Description of Proposed Provision:
B5.7: Beginning for those newly eligible in 2020, reconfigure the special minimum benefit: (a) The number of years of work (YOWs) is determined as total quarters of coverage divided by 4, ignoring any fraction. Childcare years are granted to parents who have a child under 6, with a limit of 5 such years. (b) At implementation, set the PIA for 30+ YOWs equal to 100 percent of the monthly HHS poverty level for the year prior to eligibility. For workers between 11 and 29 YOWs, reduce the special minimum by 3 1/3 percentage points per YOW so that at 29 YOWs the minimum would be 96 2/3% of poverty, ..., down to 11 YOWs at 36 2/3% of poverty. No minimum for 10 or fewer YOWs.
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 |
|||
| 2017 | 13.41 | 13.03 | -0.38 | 298 | 0.00 | 0.00 | 0.00 | ||
| 2018 | 13.49 | 12.93 | -0.56 | 287 | 0.00 | 0.00 | 0.00 | ||
| 2019 | 13.70 | 12.95 | -0.75 | 273 | 0.00 | 0.00 | 0.00 | ||
| 2020 | 13.85 | 12.96 | -0.89 | 259 | 0.00 | 0.00 | -0.00 | ||
| 2021 | 14.02 | 12.99 | -1.03 | 245 | 0.00 | 0.00 | -0.00 | ||
| 2022 | 14.26 | 13.02 | -1.24 | 230 | 0.01 | 0.00 | -0.01 | ||
| 2023 | 14.55 | 13.05 | -1.50 | 215 | 0.01 | 0.00 | -0.01 | ||
| 2024 | 14.84 | 13.08 | -1.75 | 199 | 0.01 | 0.00 | -0.01 | ||
| 2025 | 15.11 | 13.10 | -2.01 | 182 | 0.01 | 0.00 | -0.01 | ||
| 2026 | 15.39 | 13.14 | -2.25 | 165 | 0.02 | 0.00 | -0.02 | ||
| 2027 | 15.64 | 13.15 | -2.48 | 147 | 0.02 | 0.00 | -0.02 | ||
| 2028 | 15.87 | 13.17 | -2.71 | 129 | 0.02 | 0.00 | -0.02 | ||
| 2029 | 16.09 | 13.18 | -2.91 | 111 | 0.02 | 0.00 | -0.02 | ||
| 2030 | 16.29 | 13.20 | -3.10 | 93 | 0.03 | 0.00 | -0.03 | ||
| 2031 | 16.48 | 13.21 | -3.27 | 74 | 0.03 | 0.00 | -0.03 | ||
| 2032 | 16.64 | 13.22 | -3.42 | 55 | 0.03 | 0.00 | -0.03 | ||
| 2033 | 16.77 | 13.23 | -3.54 | 35 | 0.03 | 0.00 | -0.03 | ||
| 2034 | 16.88 | 13.24 | -3.64 | 15 | 0.03 | 0.00 | -0.03 | ||
| 2035 | 16.96 | 13.24 | -3.72 | ---- | 0.03 | 0.00 | -0.03 | ||
| 2036 | 17.02 | 13.25 | -3.78 | ---- | 0.03 | 0.00 | -0.03 | ||
| 2037 | 17.06 | 13.25 | -3.81 | ---- | 0.03 | 0.00 | -0.03 | ||
| 2038 | 17.06 | 13.25 | -3.81 | ---- | 0.04 | 0.00 | -0.03 | ||
| 2039 | 17.03 | 13.25 | -3.78 | ---- | 0.04 | 0.00 | -0.03 | ||
| 2040 | 17.00 | 13.25 | -3.75 | ---- | 0.04 | 0.00 | -0.03 | ||
| 2041 | 16.95 | 13.25 | -3.70 | ---- | 0.04 | 0.00 | -0.04 | ||
| 2042 | 16.90 | 13.25 | -3.65 | ---- | 0.04 | 0.00 | -0.04 | ||
| 2043 | 16.84 | 13.24 | -3.60 | ---- | 0.04 | 0.00 | -0.04 | ||
| 2044 | 16.80 | 13.24 | -3.56 | ---- | 0.04 | 0.00 | -0.04 | ||
| 2045 | 16.76 | 13.24 | -3.52 | ---- | 0.04 | 0.00 | -0.04 | ||
| 2046 | 16.72 | 13.24 | -3.48 | ---- | 0.04 | 0.00 | -0.04 | ||
| 2047 | 16.68 | 13.24 | -3.45 | ---- | 0.04 | 0.00 | -0.04 | ||
| 2048 | 16.65 | 13.24 | -3.42 | ---- | 0.04 | 0.00 | -0.04 | ||
| 2049 | 16.63 | 13.23 | -3.39 | ---- | 0.04 | 0.00 | -0.04 | ||
| 2050 | 16.60 | 13.23 | -3.37 | ---- | 0.04 | 0.00 | -0.04 | ||
| 2051 | 16.59 | 13.23 | -3.36 | ---- | 0.04 | 0.00 | -0.03 | ||
| 2052 | 16.59 | 13.23 | -3.36 | ---- | 0.04 | 0.00 | -0.03 | ||
| 2053 | 16.60 | 13.24 | -3.37 | ---- | 0.04 | 0.00 | -0.03 | ||
| 2054 | 16.62 | 13.24 | -3.39 | ---- | 0.03 | 0.00 | -0.03 | ||
| 2055 | 16.65 | 13.24 | -3.41 | ---- | 0.03 | 0.00 | -0.03 | ||
| 2056 | 16.69 | 13.24 | -3.45 | ---- | 0.03 | 0.00 | -0.03 | ||
| 2057 | 16.73 | 13.24 | -3.48 | ---- | 0.03 | 0.00 | -0.03 | ||
| 2058 | 16.77 | 13.25 | -3.52 | ---- | 0.03 | 0.00 | -0.03 | ||
| 2059 | 16.81 | 13.25 | -3.56 | ---- | 0.03 | 0.00 | -0.03 | ||
| 2060 | 16.86 | 13.25 | -3.60 | ---- | 0.03 | 0.00 | -0.03 | ||
| 2061 | 16.90 | 13.26 | -3.64 | ---- | 0.03 | 0.00 | -0.03 | ||
| 2062 | 16.95 | 13.26 | -3.69 | ---- | 0.03 | 0.00 | -0.02 | ||
| 2063 | 16.99 | 13.26 | -3.73 | ---- | 0.02 | 0.00 | -0.02 | ||
| 2064 | 17.04 | 13.27 | -3.77 | ---- | 0.02 | 0.00 | -0.02 | ||
| 2065 | 17.09 | 13.27 | -3.82 | ---- | 0.02 | 0.00 | -0.02 | ||
| 2066 | 17.14 | 13.27 | -3.87 | ---- | 0.02 | 0.00 | -0.02 | ||
| 2067 | 17.19 | 13.28 | -3.91 | ---- | 0.02 | 0.00 | -0.02 | ||
| 2068 | 17.24 | 13.28 | -3.96 | ---- | 0.02 | 0.00 | -0.02 | ||
| 2069 | 17.29 | 13.28 | -4.01 | ---- | 0.02 | 0.00 | -0.02 | ||
| 2070 | 17.34 | 13.29 | -4.06 | ---- | 0.02 | 0.00 | -0.02 | ||
| 2071 | 17.39 | 13.29 | -4.10 | ---- | 0.02 | 0.00 | -0.02 | ||
| 2072 | 17.43 | 13.29 | -4.14 | ---- | 0.02 | 0.00 | -0.02 | ||
| 2073 | 17.46 | 13.29 | -4.17 | ---- | 0.02 | 0.00 | -0.01 | ||
| 2074 | 17.49 | 13.30 | -4.20 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2075 | 17.52 | 13.30 | -4.22 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2076 | 17.53 | 13.30 | -4.23 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2077 | 17.54 | 13.30 | -4.24 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2078 | 17.54 | 13.30 | -4.24 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2079 | 17.53 | 13.30 | -4.23 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2080 | 17.52 | 13.30 | -4.22 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2081 | 17.52 | 13.30 | -4.22 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2082 | 17.51 | 13.30 | -4.22 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2083 | 17.52 | 13.30 | -4.22 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2084 | 17.54 | 13.30 | -4.24 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2085 | 17.56 | 13.30 | -4.26 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2086 | 17.59 | 13.30 | -4.29 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2087 | 17.62 | 13.30 | -4.32 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2088 | 17.66 | 13.31 | -4.36 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2089 | 17.71 | 13.31 | -4.40 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2090 | 17.75 | 13.31 | -4.44 | ---- | 0.01 | 0.00 | -0.01 | ||
| 2091 | 17.80 | 13.31 | -4.49 | ---- | 0.01 | 0.00 | -0.00 | ||
| 2092 | 17.85 | 13.32 | -4.53 | ---- | 0.00 | 0.00 | -0.00 | ||
Summarized Estimates
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
| 2017-2091 | 16.69% | 13.84% | -2.85% | 2034 | 0.02% | 0.00% | -0.02% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2034. |
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Based on Intermediate Assumptions of the 2017 Trustees Report.