Description of Proposed Provision:
B7.11: Beginning in January 2020, eliminate the retirement earnings test for all beneficiaries under normal retirement age, including retired workers, aged spouses, aged widow(er)s, young spouses with a child in care, young surviving spouses with a child in care, and children.
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 |
|||
| 2017 | 13.41 | 13.03 | -0.38 | 298 | 0.00 | 0.00 | 0.00 | ||
| 2018 | 13.49 | 12.93 | -0.56 | 287 | 0.00 | 0.00 | 0.00 | ||
| 2019 | 13.70 | 12.95 | -0.75 | 273 | 0.00 | 0.00 | 0.00 | ||
| 2020 | 14.13 | 12.98 | -1.15 | 254 | 0.27 | 0.01 | -0.26 | ||
| 2021 | 14.27 | 13.01 | -1.26 | 239 | 0.25 | 0.01 | -0.24 | ||
| 2022 | 14.50 | 13.04 | -1.46 | 223 | 0.24 | 0.01 | -0.23 | ||
| 2023 | 14.78 | 13.06 | -1.72 | 207 | 0.23 | 0.01 | -0.22 | ||
| 2024 | 15.05 | 13.10 | -1.96 | 190 | 0.23 | 0.01 | -0.21 | ||
| 2025 | 15.32 | 13.12 | -2.20 | 173 | 0.22 | 0.01 | -0.20 | ||
| 2026 | 15.59 | 13.15 | -2.44 | 155 | 0.21 | 0.01 | -0.20 | ||
| 2027 | 15.82 | 13.16 | -2.65 | 137 | 0.20 | 0.01 | -0.19 | ||
| 2028 | 16.03 | 13.18 | -2.85 | 118 | 0.17 | 0.01 | -0.16 | ||
| 2029 | 16.21 | 13.19 | -3.02 | 100 | 0.15 | 0.01 | -0.14 | ||
| 2030 | 16.39 | 13.20 | -3.18 | 81 | 0.12 | 0.01 | -0.11 | ||
| 2031 | 16.55 | 13.21 | -3.33 | 62 | 0.10 | 0.01 | -0.09 | ||
| 2032 | 16.69 | 13.22 | -3.46 | 43 | 0.08 | 0.01 | -0.07 | ||
| 2033 | 16.81 | 13.23 | -3.57 | 23 | 0.07 | 0.01 | -0.06 | ||
| 2034 | 16.90 | 13.24 | -3.66 | 2 | 0.05 | 0.00 | -0.05 | ||
| 2035 | 16.96 | 13.24 | -3.72 | ---- | 0.04 | 0.00 | -0.03 | ||
| 2036 | 17.01 | 13.25 | -3.76 | ---- | 0.02 | 0.00 | -0.02 | ||
| 2037 | 17.02 | 13.25 | -3.77 | ---- | -0.00 | 0.00 | 0.00 | ||
| 2038 | 17.00 | 13.25 | -3.75 | ---- | -0.02 | 0.00 | 0.02 | ||
| 2039 | 16.97 | 13.25 | -3.72 | ---- | -0.03 | -0.00 | 0.03 | ||
| 2040 | 16.92 | 13.25 | -3.67 | ---- | -0.04 | -0.00 | 0.04 | ||
| 2041 | 16.87 | 13.24 | -3.62 | ---- | -0.05 | -0.00 | 0.04 | ||
| 2042 | 16.81 | 13.24 | -3.57 | ---- | -0.05 | -0.00 | 0.05 | ||
| 2043 | 16.75 | 13.24 | -3.51 | ---- | -0.05 | -0.00 | 0.05 | ||
| 2044 | 16.70 | 13.24 | -3.47 | ---- | -0.06 | -0.00 | 0.05 | ||
| 2045 | 16.66 | 13.23 | -3.42 | ---- | -0.06 | -0.00 | 0.06 | ||
| 2046 | 16.61 | 13.23 | -3.38 | ---- | -0.06 | -0.00 | 0.06 | ||
| 2047 | 16.58 | 13.23 | -3.34 | ---- | -0.07 | -0.00 | 0.07 | ||
| 2048 | 16.54 | 13.23 | -3.31 | ---- | -0.08 | -0.00 | 0.07 | ||
| 2049 | 16.51 | 13.23 | -3.28 | ---- | -0.08 | -0.00 | 0.08 | ||
| 2050 | 16.48 | 13.23 | -3.26 | ---- | -0.08 | -0.00 | 0.08 | ||
| 2051 | 16.47 | 13.23 | -3.24 | ---- | -0.08 | -0.00 | 0.08 | ||
| 2052 | 16.47 | 13.23 | -3.24 | ---- | -0.08 | -0.00 | 0.08 | ||
| 2053 | 16.49 | 13.23 | -3.26 | ---- | -0.08 | -0.00 | 0.08 | ||
| 2054 | 16.51 | 13.23 | -3.27 | ---- | -0.08 | -0.00 | 0.08 | ||
| 2055 | 16.54 | 13.23 | -3.30 | ---- | -0.08 | -0.00 | 0.08 | ||
| 2056 | 16.57 | 13.24 | -3.33 | ---- | -0.09 | -0.00 | 0.08 | ||
| 2057 | 16.60 | 13.24 | -3.37 | ---- | -0.09 | -0.00 | 0.09 | ||
| 2058 | 16.64 | 13.24 | -3.40 | ---- | -0.10 | -0.00 | 0.09 | ||
| 2059 | 16.68 | 13.25 | -3.44 | ---- | -0.10 | -0.00 | 0.10 | ||
| 2060 | 16.72 | 13.25 | -3.47 | ---- | -0.11 | -0.00 | 0.10 | ||
| 2061 | 16.76 | 13.25 | -3.51 | ---- | -0.11 | -0.00 | 0.11 | ||
| 2062 | 16.81 | 13.25 | -3.56 | ---- | -0.11 | -0.00 | 0.11 | ||
| 2063 | 16.86 | 13.26 | -3.60 | ---- | -0.11 | -0.01 | 0.11 | ||
| 2064 | 16.90 | 13.26 | -3.64 | ---- | -0.11 | -0.01 | 0.11 | ||
| 2065 | 16.95 | 13.26 | -3.69 | ---- | -0.12 | -0.01 | 0.11 | ||
| 2066 | 17.00 | 13.27 | -3.73 | ---- | -0.12 | -0.01 | 0.11 | ||
| 2067 | 17.05 | 13.27 | -3.78 | ---- | -0.12 | -0.01 | 0.11 | ||
| 2068 | 17.10 | 13.27 | -3.83 | ---- | -0.12 | -0.01 | 0.11 | ||
| 2069 | 17.15 | 13.28 | -3.88 | ---- | -0.12 | -0.01 | 0.11 | ||
| 2070 | 17.21 | 13.28 | -3.93 | ---- | -0.12 | -0.01 | 0.11 | ||
| 2071 | 17.25 | 13.28 | -3.97 | ---- | -0.12 | -0.01 | 0.12 | ||
| 2072 | 17.29 | 13.28 | -4.00 | ---- | -0.12 | -0.01 | 0.12 | ||
| 2073 | 17.32 | 13.29 | -4.03 | ---- | -0.13 | -0.01 | 0.12 | ||
| 2074 | 17.34 | 13.29 | -4.06 | ---- | -0.13 | -0.01 | 0.13 | ||
| 2075 | 17.36 | 13.29 | -4.07 | ---- | -0.14 | -0.01 | 0.13 | ||
| 2076 | 17.37 | 13.29 | -4.08 | ---- | -0.15 | -0.01 | 0.14 | ||
| 2077 | 17.38 | 13.29 | -4.08 | ---- | -0.15 | -0.01 | 0.14 | ||
| 2078 | 17.37 | 13.29 | -4.08 | ---- | -0.15 | -0.01 | 0.14 | ||
| 2079 | 17.37 | 13.29 | -4.08 | ---- | -0.15 | -0.01 | 0.14 | ||
| 2080 | 17.36 | 13.29 | -4.07 | ---- | -0.15 | -0.01 | 0.14 | ||
| 2081 | 17.36 | 13.29 | -4.07 | ---- | -0.15 | -0.01 | 0.14 | ||
| 2082 | 17.36 | 13.29 | -4.07 | ---- | -0.14 | -0.01 | 0.14 | ||
| 2083 | 17.37 | 13.29 | -4.08 | ---- | -0.14 | -0.01 | 0.13 | ||
| 2084 | 17.39 | 13.29 | -4.10 | ---- | -0.14 | -0.01 | 0.13 | ||
| 2085 | 17.42 | 13.29 | -4.12 | ---- | -0.13 | -0.01 | 0.13 | ||
| 2086 | 17.45 | 13.30 | -4.15 | ---- | -0.13 | -0.01 | 0.13 | ||
| 2087 | 17.49 | 13.30 | -4.19 | ---- | -0.13 | -0.01 | 0.12 | ||
| 2088 | 17.53 | 13.30 | -4.23 | ---- | -0.13 | -0.01 | 0.13 | ||
| 2089 | 17.57 | 13.30 | -4.27 | ---- | -0.13 | -0.01 | 0.13 | ||
| 2090 | 17.61 | 13.31 | -4.31 | ---- | -0.14 | -0.01 | 0.13 | ||
| 2091 | 17.66 | 13.31 | -4.35 | ---- | -0.14 | -0.01 | 0.13 | ||
| 2092 | 17.70 | 13.31 | -4.39 | ---- | -0.14 | -0.01 | 0.13 | ||
Summarized Estimates
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
| 2017-2091 | 16.64% | 13.84% | -2.80% | 2034 | -0.02% | -0.00% | 0.02% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2034. |
|||||||||
Based on Intermediate Assumptions of the 2017 Trustees Report.