Proposed Provision: H6. Eliminate federal income taxation of OASDI benefits that is credited to the OASI and DI Trust Funds for 2054 and later. Phase out OASDI taxation of benefits by increasing relevant "income" thresholds from 2045 through 2053 as follows, for single/joint tax filers: (a) 2045 = $32,500/$65,000; (b) 2046 = $40,000/$80,000; (c) 2047 = $47,500/$95,000; (d) 2048 = $55,000/$110,000; (e) 2049 = $62,500/$125,000; (f) 2050 = $70,000/$140,000; (g) 2051 = $77,500/$155,000; (h) 2052 = $85,000/$170,000; and (i) 2053 = $92,500/$185,000. Taxation of benefits revenues for the Hospital Insurance (HI) Trust Fund would be maintained at the same level as if the current-law computation applied.

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

Year Current Law Provision
2017298298
2018287287
2019273273
2020259259
2021245245
2022230230
2023215215
2024199199
2025182182
2026165165
2027148148
2028130130
2029112112
20309494
20317575
20325656
20333737
20341616
2035-4-4
2036-26-26
2037-47-47
2038-70-70
2039-92-92
2040-115-115
2041-138-138
2042-161-161
2043-184-184
2044-207-207
2045-230-230
2046-253-254
2047-276-277
2048-300-301
2049-323-326
2050-346-350
2051-370-375
2052-393-400
2053-417-426
2054-440-451
2055-464-480
2056-487-509
2057-511-538
2058-536-568
2059-560-598
2060-585-628
2061-611-659
2062-637-691
2063-663-723
2064-690-755
2065-717-788
2066-745-821
2067-772-855
2068-801-889
2069-829-924
2070-858-959
2071-888-994
2072-918-1031
2073-949-1068
2074-981-1106
2075-1014-1145
2076-1047-1185
2077-1082-1226
2078-1117-1269
2079-1153-1312
2080-1190-1355
2081-1227-1399
2082-1264-1443
2083-1300-1487
2084-1337-1531
2085-1374-1574
2086-1410-1618
2087-1446-1661
2088-1483-1705
2089-1520-1749
2090-1557-1793
2091-1595-1838
2092-1633-1884
back