Detailed Single Year Tables
Description of Proposed Provision:
E3.16: Beginning in 2027, apply 4 percent payroll tax rate on earnings above the wage-indexed equivalent of $400,000 in 2015 (about $643,800 in 2027), with the threshold wage-indexed after 2027. Provide benefit credit for additional earnings taxed, using a secondary PIA formula. This secondary PIA formula involves: (1) an "AIME+" derived from annual earnings taxed only between 2015 wage-indexed equivalents of $400,000 and $500,000, or about $643,800 and $804,900 in 2027 (with thresholds wage-indexed after 2027); and (2) a formula factor of 2 percent on this newly computed "AIME+".
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 |
|||
2025 | 15.15 | 12.80 | -2.35 | 169 | 0.00 | 0.00 | 0.00 | ||
2026 | 15.29 | 13.03 | -2.25 | 149 | 0.00 | 0.00 | 0.00 | ||
2027 | 15.48 | 13.40 | -2.08 | 131 | 0.00 | 0.31 | 0.31 | ||
2028 | 15.59 | 13.43 | -2.15 | 115 | -0.00 | 0.32 | 0.33 | ||
2029 | 15.69 | 13.46 | -2.23 | 99 | -0.00 | 0.32 | 0.32 | ||
2030 | 15.80 | 13.48 | -2.32 | 84 | -0.00 | 0.32 | 0.32 | ||
2031 | 15.91 | 13.51 | -2.40 | 68 | -0.00 | 0.32 | 0.32 | ||
2032 | 16.00 | 13.53 | -2.48 | 53 | 0.00 | 0.32 | 0.32 | ||
2033 | 16.04 | 13.57 | -2.48 | 37 | -0.03 | 0.32 | 0.35 | ||
2034 | 16.14 | 13.59 | -2.55 | 22 | -0.00 | 0.32 | 0.33 | ||
2035 | 16.23 | 13.60 | -2.63 | 7 | -0.00 | 0.32 | 0.33 | ||
2036 | 16.32 | 13.61 | -2.71 | — | -0.00 | 0.32 | 0.33 | ||
2037 | 16.41 | 13.62 | -2.79 | — | -0.00 | 0.32 | 0.33 | ||
2038 | 16.48 | 13.63 | -2.86 | — | -0.01 | 0.32 | 0.33 | ||
2039 | 16.55 | 13.63 | -2.91 | — | -0.01 | 0.32 | 0.33 | ||
2040 | 16.60 | 13.64 | -2.96 | — | -0.01 | 0.32 | 0.33 | ||
2041 | 16.64 | 13.64 | -2.99 | — | -0.01 | 0.32 | 0.33 | ||
2042 | 16.67 | 13.65 | -3.02 | — | -0.01 | 0.32 | 0.33 | ||
2043 | 16.70 | 13.65 | -3.05 | — | -0.01 | 0.32 | 0.33 | ||
2044 | 16.73 | 13.66 | -3.08 | — | -0.01 | 0.32 | 0.33 | ||
2045 | 16.76 | 13.66 | -3.11 | — | -0.01 | 0.32 | 0.33 | ||
2046 | 16.79 | 13.66 | -3.13 | — | -0.01 | 0.32 | 0.33 | ||
2047 | 16.83 | 13.67 | -3.16 | — | -0.01 | 0.32 | 0.33 | ||
2048 | 16.87 | 13.67 | -3.20 | — | -0.01 | 0.32 | 0.33 | ||
2049 | 16.91 | 13.68 | -3.24 | — | -0.01 | 0.32 | 0.33 | ||
2050 | 16.96 | 13.68 | -3.28 | — | -0.01 | 0.32 | 0.34 | ||
2051 | 17.01 | 13.68 | -3.32 | — | -0.01 | 0.32 | 0.34 | ||
2052 | 17.07 | 13.69 | -3.38 | — | -0.01 | 0.32 | 0.34 | ||
2053 | 17.13 | 13.70 | -3.44 | — | -0.01 | 0.32 | 0.34 | ||
2054 | 17.20 | 13.70 | -3.50 | — | -0.01 | 0.32 | 0.34 | ||
2055 | 17.29 | 13.71 | -3.58 | — | -0.01 | 0.32 | 0.34 | ||
2056 | 17.37 | 13.72 | -3.66 | — | -0.01 | 0.32 | 0.34 | ||
2057 | 17.46 | 13.72 | -3.74 | — | -0.01 | 0.32 | 0.34 | ||
2058 | 17.56 | 13.73 | -3.83 | — | -0.01 | 0.32 | 0.34 | ||
2059 | 17.65 | 13.74 | -3.91 | — | -0.01 | 0.32 | 0.34 | ||
2060 | 17.73 | 13.75 | -3.98 | — | -0.01 | 0.32 | 0.34 | ||
2061 | 17.81 | 13.75 | -4.05 | — | -0.01 | 0.32 | 0.34 | ||
2062 | 17.88 | 13.76 | -4.12 | — | -0.01 | 0.32 | 0.34 | ||
2063 | 17.95 | 13.77 | -4.18 | — | -0.01 | 0.32 | 0.34 | ||
2064 | 18.02 | 13.77 | -4.25 | — | -0.01 | 0.32 | 0.34 | ||
2065 | 18.09 | 13.78 | -4.31 | — | -0.01 | 0.32 | 0.34 | ||
2066 | 18.16 | 13.78 | -4.37 | — | -0.01 | 0.32 | 0.34 | ||
2067 | 18.23 | 13.79 | -4.44 | — | -0.01 | 0.32 | 0.34 | ||
2068 | 18.30 | 13.80 | -4.50 | — | -0.01 | 0.32 | 0.34 | ||
2069 | 18.37 | 13.80 | -4.57 | — | -0.01 | 0.32 | 0.34 | ||
2070 | 18.44 | 13.81 | -4.64 | — | -0.01 | 0.32 | 0.34 | ||
2071 | 18.52 | 13.81 | -4.70 | — | -0.01 | 0.32 | 0.34 | ||
2072 | 18.59 | 13.82 | -4.77 | — | -0.01 | 0.32 | 0.33 | ||
2073 | 18.66 | 13.83 | -4.84 | — | -0.01 | 0.32 | 0.33 | ||
2074 | 18.73 | 13.83 | -4.90 | — | -0.01 | 0.32 | 0.33 | ||
2075 | 18.79 | 13.84 | -4.95 | — | -0.01 | 0.32 | 0.33 | ||
2076 | 18.84 | 13.84 | -5.00 | — | -0.01 | 0.32 | 0.33 | ||
2077 | 18.88 | 13.84 | -5.04 | — | -0.01 | 0.32 | 0.33 | ||
2078 | 18.92 | 13.85 | -5.07 | — | -0.01 | 0.32 | 0.33 | ||
2079 | 18.94 | 13.85 | -5.09 | — | -0.01 | 0.32 | 0.33 | ||
2080 | 18.95 | 13.85 | -5.09 | — | -0.01 | 0.32 | 0.33 | ||
2081 | 18.95 | 13.85 | -5.10 | — | -0.01 | 0.32 | 0.33 | ||
2082 | 18.94 | 13.85 | -5.09 | — | -0.01 | 0.32 | 0.33 | ||
2083 | 18.93 | 13.85 | -5.07 | — | -0.01 | 0.32 | 0.33 | ||
2084 | 18.90 | 13.85 | -5.05 | — | -0.01 | 0.32 | 0.33 | ||
2085 | 18.86 | 13.85 | -5.01 | — | -0.01 | 0.32 | 0.33 | ||
2086 | 18.81 | 13.85 | -4.96 | — | -0.01 | 0.32 | 0.33 | ||
2087 | 18.76 | 13.84 | -4.91 | — | -0.01 | 0.32 | 0.33 | ||
2088 | 18.70 | 13.84 | -4.85 | — | -0.01 | 0.32 | 0.33 | ||
2089 | 18.63 | 13.84 | -4.80 | — | -0.01 | 0.32 | 0.33 | ||
2090 | 18.57 | 13.83 | -4.74 | — | -0.01 | 0.32 | 0.33 | ||
2091 | 18.51 | 13.83 | -4.68 | — | -0.01 | 0.32 | 0.33 | ||
2092 | 18.46 | 13.83 | -4.63 | — | -0.01 | 0.32 | 0.33 | ||
2093 | 18.41 | 13.82 | -4.59 | — | -0.01 | 0.32 | 0.33 | ||
2094 | 18.38 | 13.82 | -4.56 | — | -0.01 | 0.32 | 0.33 | ||
2095 | 18.35 | 13.82 | -4.53 | — | -0.01 | 0.32 | 0.33 | ||
2096 | 18.33 | 13.82 | -4.51 | — | -0.01 | 0.32 | 0.33 | ||
2097 | 18.32 | 13.82 | -4.50 | — | -0.01 | 0.32 | 0.33 | ||
2098 | 18.32 | 13.82 | -4.50 | — | -0.01 | 0.32 | 0.33 | ||
2099 | 18.33 | 13.82 | -4.51 | — | -0.01 | 0.32 | 0.33 | ||
2100 | 18.35 | 13.82 | -4.52 | — | -0.01 | 0.32 | 0.33 |
Summarized Estimates
Proposal | Change from Current Law | ||||||||
---|---|---|---|---|---|---|---|---|---|
Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
2025-2099 | 17.60% | 14.10% | -3.50% | 2035 | -0.01% | 0.31% | 0.32% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2034. |
Based on Intermediate Assumptions of the 2025 Trustees Report.