Detailed Single Year Tables
Description of Proposed Provision:
F3: Expand covered earnings to include employer and employee premiums for employer-sponsored group health insurance (ESI). Starting in 2029, phase out the OASDI payroll tax exclusion for ESI premiums. Set an exclusion level at the 75th percentile of premium distribution in 2029, with amounts above that subject to the payroll tax. Reduce the exclusion level each year by 10 percent of the 2029 exclusion level until fully eliminated in 2039.
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 | 13.08 | -2.39 | 131 | 0.00 | 0.00 | 0.00 | ||
| 2028 | 15.59 | 13.11 | -2.48 | 113 | 0.00 | 0.00 | 0.00 | ||
| 2029 | 15.69 | 13.27 | -2.42 | 95 | 0.00 | 0.14 | 0.14 | ||
| 2030 | 15.80 | 13.43 | -2.37 | 79 | 0.00 | 0.27 | 0.27 | ||
| 2031 | 15.91 | 13.59 | -2.32 | 63 | 0.00 | 0.40 | 0.40 | ||
| 2032 | 16.01 | 13.74 | -2.26 | 48 | 0.00 | 0.54 | 0.54 | ||
| 2033 | 16.03 | 13.92 | -2.11 | 34 | -0.04 | 0.68 | 0.72 | ||
| 2034 | 16.15 | 14.09 | -2.06 | 21 | -0.00 | 0.82 | 0.82 | ||
| 2035 | 16.23 | 14.24 | -1.99 | 9 | 0.00 | 0.97 | 0.96 | ||
| 2036 | 16.33 | 14.40 | -1.93 | — | 0.01 | 1.12 | 1.11 | ||
| 2037 | 16.43 | 14.56 | -1.86 | — | 0.01 | 1.27 | 1.26 | ||
| 2038 | 16.51 | 14.72 | -1.78 | — | 0.02 | 1.42 | 1.40 | ||
| 2039 | 16.58 | 14.89 | -1.69 | — | 0.02 | 1.58 | 1.56 | ||
| 2040 | 16.63 | 14.92 | -1.72 | — | 0.03 | 1.60 | 1.57 | ||
| 2041 | 16.68 | 14.94 | -1.75 | — | 0.04 | 1.62 | 1.58 | ||
| 2042 | 16.73 | 14.96 | -1.77 | — | 0.05 | 1.63 | 1.58 | ||
| 2043 | 16.77 | 14.98 | -1.79 | — | 0.06 | 1.65 | 1.59 | ||
| 2044 | 16.82 | 15.00 | -1.82 | — | 0.07 | 1.66 | 1.59 | ||
| 2045 | 16.86 | 15.02 | -1.84 | — | 0.09 | 1.68 | 1.59 | ||
| 2046 | 16.90 | 15.04 | -1.87 | — | 0.10 | 1.70 | 1.60 | ||
| 2047 | 16.95 | 15.06 | -1.90 | — | 0.12 | 1.71 | 1.60 | ||
| 2048 | 17.01 | 15.08 | -1.94 | — | 0.14 | 1.73 | 1.59 | ||
| 2049 | 17.08 | 15.10 | -1.98 | — | 0.15 | 1.75 | 1.59 | ||
| 2050 | 17.15 | 15.12 | -2.03 | — | 0.17 | 1.76 | 1.59 | ||
| 2051 | 17.22 | 15.14 | -2.08 | — | 0.20 | 1.78 | 1.58 | ||
| 2052 | 17.30 | 15.16 | -2.14 | — | 0.22 | 1.80 | 1.58 | ||
| 2053 | 17.39 | 15.18 | -2.20 | — | 0.24 | 1.81 | 1.57 | ||
| 2054 | 17.49 | 15.21 | -2.28 | — | 0.27 | 1.83 | 1.56 | ||
| 2055 | 17.60 | 15.23 | -2.36 | — | 0.30 | 1.85 | 1.55 | ||
| 2056 | 17.71 | 15.26 | -2.46 | — | 0.33 | 1.86 | 1.54 | ||
| 2057 | 17.83 | 15.28 | -2.55 | — | 0.36 | 1.88 | 1.52 | ||
| 2058 | 17.96 | 15.31 | -2.65 | — | 0.39 | 1.90 | 1.51 | ||
| 2059 | 18.08 | 15.33 | -2.75 | — | 0.42 | 1.91 | 1.49 | ||
| 2060 | 18.20 | 15.35 | -2.84 | — | 0.46 | 1.93 | 1.48 | ||
| 2061 | 18.31 | 15.38 | -2.93 | — | 0.49 | 1.95 | 1.46 | ||
| 2062 | 18.42 | 15.40 | -3.02 | — | 0.53 | 1.97 | 1.44 | ||
| 2063 | 18.53 | 15.43 | -3.11 | — | 0.57 | 1.98 | 1.42 | ||
| 2064 | 18.64 | 15.45 | -3.19 | — | 0.61 | 2.00 | 1.39 | ||
| 2065 | 18.75 | 15.47 | -3.28 | — | 0.65 | 2.02 | 1.37 | ||
| 2066 | 18.86 | 15.50 | -3.37 | — | 0.69 | 2.04 | 1.34 | ||
| 2067 | 18.98 | 15.52 | -3.45 | — | 0.74 | 2.06 | 1.32 | ||
| 2068 | 19.09 | 15.54 | -3.55 | — | 0.78 | 2.07 | 1.29 | ||
| 2069 | 19.21 | 15.57 | -3.64 | — | 0.83 | 2.09 | 1.26 | ||
| 2070 | 19.33 | 15.59 | -3.74 | — | 0.88 | 2.11 | 1.23 | ||
| 2071 | 19.45 | 15.62 | -3.84 | — | 0.93 | 2.13 | 1.20 | ||
| 2072 | 19.57 | 15.64 | -3.93 | — | 0.97 | 2.15 | 1.17 | ||
| 2073 | 19.69 | 15.67 | -4.03 | — | 1.02 | 2.16 | 1.14 | ||
| 2074 | 19.81 | 15.69 | -4.12 | — | 1.07 | 2.18 | 1.11 | ||
| 2075 | 19.92 | 15.71 | -4.21 | — | 1.12 | 2.20 | 1.08 | ||
| 2076 | 20.02 | 15.74 | -4.28 | — | 1.16 | 2.22 | 1.05 | ||
| 2077 | 20.10 | 15.76 | -4.35 | — | 1.21 | 2.24 | 1.03 | ||
| 2078 | 20.18 | 15.78 | -4.40 | — | 1.25 | 2.25 | 1.00 | ||
| 2079 | 20.24 | 15.80 | -4.44 | — | 1.30 | 2.27 | 0.97 | ||
| 2080 | 20.30 | 15.82 | -4.48 | — | 1.34 | 2.29 | 0.95 | ||
| 2081 | 20.34 | 15.84 | -4.50 | — | 1.38 | 2.31 | 0.93 | ||
| 2082 | 20.37 | 15.85 | -4.51 | — | 1.42 | 2.33 | 0.91 | ||
| 2083 | 20.39 | 15.87 | -4.52 | — | 1.46 | 2.34 | 0.89 | ||
| 2084 | 20.40 | 15.89 | -4.51 | — | 1.49 | 2.36 | 0.87 | ||
| 2085 | 20.39 | 15.90 | -4.49 | — | 1.52 | 2.38 | 0.85 | ||
| 2086 | 20.38 | 15.92 | -4.46 | — | 1.56 | 2.39 | 0.84 | ||
| 2087 | 20.35 | 15.93 | -4.42 | — | 1.58 | 2.41 | 0.83 | ||
| 2088 | 20.32 | 15.94 | -4.37 | — | 1.61 | 2.43 | 0.81 | ||
| 2089 | 20.28 | 15.96 | -4.32 | — | 1.64 | 2.44 | 0.80 | ||
| 2090 | 20.24 | 15.97 | -4.27 | — | 1.67 | 2.46 | 0.79 | ||
| 2091 | 20.21 | 15.98 | -4.23 | — | 1.69 | 2.48 | 0.79 | ||
| 2092 | 20.18 | 16.00 | -4.19 | — | 1.72 | 2.49 | 0.78 | ||
| 2093 | 20.16 | 16.01 | -4.15 | — | 1.74 | 2.51 | 0.77 | ||
| 2094 | 20.15 | 16.02 | -4.13 | — | 1.76 | 2.53 | 0.76 | ||
| 2095 | 20.15 | 16.04 | -4.11 | — | 1.79 | 2.54 | 0.75 | ||
| 2096 | 20.15 | 16.05 | -4.10 | — | 1.81 | 2.56 | 0.75 | ||
| 2097 | 20.17 | 16.07 | -4.10 | — | 1.84 | 2.58 | 0.74 | ||
| 2098 | 20.19 | 16.09 | -4.10 | — | 1.86 | 2.59 | 0.73 | ||
| 2099 | 20.22 | 16.11 | -4.12 | — | 1.89 | 2.61 | 0.72 | ||
| 2100 | 20.26 | 16.12 | -4.14 | — | 1.91 | 2.63 | 0.72 | ||
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 | 18.24% | 15.49% | -2.74% | 2035 | 0.63% | 1.71% | 1.08% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2034. |
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Based on Intermediate Assumptions of the 2025 Trustees Report.