | 2.53 | 2.61 | ||
| 2077 | 18.23 | 15.96 | -2.27 | ---- | -0.08 | 2.53 | 2.61 | ||
| 2078 | 18.24 | 15.96 | -2.28 | ---- | -0.08 | 2.53 | 2.61 | ||
| 2079 | 18.24 | 15.96 | -2.28 | ---- | -0.08 | 2.53 | 2.61 | ||
| 2080 | 18.22 | 15.96 | -2.26 | ---- | -0.08 | 2.53 | 2.61 | ||
| 2081 | 18.20 | 15.96 | -2.24 | ---- | -0.08 | 2.53 | 2.61 | ||
| 2082 | 18.17 | 15.96 | -2.21 | ---- | -0.08 | 2.53 | 2.61 | ||
| 2083 | 18.13 | 15.96 | -2.17 | ---- | -0.08 | 2.53 | 2.61 | ||
| 2084 | 18.09 | 15.96 | -2.13 | ---- | -0.07 | 2.53 | 2.61 | ||
| 2085 | 18.03 | 15.95 | -2.08 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2086 | 17.97 | 15.95 | -2.02 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2087 | 17.91 | 15.95 | -1.96 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2088 | 17.84 | 15.94 | -1.90 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2089 | 17.78 | 15.94 | -1.84 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2090 | 17.72 | 15.94 | -1.79 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2091 | 17.67 | 15.93 | -1.74 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2092 | 17.64 | 15.93 | -1.70 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2093 | 17.61 | 15.93 | -1.68 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2094 | 17.59 | 15.93 | -1.66 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2095 | 17.58 | 15.93 | -1.65 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2096 | 17.58 | 15.93 | -1.65 | ---- | -0.07 | 2.54 | 2.61 | ||
| 2097 | 17.58 | 15.93 | -1.65 | ---- | -0.07 | 2.54 | 2.61 | ||
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 | 17.12% | 16.20% | -0.92% | 2063 | -0.08% | 2.42% | 2.50% | ||
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.