Proposed Provision: E2.14. Apply OASDI 12.4 percent payroll tax rate on earnings above $250,000 starting in 2027, and tax all earnings once the current-law taxable maximum exceeds $250,000. Provide benefit credit for earnings above the current-law taxable maximum that are subject to the payroll tax, using a secondary PIA formula. This secondary PIA formula involves: (1) an "AIME+" derived from annual earnings from each year after 2026 that were in excess of that year's current-law taxable maximum; and (2) a formula factor of 2 percent on this newly computed "AIME+".

OASDI Trust Fund Ratio
(assets as a percentage of annual expenditures)

Year Current Law Provision
2025169169
2026149149
2027131131
2028113125
202995120
203078115
203160110
203243106
203326102
2034999
2035-997
2036-2794
2037-4591
2038-6388
2039-8384
2040-10280
2041-12276
2042-14372
2043-16468
2044-18563
2045-20659
2046-22854
2047-25049
2048-27244
2049-29538
2050-31732
2051-34026
2052-36320
2053-38614
2054-4097
2055-433-1
2056-457-8
2057-481-17
2058-505-25
2059-530-34
2060-556-44
2061-582-54
2062-609-65
2063-636-75
2064-664-87
2065-692-98
2066-721-110
2067-750-123
2068-780-136
2069-810-149
2070-840-162
2071-871-176
2072-903-191
2073-935-205
2074-967-221
2075-1000-236
2076-1035-253
2077-1070-269
2078-1106-286
2079-1142-304
2080-1180-321
2081-1219-339
2082-1258-358
2083-1298-376
2084-1338-395
2085-1380-415
2086-1423-434
2087-1466-453
2088-1510-473
2089-1554-493
2090-1599-512
2091-1643-532
2092-1687-551
2093-1731-570
2094-1774-588
2095-1816-607
2096-1858-625
2097-1900-643
2098-1941-661
2099-1982-678
2100-2022-696
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