Description of Proposed Provision:
H4: Increase the threshold for taxation of OASDI benefits to $50,000 for single filers and $100,000 for joint filers starting in 2020. Taxation of benefits revenues transferred to the Hospital Insurance (HI) Trust Fund would be the same as if the current-law computation applied.

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
201813.8112.64-1.17
288
0.000.000.00
201913.9512.87-1.08
272
0.000.000.00
202014.1212.69-1.44
256
0.00-0.20-0.20
202114.2712.72-1.56
238
0.00-0.20-0.20
202214.4412.74-1.69
220
0.00-0.20-0.20
202314.6212.76-1.86
202
0.00-0.20-0.20
202414.8012.79-2.01
183
0.00-0.20-0.20
202514.9812.81-2.18
165
0.00-0.20-0.20
202615.1612.90-2.26
146
0.00-0.23-0.23
202715.3712.93-2.44
129
0.00-0.23-0.23
202815.5812.95-2.63
110
0.00-0.22-0.22
202915.7912.97-2.82
92
0.00-0.22-0.22
203015.9812.99-2.99
74
0.00-0.21-0.21
203116.1613.01-3.15
55
0.00-0.21-0.21
203216.3213.03-3.29
36
0.00-0.20-0.20
203316.4513.04-3.41
17
0.00-0.19-0.19
203416.5713.06-3.51
----
0.00-0.19-0.19
203516.6513.07-3.58
----
0.00-0.18-0.18
203616.7213.09-3.64
----
0.00-0.17-0.17
203716.7813.10-3.69
----
0.00-0.17-0.17
203816.8213.11-3.71
----
0.00-0.16-0.16
203916.8313.12-3.71
----
0.00-0.15-0.15
204016.8313.13-3.70
----
0.00-0.15-0.15
204116.8113.13-3.68
----
0.00-0.14-0.14
204216.7813.14-3.64
----
0.00-0.13-0.13
204316.7413.15-3.59
----
0.00-0.13-0.13
204416.7013.15-3.54
----
0.00-0.12-0.12
204516.6613.16-3.50
----
0.00-0.11-0.11
204616.6313.16-3.47
----
0.00-0.11-0.11
204716.6013.17-3.44
----
0.00-0.10-0.10
204816.5813.17-3.40
----
0.00-0.10-0.10
204916.5613.18-3.38
----
0.00-0.09-0.09
205016.5413.18-3.36
----
0.00-0.08-0.09
205116.5313.19-3.35
----
0.00-0.08-0.08
205216.5313.19-3.34
----
0.00-0.08-0.08
205316.5413.20-3.34
----
0.00-0.07-0.07
205416.5613.21-3.36
----
0.00-0.07-0.07
205516.5913.21-3.38
----
0.00-0.06-0.06
205616.6213.22-3.40
----
0.00-0.06-0.06
205716.6713.23-3.44
----
0.00-0.06-0.06
205816.7113.23-3.48
----
0.00-0.05-0.05
205916.7613.24-3.52
----
0.00-0.05-0.05
206016.8113.25-3.56
----
0.00-0.05-0.05
206116.8613.25-3.60
----
0.00-0.04-0.04
206216.9113.26-3.65
----
0.00-0.04-0.04
206316.9613.27-3.70
----
0.00-0.04-0.04
206417.0113.27-3.74
----
0.00-0.04-0.04
206517.0713.28-3.79
----
0.00-0.03-0.04
206617.1313.29-3.84
----
0.00-0.03-0.03
206717.1813.29-3.89
----
0.00-0.03-0.03
206817.2413.30-3.95
----
0.00-0.03-0.03
206917.3013.30-4.00
----
0.00-0.03-0.03
207017.3613.31-4.06
----
0.00-0.03-0.03
207117.4213.31-4.11
----
0.00-0.02-0.02
207217.4713.32-4.15
----
0.00-0.02-0.02
207317.5113.32-4.19
----
0.00-0.02-0.02
207417.5513.33-4.23
----
0.00-0.02-0.02
207517.5913.33-4.25
----
0.00-0.02-0.02
207617.6113.34-4.28
----
0.00-0.02-0.02
207717.6213.34-4.29
----
0.00-0.02-0.02
207817.6313.34-4.29
----
0.00-0.02-0.02
207917.6213.34-4.28
----
0.00-0.02-0.02
208017.6113.34-4.27
----
0.00-0.01-0.01
208117.5913.34-4.25
----
0.00-0.01-0.01
208217.5713.34-4.23
----
0.00-0.01-0.01
208317.5513.34-4.21
----
0.00-0.01-0.01
208417.5413.34-4.20
----
0.00-0.01-0.01
208517.5313.34-4.19
----
0.00-0.01-0.01
208617.5313.34-4.19
----
0.00-0.01-0.01
208717.5313.34-4.19
----
0.00-0.01-0.01
208817.5513.34-4.20
----
0.00-0.01-0.01
208917.5713.34-4.22
----
0.00-0.01-0.01
209017.6013.35-4.25
----
0.00-0.01-0.01
209117.6413.35-4.29
----
0.00-0.01-0.01
209217.6813.35-4.33
----
0.00-0.01-0.01
209317.7213.36-4.37
----
0.00-0.01-0.01


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
2018-2092 16.69% 13.74% -2.94%
2033
0.00% -0.10% -0.10%

1 Under current law, the year of Trust Fund reserve depletion is 2034.
Based on Intermediate Assumptions of the 2018 Trustees Report.