Description of Proposed Provision:
A6: Starting December 2020, compute the COLA using the Consumer Price Index for the Elderly (CPI-E). We estimate this new computation will increase the annual COLA by about 0.2 percentage point, on average.
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 |
|||
| 2018 | 13.81 | 12.64 | -1.17 | 288 | 0.00 | 0.00 | 0.00 | ||
| 2019 | 13.95 | 12.87 | -1.08 | 272 | 0.00 | 0.00 | 0.00 | ||
| 2020 | 14.12 | 12.89 | -1.23 | 256 | 0.00 | 0.00 | 0.00 | ||
| 2021 | 14.30 | 12.92 | -1.38 | 239 | 0.03 | 0.00 | -0.03 | ||
| 2022 | 14.49 | 12.95 | -1.54 | 222 | 0.05 | 0.00 | -0.05 | ||
| 2023 | 14.70 | 12.97 | -1.73 | 204 | 0.08 | 0.00 | -0.08 | ||
| 2024 | 14.91 | 13.00 | -1.92 | 186 | 0.11 | 0.00 | -0.11 | ||
| 2025 | 15.12 | 13.01 | -2.11 | 168 | 0.14 | 0.01 | -0.13 | ||
| 2026 | 15.32 | 13.14 | -2.18 | 150 | 0.17 | 0.01 | -0.16 | ||
| 2027 | 15.56 | 13.16 | -2.39 | 132 | 0.19 | 0.01 | -0.18 | ||
| 2028 | 15.80 | 13.18 | -2.62 | 114 | 0.22 | 0.01 | -0.21 | ||
| 2029 | 16.04 | 13.20 | -2.83 | 96 | 0.24 | 0.01 | -0.23 | ||
| 2030 | 16.25 | 13.22 | -3.03 | 78 | 0.27 | 0.01 | -0.25 | ||
| 2031 | 16.45 | 13.23 | -3.22 | 59 | 0.29 | 0.02 | -0.28 | ||
| 2032 | 16.63 | 13.24 | -3.39 | 40 | 0.31 | 0.02 | -0.30 | ||
| 2033 | 16.79 | 13.26 | -3.53 | 21 | 0.33 | 0.02 | -0.32 | ||
| 2034 | 16.92 | 13.27 | -3.65 | 0 | 0.35 | 0.02 | -0.34 | ||
| 2035 | 17.02 | 13.27 | -3.75 | ---- | 0.37 | 0.02 | -0.35 | ||
| 2036 | 17.11 | 13.28 | -3.83 | ---- | 0.39 | 0.02 | -0.37 | ||
| 2037 | 17.19 | 13.29 | -3.90 | ---- | 0.41 | 0.02 | -0.38 | ||
| 2038 | 17.24 | 13.29 | -3.95 | ---- | 0.42 | 0.02 | -0.40 | ||
| 2039 | 17.27 | 13.30 | -3.97 | ---- | 0.43 | 0.02 | -0.41 | ||
| 2040 | 17.27 | 13.30 | -3.98 | ---- | 0.45 | 0.02 | -0.42 | ||
| 2041 | 17.27 | 13.30 | -3.97 | ---- | 0.46 | 0.03 | -0.43 | ||
| 2042 | 17.24 | 13.30 | -3.94 | ---- | 0.46 | 0.03 | -0.44 | ||
| 2043 | 17.21 | 13.30 | -3.91 | ---- | 0.47 | 0.03 | -0.44 | ||
| 2044 | 17.17 | 13.30 | -3.88 | ---- | 0.48 | 0.03 | -0.45 | ||
| 2045 | 17.14 | 13.30 | -3.85 | ---- | 0.48 | 0.03 | -0.45 | ||
| 2046 | 17.11 | 13.30 | -3.82 | ---- | 0.49 | 0.03 | -0.46 | ||
| 2047 | 17.09 | 13.30 | -3.80 | ---- | 0.49 | 0.03 | -0.46 | ||
| 2048 | 17.07 | 13.30 | -3.77 | ---- | 0.49 | 0.03 | -0.46 | ||
| 2049 | 17.05 | 13.30 | -3.75 | ---- | 0.49 | 0.03 | -0.47 | ||
| 2050 | 17.04 | 13.30 | -3.74 | ---- | 0.50 | 0.03 | -0.47 | ||
| 2051 | 17.03 | 13.30 | -3.73 | ---- | 0.50 | 0.03 | -0.47 | ||
| 2052 | 17.03 | 13.30 | -3.73 | ---- | 0.50 | 0.03 | -0.47 | ||
| 2053 | 17.04 | 13.30 | -3.74 | ---- | 0.50 | 0.03 | -0.47 | ||
| 2054 | 17.06 | 13.30 | -3.76 | ---- | 0.50 | 0.03 | -0.47 | ||
| 2055 | 17.09 | 13.30 | -3.79 | ---- | 0.50 | 0.03 | -0.47 | ||
| 2056 | 17.13 | 13.31 | -3.82 | ---- | 0.50 | 0.03 | -0.47 | ||
| 2057 | 17.17 | 13.31 | -3.86 | ---- | 0.50 | 0.03 | -0.47 | ||
| 2058 | 17.22 | 13.32 | -3.90 | ---- | 0.50 | 0.03 | -0.48 | ||
| 2059 | 17.27 | 13.32 | -3.95 | ---- | 0.51 | 0.03 | -0.48 | ||
| 2060 | 17.32 | 13.32 | -3.99 | ---- | 0.51 | 0.03 | -0.48 | ||
| 2061 | 17.37 | 13.33 | -4.04 | ---- | 0.51 | 0.03 | -0.48 | ||
| 2062 | 17.42 | 13.33 | -4.09 | ---- | 0.51 | 0.03 | -0.48 | ||
| 2063 | 17.48 | 13.34 | -4.14 | ---- | 0.51 | 0.03 | -0.49 | ||
| 2064 | 17.53 | 13.34 | -4.19 | ---- | 0.52 | 0.03 | -0.49 | ||
| 2065 | 17.59 | 13.34 | -4.24 | ---- | 0.52 | 0.03 | -0.49 | ||
| 2066 | 17.65 | 13.35 | -4.30 | ---- | 0.52 | 0.03 | -0.49 | ||
| 2067 | 17.71 | 13.35 | -4.36 | ---- | 0.53 | 0.03 | -0.50 | ||
| 2068 | 17.77 | 13.36 | -4.42 | ---- | 0.53 | 0.03 | -0.50 | ||
| 2069 | 17.84 | 13.36 | -4.47 | ---- | 0.53 | 0.03 | -0.50 | ||
| 2070 | 17.90 | 13.37 | -4.53 | ---- | 0.54 | 0.03 | -0.51 | ||
| 2071 | 17.96 | 13.37 | -4.59 | ---- | 0.54 | 0.03 | -0.51 | ||
| 2072 | 18.01 | 13.37 | -4.64 | ---- | 0.54 | 0.03 | -0.51 | ||
| 2073 | 18.06 | 13.38 | -4.68 | ---- | 0.55 | 0.03 | -0.51 | ||
| 2074 | 18.10 | 13.38 | -4.72 | ---- | 0.55 | 0.03 | -0.52 | ||
| 2075 | 18.14 | 13.38 | -4.75 | ---- | 0.55 | 0.03 | -0.52 | ||
| 2076 | 18.16 | 13.39 | -4.78 | ---- | 0.55 | 0.03 | -0.52 | ||
| 2077 | 18.18 | 13.39 | -4.79 | ---- | 0.56 | 0.03 | -0.52 | ||
| 2078 | 18.18 | 13.39 | -4.80 | ---- | 0.56 | 0.03 | -0.53 | ||
| 2079 | 18.18 | 13.39 | -4.79 | ---- | 0.56 | 0.03 | -0.53 | ||
| 2080 | 18.17 | 13.39 | -4.78 | ---- | 0.56 | 0.03 | -0.53 | ||
| 2081 | 18.15 | 13.39 | -4.76 | ---- | 0.56 | 0.03 | -0.53 | ||
| 2082 | 18.14 | 13.39 | -4.75 | ---- | 0.56 | 0.03 | -0.53 | ||
| 2083 | 18.12 | 13.39 | -4.73 | ---- | 0.56 | 0.03 | -0.53 | ||
| 2084 | 18.11 | 13.38 | -4.72 | ---- | 0.57 | 0.03 | -0.53 | ||
| 2085 | 18.10 | 13.38 | -4.71 | ---- | 0.57 | 0.03 | -0.53 | ||
| 2086 | 18.09 | 13.38 | -4.71 | ---- | 0.57 | 0.03 | -0.53 | ||
| 2087 | 18.10 | 13.38 | -4.72 | ---- | 0.57 | 0.03 | -0.53 | ||
| 2088 | 18.11 | 13.38 | -4.73 | ---- | 0.57 | 0.03 | -0.53 | ||
| 2089 | 18.14 | 13.39 | -4.75 | ---- | 0.57 | 0.03 | -0.54 | ||
| 2090 | 18.17 | 13.39 | -4.78 | ---- | 0.57 | 0.03 | -0.54 | ||
| 2091 | 18.21 | 13.39 | -4.82 | ---- | 0.57 | 0.03 | -0.54 | ||
| 2092 | 18.25 | 13.39 | -4.86 | ---- | 0.57 | 0.03 | -0.54 | ||
| 2093 | 18.30 | 13.40 | -4.90 | ---- | 0.57 | 0.03 | -0.54 | ||
Summarized Estimates
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
| 2018-2092 | 17.10% | 13.87% | -3.24% | 2034 | 0.42% | 0.02% | -0.39% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2034. |
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Based on Intermediate Assumptions of the 2018 Trustees Report.