Description of Proposed Provision:
C2.8: Starting in 2022, convert all disabled-worker beneficiaries to retired-worker status upon attainment of their earliest eligibility age (EEA) rather than their normal retirement age (NRA). After conversion, apply the early retirement reduction for retirement at EEA (currently 30 percent for those age 62 in 2022) phased in over 40 years.

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
201913.9112.85-1.06
273
0.000.000.00
202013.9412.87-1.07
260
0.000.000.00
202114.0912.90-1.19
245
-0.00-0.000.00
202214.2212.92-1.30
229
-0.010.000.01
202314.3712.94-1.43
214
-0.030.000.03
202414.5312.98-1.56
198
-0.050.010.06
202514.7013.00-1.71
182
-0.080.010.09
202614.8813.13-1.75
166
-0.110.010.12
202715.0613.15-1.92
150
-0.130.020.14
202815.2913.19-2.10
135
-0.140.010.15
202915.4813.20-2.27
119
-0.150.010.16
203015.6513.22-2.43
103
-0.160.010.17
203115.8013.23-2.57
87
-0.170.010.18
203215.9313.24-2.69
71
-0.180.010.19
203316.0513.25-2.80
55
-0.190.010.20
203416.1313.26-2.87
38
-0.200.010.21
203516.1913.26-2.93
21
-0.210.010.22
203616.2413.27-2.98
4
-0.220.010.22
203716.2913.27-3.02
----
-0.220.010.23
203816.3313.28-3.06
----
-0.230.010.24
203916.3613.28-3.08
----
-0.240.010.25
204016.3613.28-3.08
----
-0.250.010.26
204116.3513.28-3.07
----
-0.260.010.27
204216.3113.28-3.03
----
-0.280.010.28
204316.2713.28-2.99
----
-0.290.010.30
204416.2213.28-2.94
----
-0.300.010.31
204516.1713.28-2.89
----
-0.320.000.32
204616.1213.27-2.85
----
-0.330.000.34
204716.0813.27-2.81
----
-0.350.000.35
204816.0513.27-2.77
----
-0.360.000.36
204916.0113.27-2.74
----
-0.370.000.37
205015.9813.27-2.71
----
-0.390.000.39
205115.9613.27-2.69
----
-0.400.000.40
205215.9513.27-2.67
----
-0.42-0.000.42
205315.9413.27-2.66
----
-0.44-0.000.43
205415.9313.27-2.66
----
-0.45-0.000.45
205515.9413.28-2.66
----
-0.47-0.000.47
205615.9613.28-2.68
----
-0.49-0.000.48
205715.9813.28-2.70
----
-0.50-0.000.50
205816.0113.28-2.73
----
-0.52-0.010.51
205916.0513.29-2.76
----
-0.53-0.010.52
206016.0813.29-2.79
----
-0.54-0.010.54
206116.1213.29-2.83
----
-0.56-0.010.55
206216.1613.30-2.86
----
-0.57-0.010.56
206316.2013.30-2.90
----
-0.59-0.010.58
206416.2413.30-2.94
----
-0.60-0.010.59
206516.2813.31-2.98
----
-0.62-0.010.60
206616.3313.31-3.02
----
-0.63-0.010.62
206716.3713.31-3.06
----
-0.64-0.010.63
206816.4213.32-3.10
----
-0.66-0.010.64
206916.4713.32-3.15
----
-0.67-0.010.65
207016.5113.32-3.19
----
-0.68-0.010.67
207116.5613.33-3.23
----
-0.69-0.020.68
207216.6013.33-3.27
----
-0.70-0.020.69
207316.6413.33-3.30
----
-0.71-0.020.69
207416.6813.34-3.34
----
-0.72-0.020.70
207516.7113.34-3.37
----
-0.72-0.020.70
207616.7313.34-3.39
----
-0.73-0.020.71
207716.7513.34-3.41
----
-0.73-0.020.71
207816.7513.34-3.41
----
-0.73-0.020.71
207916.7413.34-3.40
----
-0.74-0.020.72
208016.7313.34-3.39
----
-0.74-0.020.72
208116.7113.34-3.37
----
-0.74-0.020.72
208216.6813.34-3.35
----
-0.74-0.020.72
208316.6613.34-3.33
----
-0.74-0.020.72
208416.6413.33-3.30
----
-0.74-0.020.72
208516.6113.33-3.28
----
-0.75-0.020.72
208616.5913.33-3.26
----
-0.75-0.020.73
208716.5713.33-3.24
----
-0.76-0.020.74
208816.5613.33-3.23
----
-0.76-0.020.74
208916.5713.33-3.23
----
-0.77-0.020.75
209016.5813.33-3.25
----
-0.78-0.020.76
209116.6113.34-3.27
----
-0.78-0.020.76
209216.6413.34-3.30
----
-0.79-0.020.77
209316.6813.34-3.34
----
-0.79-0.020.77
209416.7313.34-3.38
----
-0.80-0.020.78


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
2019-2093 16.17% 13.81% -2.36%
2036
-0.43% -0.00% 0.42%

1 Under current law, the year of Trust Fund reserve depletion is 2035.
Based on Intermediate Assumptions of the 2019 Trustees Report.