Description of Proposed Provision:
E3.17: Beginning in 2021, increase the taxable maximum by twice the rate of increase in the national Average Wage Index, but never by less than 3 percent. Provide benefit credit for earnings up to the revised taxable maximum levels.

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
202114.0912.97-1.12
245
0.000.080.08
202214.2313.08-1.15
230
-0.000.160.16
202314.4013.18-1.22
215
-0.000.240.24
202414.5913.28-1.31
200
0.000.310.31
202514.7913.37-1.42
185
0.000.380.38
202614.9913.56-1.43
171
0.000.450.44
202715.1913.64-1.56
157
0.000.510.50
202815.4413.74-1.70
143
0.000.560.56
202915.6313.81-1.82
130
0.010.620.62
203015.8113.88-1.94
117
0.010.670.66
203115.9813.94-2.04
104
0.010.720.71
203216.1214.00-2.13
91
0.020.770.75
203316.2514.05-2.20
78
0.020.810.79
203416.3514.10-2.25
65
0.030.860.83
203516.4314.15-2.28
52
0.030.900.87
203616.5014.20-2.30
39
0.040.940.90
203716.5614.24-2.32
26
0.040.980.94
203816.6114.29-2.33
12
0.051.020.97
203916.6614.33-2.33
----
0.061.051.00
204016.6814.36-2.32
----
0.071.091.03
204116.6814.40-2.28
----
0.071.131.05
204216.6714.43-2.24
----
0.081.161.08
204316.6514.46-2.18
----
0.091.191.10
204416.6214.50-2.13
----
0.101.221.12
204516.6014.53-2.07
----
0.111.251.14
204616.5714.55-2.02
----
0.121.281.16
204716.5614.58-1.98
----
0.131.311.18
204816.5514.61-1.94
----
0.151.341.20
204916.5414.64-1.90
----
0.161.371.21
205016.5414.67-1.87
----
0.171.401.23
205116.5514.70-1.85
----
0.191.431.24
205216.5614.73-1.84
----
0.201.451.25
205316.5914.75-1.83
----
0.211.481.26
205416.6214.78-1.84
----
0.231.501.27
205516.6614.81-1.85
----
0.251.531.28
205616.7014.83-1.87
----
0.261.551.29
205716.7614.86-1.90
----
0.281.581.30
205816.8214.89-1.93
----
0.301.601.30
205916.8914.91-1.98
----
0.311.621.31
206016.9614.94-2.02
----
0.331.641.31
206117.0314.97-2.06
----
0.351.671.32
206217.1014.99-2.11
----
0.371.691.32
206317.1715.02-2.16
----
0.381.711.32
206417.2415.04-2.21
----
0.401.731.32
206517.3215.06-2.25
----
0.421.751.32
206617.3915.09-2.31
----
0.441.771.33
206717.4715.11-2.36
----
0.461.781.33
206817.5515.13-2.42
----
0.481.801.33
206917.6315.15-2.47
----
0.491.821.33
207017.7115.18-2.53
----
0.511.841.33
207117.7815.20-2.58
----
0.531.861.33
207217.8515.22-2.63
----
0.551.871.33
207317.9115.24-2.67
----
0.561.891.33
207417.9715.26-2.71
----
0.581.911.33
207518.0315.28-2.75
----
0.601.921.33
207618.0715.29-2.77
----
0.611.941.33
207718.1015.31-2.79
----
0.631.951.33
207818.1215.33-2.80
----
0.641.971.33
207918.1315.34-2.79
----
0.651.981.33
208018.1315.35-2.77
----
0.661.991.33
208118.1215.37-2.75
----
0.672.011.33
208218.1115.38-2.73
----
0.692.021.33
208318.1015.39-2.71
----
0.702.031.34
208418.0815.40-2.68
----
0.712.041.34
208518.0715.41-2.66
----
0.712.061.34
208618.0615.42-2.64
----
0.722.071.34
208718.0615.43-2.63
----
0.732.081.35
208818.0715.44-2.63
----
0.742.091.35
208918.0915.45-2.64
----
0.752.101.35
209018.1215.46-2.65
----
0.762.111.35
209118.1615.48-2.68
----
0.772.121.35
209218.2115.49-2.72
----
0.782.131.35
209318.2715.50-2.76
----
0.792.141.35
209418.3315.52-2.81
----
0.802.151.35


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 16.88% 15.13% -1.75%
2038
0.28% 1.32% 1.03%

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