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Summary Measures and Graphs

Description of Proposed Provision:
Starting with the December 2012 cost-of-living adjustment (COLA), compute the COLA based on changes in the Consumer Price Index for the Elderly (CPI-E). Use of this CPI series is estimated to result in an annual COLA that is 0.2 percentage point higher, on average, than using the consumer price index for urban wage and clerical workers (CPI-W).

Estimates based on the intermediate assumptions of the 2010 Trustees Report

Summary Measures
[As a percentage of taxable payroll]
Present Law Change from present law Results with this provision
Long-range
actuarial
balance
Annual
balance in
75th year
Long-range
actuarial
balance
Annual
balance in
75th year
Long-range
actuarial
balance
Annual
balance in
75th year
-1.92 -4.12 -0.34 -0.49 -2.26 -4.61


graph of OASDI cost rates and income rates by year, under
                 present law and provision. click on graph to view underlying
                 data. graph of OASDI trust fund ratio by year, under present law
                 and provision. click on graph to view underlying data.
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Last reviewed or modified February 8, 2011