Description of Proposed Provision:
E2.8: Apply a 2 percent payroll tax on earnings above the current-law taxable maximum for years 2022-2069, and a 3 percent rate for years 2070 and later. Do not 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
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
0.000.000.00
202214.2313.31-0.92
229
0.000.390.39
202314.4013.34-1.05
216
-0.000.400.40
202414.5913.37-1.21
202
-0.000.400.40
202514.7813.39-1.40
188
-0.000.400.40
202614.9913.51-1.47
173
-0.000.400.40
202715.1913.53-1.66
159
-0.000.400.40
202815.4313.57-1.86
145
-0.000.400.40
202915.6213.59-2.03
131
-0.000.400.40
203015.8013.60-2.20
116
-0.000.400.40
203115.9613.62-2.35
102
-0.000.400.40
203216.1113.63-2.48
87
-0.000.400.40
203316.2313.64-2.59
72
-0.000.400.40
203416.3213.65-2.68
57
-0.000.400.40
203516.4013.65-2.74
41
-0.000.400.40
203616.4613.66-2.80
25
-0.000.400.40
203716.5113.66-2.85
9
-0.000.400.40
203816.5613.67-2.89
----
-0.000.400.40
203916.6013.67-2.93
----
-0.000.400.41
204016.6113.67-2.94
----
-0.000.400.41
204116.6113.68-2.93
----
-0.000.400.41
204216.5913.68-2.91
----
-0.000.400.41
204316.5513.67-2.88
----
-0.010.400.41
204416.5213.67-2.84
----
-0.010.400.41
204516.4813.67-2.81
----
-0.010.400.41
204616.4513.67-2.77
----
-0.010.400.41
204716.4213.67-2.75
----
-0.010.400.41
204816.4013.67-2.73
----
-0.010.400.41
204916.3813.67-2.70
----
-0.010.400.41
205016.3613.67-2.69
----
-0.010.400.41
205116.3513.67-2.68
----
-0.010.400.41
205216.3613.67-2.68
----
-0.010.400.41
205316.3613.68-2.69
----
-0.010.400.41
205416.3813.68-2.70
----
-0.010.400.41
205516.4013.68-2.72
----
-0.010.400.41
205616.4313.68-2.75
----
-0.010.400.41
205716.4713.69-2.78
----
-0.010.400.41
205816.5113.69-2.82
----
-0.010.400.41
205916.5613.70-2.87
----
-0.010.400.41
206016.6213.70-2.92
----
-0.010.400.41
206116.6713.70-2.96
----
-0.010.400.42
206216.7213.71-3.01
----
-0.010.400.42
206316.7713.71-3.06
----
-0.010.400.42
206416.8313.72-3.11
----
-0.010.400.42
206516.8813.72-3.16
----
-0.010.400.42
206616.9413.72-3.22
----
-0.010.400.42
206717.0013.73-3.27
----
-0.020.400.42
206817.0613.73-3.33
----
-0.020.400.42
206917.1213.74-3.38
----
-0.020.400.42
207017.1813.93-3.25
----
-0.020.590.61
207117.2413.94-3.29
----
-0.020.600.62
207217.2813.95-3.34
----
-0.020.600.62
207317.3313.95-3.38
----
-0.020.600.62
207417.3713.96-3.42
----
-0.020.600.62
207517.4113.96-3.45
----
-0.020.600.62
207617.4413.96-3.48
----
-0.020.600.62
207717.4613.96-3.50
----
-0.020.600.62
207817.4713.96-3.50
----
-0.020.600.62
207917.4613.96-3.49
----
-0.020.600.62
208017.4413.96-3.48
----
-0.020.600.62
208117.4313.96-3.46
----
-0.020.600.62
208217.4113.96-3.44
----
-0.020.600.62
208317.3813.96-3.42
----
-0.020.600.62
208417.3613.96-3.40
----
-0.020.600.62
208517.3413.96-3.38
----
-0.020.600.62
208617.3213.96-3.36
----
-0.020.610.62
208717.3113.96-3.35
----
-0.020.610.62
208817.3113.96-3.35
----
-0.020.610.62
208917.3213.96-3.36
----
-0.020.610.63
209017.3413.96-3.38
----
-0.020.610.63
209117.3713.96-3.41
----
-0.020.610.63
209217.4113.97-3.44
----
-0.020.610.63
209317.4513.97-3.49
----
-0.020.610.63
209417.5013.97-3.53
----
-0.020.610.63


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 16.59% 14.25% -2.34%
2037
-0.01% 0.44% 0.45%

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