Description of Proposed Provision:
E2.2: Eliminate the taxable maximum in years 2019 and later, and apply full 12.4 percent payroll tax rate to all earnings. Provide benefit credit for earnings above the current-law taxable maximum.

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
201913.9515.061.11
272
0.002.192.19
202014.1215.251.13
271
-0.002.362.36
202114.2715.281.01
270
-0.002.362.36
202214.4415.300.86
268
0.002.362.35
202314.6315.320.69
265
0.012.352.34
202414.8215.340.52
261
0.022.352.33
202515.0115.350.34
257
0.032.342.31
202615.1915.460.26
252
0.042.322.29
202715.4115.470.05
247
0.052.312.27
202815.6415.49-0.16
242
0.062.312.25
202915.8715.51-0.36
237
0.072.322.24
203016.0715.52-0.55
232
0.092.322.23
203116.2715.54-0.73
227
0.112.322.22
203216.4415.55-0.89
222
0.122.322.20
203316.5915.57-1.03
217
0.142.332.19
203416.7215.58-1.14
212
0.162.332.17
203516.8215.59-1.24
206
0.172.332.16
203616.9115.60-1.32
200
0.192.342.15
203716.9915.60-1.39
194
0.212.342.13
203817.0515.61-1.44
188
0.232.342.11
203917.0815.62-1.46
181
0.252.342.10
204017.0915.62-1.47
175
0.262.352.08
204117.0915.62-1.47
168
0.282.352.07
204217.0715.63-1.45
162
0.302.352.06
204317.0515.63-1.42
156
0.322.362.04
204417.0315.63-1.40
149
0.332.362.03
204517.0115.63-1.38
143
0.352.362.01
204617.0015.63-1.36
137
0.372.362.00
204716.9915.64-1.35
130
0.392.371.98
204816.9815.64-1.34
124
0.402.371.97
204916.9815.64-1.33
117
0.422.371.95
205016.9815.64-1.34
111
0.442.381.94
205116.9915.65-1.34
104
0.452.381.92
205217.0115.65-1.36
98
0.472.381.91
205317.0315.66-1.38
91
0.492.381.90
205417.0715.66-1.41
84
0.512.391.88
205517.1115.67-1.45
76
0.522.391.87
205617.1615.67-1.49
69
0.542.391.85
205717.2215.68-1.54
61
0.562.401.84
205817.2915.69-1.60
52
0.572.401.82
205917.3515.69-1.66
44
0.592.401.81
206017.4115.70-1.72
35
0.612.401.80
206117.4815.71-1.77
26
0.622.411.79
206217.5415.71-1.83
16
0.642.411.77
206317.6115.72-1.89
6
0.652.411.76
206417.6715.73-1.95
----
0.662.411.75
206517.7415.73-2.01
----
0.672.421.75
206617.8115.74-2.07
----
0.682.421.74
206717.8815.74-2.13
----
0.692.421.73
206817.9515.75-2.19
----
0.702.421.72
206918.0215.76-2.26
----
0.712.431.71
207018.0915.76-2.32
----
0.722.431.71
207118.1515.77-2.38
----
0.732.431.70
207218.2115.78-2.43
----
0.742.431.70
207318.2615.78-2.48
----
0.742.441.69
207418.3015.79-2.52
----
0.752.441.69
207518.3415.79-2.55
----
0.762.441.68
207618.3715.79-2.58
----
0.762.441.68
207718.3915.80-2.59
----
0.762.441.68
207818.3915.80-2.59
----
0.772.441.68
207918.3915.80-2.59
----
0.772.451.68
208018.3815.80-2.57
----
0.772.451.68
208118.3615.80-2.56
----
0.772.451.68
208218.3415.80-2.54
----
0.772.451.68
208318.3315.80-2.52
----
0.772.451.68
208418.3115.80-2.51
----
0.772.451.68
208518.3015.80-2.50
----
0.772.451.68
208618.3015.81-2.50
----
0.772.451.68
208718.3115.81-2.50
----
0.772.461.68
208818.3215.81-2.51
----
0.772.461.68
208918.3415.81-2.53
----
0.782.461.68
209018.3815.82-2.56
----
0.782.461.68
209118.4215.82-2.60
----
0.782.461.68
209218.4615.82-2.64
----
0.782.461.68
209318.5115.83-2.68
----
0.782.461.68


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 17.10% 16.19% -0.91%
2063
0.42% 2.35% 1.93%

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