Proposed Provision: Beginning in 2016, apply 4 percent payroll tax rate on earnings above the wage-indexed equivalent of $400,000 in 2015, with the threshold wage-indexed after 2016. 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; 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 Present Law Provision
2014320320
2015306306
2016292292
2017277279
2018262267
2019248255
2020233242
2021219229
2022203216
2023187202
2024171188
2025154172
2026137157
2027119141
2028101125
202983109
20306491
20314473
20322355
2033236
2034-2016
2035-42-4
2036-65-24
2037-88-45
2038-112-67
2039-136-88
2040-160-110
2041-185-132
2042-210-154
2043-235-176
2044-260-199
2045-285-221
2046-310-244
2047-336-267
2048-362-290
2049-388-313
2050-415-337
2051-442-361
2052-468-385
2053-495-409
2054-523-433
2055-550-458
2056-578-483
2057-606-508
2058-635-534
2059-664-560
2060-694-587
2061-725-614
2062-756-642
2063-787-670
2064-819-699
2065-852-729
2066-885-758
2067-918-788
2068-952-819
2069-987-850
2070-1022-882
2071-1057-914
2072-1094-948
2073-1132-982
2074-1171-1017
2075-1210-1053
2076-1251-1090
2077-1293-1127
2078-1335-1166
2079-1378-1204
2080-1421-1243
2081-1464-1282
2082-1507-1321
2083-1550-1360
2084-1593-1399
2085-1636-1438
2086-1680-1478
2087-1724-1518
2088-1769-1559
2089-1814-1600
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