Description of Proposed Provision:
B4.2: Increase the number of years used to calculate benefits for retirees and survivors (but not for disabled workers) from 35 to 40, phased in over the years 2018-2026.

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
201713.4113.03-0.38
298
0.000.000.00
201813.4912.93-0.56
287
-0.00-0.000.00
201913.7012.95-0.75
273
-0.00-0.000.00
202013.8512.96-0.89
259
-0.01-0.000.01
202114.0012.99-1.01
245
-0.01-0.000.01
202214.2313.02-1.21
231
-0.02-0.000.02
202314.5113.05-1.46
216
-0.03-0.000.03
202414.7813.08-1.70
200
-0.05-0.000.05
202515.0313.10-1.93
184
-0.07-0.000.06
202615.2813.13-2.15
167
-0.09-0.000.09
202715.5013.14-2.35
151
-0.12-0.010.11
202815.7113.16-2.55
134
-0.15-0.010.14
202915.8913.17-2.72
117
-0.18-0.010.17
203016.0613.18-2.88
99
-0.21-0.010.20
203116.2113.19-3.02
82
-0.24-0.010.22
203216.3413.20-3.14
64
-0.27-0.010.25
203316.4413.21-3.23
46
-0.30-0.020.28
203416.5213.22-3.31
27
-0.32-0.020.31
203516.5813.22-3.36
7
-0.35-0.020.33
203616.6113.22-3.39
----
-0.37-0.020.35
203716.6213.23-3.40
----
-0.40-0.020.38
203816.6013.23-3.38
----
-0.42-0.020.40
203916.5613.22-3.34
----
-0.44-0.020.41
204016.5113.22-3.28
----
-0.46-0.030.43
204116.4413.22-3.22
----
-0.47-0.030.45
204216.3713.22-3.16
----
-0.49-0.030.46
204316.3013.21-3.09
----
-0.50-0.030.48
204416.2413.21-3.03
----
-0.52-0.030.49
204516.1913.21-2.98
----
-0.53-0.030.50
204616.1313.20-2.93
----
-0.54-0.030.51
204716.0913.20-2.89
----
-0.56-0.030.53
204816.0513.20-2.85
----
-0.57-0.030.54
204916.0113.20-2.81
----
-0.58-0.030.55
205015.9813.20-2.78
----
-0.59-0.030.56
205115.9613.20-2.76
----
-0.60-0.030.56
205215.9513.20-2.75
----
-0.61-0.030.57
205315.9613.20-2.76
----
-0.61-0.030.58
205415.9713.20-2.77
----
-0.62-0.040.58
205515.9913.20-2.79
----
-0.63-0.040.59
205616.0213.20-2.82
----
-0.63-0.040.60
205716.0613.21-2.85
----
-0.64-0.040.60
205816.1013.21-2.89
----
-0.64-0.040.60
205916.1413.21-2.93
----
-0.65-0.040.61
206016.1813.22-2.96
----
-0.65-0.040.61
206116.2213.22-3.00
----
-0.65-0.040.61
206216.2713.22-3.05
----
-0.65-0.040.62
206316.3113.22-3.09
----
-0.66-0.040.62
206416.3613.23-3.13
----
-0.66-0.040.62
206516.4013.23-3.17
----
-0.66-0.040.62
206616.4513.23-3.22
----
-0.66-0.040.63
206716.5013.24-3.27
----
-0.67-0.040.63
206816.5513.24-3.31
----
-0.67-0.040.63
206916.6013.24-3.36
----
-0.67-0.040.63
207016.6513.25-3.41
----
-0.67-0.040.63
207116.7013.25-3.45
----
-0.68-0.040.64
207216.7413.25-3.48
----
-0.68-0.040.64
207316.7713.25-3.52
----
-0.68-0.040.64
207416.8013.26-3.54
----
-0.68-0.040.64
207516.8213.26-3.57
----
-0.68-0.040.64
207616.8413.26-3.58
----
-0.68-0.040.64
207716.8513.26-3.59
----
-0.68-0.040.64
207816.8413.26-3.58
----
-0.68-0.040.64
207916.8413.26-3.58
----
-0.68-0.040.64
208016.8313.26-3.57
----
-0.68-0.040.64
208116.8313.26-3.57
----
-0.68-0.040.64
208216.8313.26-3.57
----
-0.68-0.040.64
208316.8413.26-3.58
----
-0.67-0.040.64
208416.8513.26-3.59
----
-0.67-0.040.64
208516.8813.26-3.62
----
-0.67-0.040.64
208616.9113.26-3.64
----
-0.68-0.040.64
208716.9413.26-3.68
----
-0.68-0.040.64
208816.9813.27-3.71
----
-0.68-0.040.64
208917.0213.27-3.75
----
-0.68-0.040.64
209017.0713.27-3.79
----
-0.68-0.040.64
209117.1113.28-3.84
----
-0.68-0.040.64
209217.1613.28-3.88
----
-0.68-0.040.65


Summarized Estimates

  Proposal   Change from Current Law
Years Cost
rate
Income
rate
Actuarial
balance

Year of reserve
depletion
1

Cost
rate
Income
rate
Actuarial
balance
2017-2091 16.20% 13.81% -2.39%
2035
-0.46% -0.03% 0.44%

1 Under current law, the year of Trust Fund reserve depletion is 2034.
Based on Intermediate Assumptions of the 2017 Trustees Report.