Detailed Single Year Tables
Description of Proposed Provision:
E3.16: Beginning in 2025, apply 4 percent payroll tax rate on earnings above the wage-indexed equivalent of $400,000 in 2015 (about $589,500 in 2025), with the threshold wage-indexed after 2025. Provide benefit credit for additional earnings taxed, using a secondary PIA formula. This secondary PIA formula involves: (1) an "AIME+" derived from annual earnings taxed only between 2015 wage-indexed equivalents of $400,000 and $500,000, or about $589,500 and $736,800 in 2025 (with thresholds wage-indexed after 2025); and (2) a formula factor of 2 percent on this newly computed "AIME+".
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 |
|||
2023 | 14.53 | 13.29 | -1.24 | 204 | 0.00 | 0.00 | 0.00 | ||
2024 | 14.87 | 12.89 | -1.98 | 187 | 0.00 | 0.00 | 0.00 | ||
2025 | 15.04 | 13.26 | -1.79 | 168 | 0.00 | 0.28 | 0.28 | ||
2026 | 15.23 | 13.39 | -1.84 | 151 | -0.00 | 0.31 | 0.31 | ||
2027 | 15.38 | 13.41 | -1.97 | 135 | -0.00 | 0.31 | 0.31 | ||
2028 | 15.55 | 13.45 | -2.11 | 119 | -0.00 | 0.32 | 0.32 | ||
2029 | 15.72 | 13.48 | -2.24 | 103 | -0.00 | 0.32 | 0.32 | ||
2030 | 15.87 | 13.51 | -2.36 | 87 | -0.00 | 0.32 | 0.32 | ||
2031 | 16.00 | 13.54 | -2.46 | 71 | -0.00 | 0.32 | 0.33 | ||
2032 | 16.14 | 13.56 | -2.58 | 56 | -0.00 | 0.33 | 0.33 | ||
2033 | 16.27 | 13.58 | -2.69 | 39 | -0.00 | 0.33 | 0.33 | ||
2034 | 16.38 | 13.59 | -2.79 | 23 | -0.00 | 0.33 | 0.33 | ||
2035 | 16.47 | 13.59 | -2.88 | 7 | -0.00 | 0.33 | 0.33 | ||
2036 | 16.55 | 13.60 | -2.95 | ---- | -0.01 | 0.33 | 0.33 | ||
2037 | 16.63 | 13.61 | -3.02 | ---- | -0.01 | 0.33 | 0.33 | ||
2038 | 16.69 | 13.62 | -3.07 | ---- | -0.01 | 0.33 | 0.33 | ||
2039 | 16.74 | 13.62 | -3.12 | ---- | -0.01 | 0.33 | 0.33 | ||
2040 | 16.77 | 13.62 | -3.15 | ---- | -0.01 | 0.33 | 0.34 | ||
2041 | 16.80 | 13.63 | -3.17 | ---- | -0.01 | 0.33 | 0.34 | ||
2042 | 16.81 | 13.63 | -3.18 | ---- | -0.01 | 0.33 | 0.34 | ||
2043 | 16.82 | 13.63 | -3.19 | ---- | -0.01 | 0.33 | 0.34 | ||
2044 | 16.84 | 13.63 | -3.20 | ---- | -0.01 | 0.33 | 0.34 | ||
2045 | 16.85 | 13.63 | -3.22 | ---- | -0.01 | 0.33 | 0.34 | ||
2046 | 16.87 | 13.64 | -3.23 | ---- | -0.01 | 0.33 | 0.34 | ||
2047 | 16.89 | 13.64 | -3.25 | ---- | -0.01 | 0.33 | 0.34 | ||
2048 | 16.92 | 13.64 | -3.27 | ---- | -0.01 | 0.33 | 0.34 | ||
2049 | 16.94 | 13.65 | -3.30 | ---- | -0.01 | 0.33 | 0.34 | ||
2050 | 16.98 | 13.65 | -3.33 | ---- | -0.01 | 0.33 | 0.34 | ||
2051 | 17.01 | 13.65 | -3.36 | ---- | -0.01 | 0.33 | 0.34 | ||
2052 | 17.05 | 13.65 | -3.39 | ---- | -0.01 | 0.33 | 0.34 | ||
2053 | 17.10 | 13.66 | -3.44 | ---- | -0.01 | 0.33 | 0.34 | ||
2054 | 17.15 | 13.66 | -3.49 | ---- | -0.01 | 0.33 | 0.34 | ||
2055 | 17.22 | 13.67 | -3.55 | ---- | -0.01 | 0.33 | 0.34 | ||
2056 | 17.29 | 13.67 | -3.62 | ---- | -0.01 | 0.33 | 0.34 | ||
2057 | 17.37 | 13.68 | -3.68 | ---- | -0.01 | 0.33 | 0.34 | ||
2058 | 17.45 | 13.69 | -3.76 | ---- | -0.01 | 0.33 | 0.34 | ||
2059 | 17.53 | 13.69 | -3.83 | ---- | -0.01 | 0.33 | 0.34 | ||
2060 | 17.61 | 13.70 | -3.90 | ---- | -0.01 | 0.33 | 0.34 | ||
2061 | 17.68 | 13.71 | -3.97 | ---- | -0.01 | 0.33 | 0.34 | ||
2062 | 17.75 | 13.71 | -4.04 | ---- | -0.01 | 0.33 | 0.34 | ||
2063 | 17.81 | 13.72 | -4.10 | ---- | -0.01 | 0.33 | 0.34 | ||
2064 | 17.87 | 13.72 | -4.15 | ---- | -0.01 | 0.33 | 0.34 | ||
2065 | 17.93 | 13.73 | -4.21 | ---- | -0.01 | 0.33 | 0.34 | ||
2066 | 17.99 | 13.73 | -4.26 | ---- | -0.01 | 0.33 | 0.34 | ||
2067 | 18.05 | 13.74 | -4.31 | ---- | -0.01 | 0.33 | 0.34 | ||
2068 | 18.11 | 13.74 | -4.36 | ---- | -0.01 | 0.33 | 0.34 | ||
2069 | 18.16 | 13.75 | -4.42 | ---- | -0.01 | 0.33 | 0.34 | ||
2070 | 18.22 | 13.75 | -4.47 | ---- | -0.01 | 0.33 | 0.34 | ||
2071 | 18.27 | 13.75 | -4.52 | ---- | -0.01 | 0.33 | 0.34 | ||
2072 | 18.32 | 13.76 | -4.56 | ---- | -0.01 | 0.33 | 0.34 | ||
2073 | 18.37 | 13.76 | -4.61 | ---- | -0.01 | 0.33 | 0.34 | ||
2074 | 18.42 | 13.77 | -4.65 | ---- | -0.01 | 0.33 | 0.34 | ||
2075 | 18.45 | 13.77 | -4.68 | ---- | -0.01 | 0.33 | 0.34 | ||
2076 | 18.48 | 13.77 | -4.71 | ---- | -0.01 | 0.33 | 0.34 | ||
2077 | 18.49 | 13.77 | -4.72 | ---- | -0.01 | 0.33 | 0.34 | ||
2078 | 18.50 | 13.78 | -4.72 | ---- | -0.01 | 0.33 | 0.34 | ||
2079 | 18.48 | 13.78 | -4.71 | ---- | -0.01 | 0.33 | 0.34 | ||
2080 | 18.46 | 13.77 | -4.68 | ---- | -0.01 | 0.33 | 0.34 | ||
2081 | 18.43 | 13.77 | -4.65 | ---- | -0.01 | 0.33 | 0.34 | ||
2082 | 18.39 | 13.77 | -4.61 | ---- | -0.01 | 0.33 | 0.34 | ||
2083 | 18.34 | 13.77 | -4.57 | ---- | -0.01 | 0.33 | 0.34 | ||
2084 | 18.28 | 13.77 | -4.52 | ---- | -0.01 | 0.33 | 0.34 | ||
2085 | 18.22 | 13.76 | -4.46 | ---- | -0.01 | 0.33 | 0.34 | ||
2086 | 18.15 | 13.76 | -4.40 | ---- | -0.01 | 0.33 | 0.34 | ||
2087 | 18.08 | 13.75 | -4.33 | ---- | -0.01 | 0.33 | 0.34 | ||
2088 | 18.01 | 13.75 | -4.26 | ---- | -0.01 | 0.33 | 0.34 | ||
2089 | 17.95 | 13.74 | -4.20 | ---- | -0.01 | 0.33 | 0.34 | ||
2090 | 17.89 | 13.74 | -4.15 | ---- | -0.01 | 0.33 | 0.33 | ||
2091 | 17.83 | 13.74 | -4.10 | ---- | -0.01 | 0.33 | 0.33 | ||
2092 | 17.79 | 13.73 | -4.06 | ---- | -0.01 | 0.33 | 0.33 | ||
2093 | 17.76 | 13.73 | -4.03 | ---- | -0.01 | 0.33 | 0.33 | ||
2094 | 17.75 | 13.73 | -4.01 | ---- | -0.01 | 0.33 | 0.33 | ||
2095 | 17.74 | 13.73 | -4.01 | ---- | -0.01 | 0.33 | 0.33 | ||
2096 | 17.74 | 13.73 | -4.01 | ---- | -0.01 | 0.33 | 0.33 | ||
2097 | 17.75 | 13.73 | -4.01 | ---- | -0.01 | 0.33 | 0.33 | ||
2098 | 17.76 | 13.73 | -4.03 | ---- | -0.01 | 0.33 | 0.33 |
Summarized Estimates
Proposal | Change from Current Law | ||||||||
---|---|---|---|---|---|---|---|---|---|
Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
2023-2097 | 17.37% | 14.09% | -3.28% | 2035 | -0.01% | 0.32% | 0.32% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2034. |
Based on Intermediate Assumptions of the 2023 Trustees Report.