Description of Proposed Provision:
E1.9: Increase the payroll tax rate (currently 12.4 percent) by 0.1 percentage point each year from 2022-2045, until the rate reaches 14.8 percent in 2045. Then increase the payroll tax rate an additional 0.1 percentage point in each year from 2084-2088, until the rate reaches 15.3 percent for 2088 and later.

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
201813.8112.64-1.17
288
0.000.000.00
201913.9512.87-1.08
272
0.000.000.00
202014.1212.89-1.23
256
0.000.000.00
202114.2712.92-1.35
239
0.000.000.00
202214.4413.04-1.40
223
0.000.090.09
202314.6213.15-1.47
206
-0.000.190.19
202414.8013.27-1.53
190
-0.000.280.28
202514.9813.38-1.60
175
-0.000.380.38
202615.1613.60-1.55
160
-0.000.470.47
202715.3613.72-1.64
146
-0.000.570.57
202815.5813.83-1.75
133
-0.000.660.66
202915.7913.94-1.85
120
-0.000.760.76
203015.9814.05-1.93
107
-0.000.850.85
203116.1614.16-2.00
95
-0.000.950.95
203216.3114.27-2.05
82
-0.001.041.04
203316.4514.37-2.08
70
-0.001.131.14
203416.5614.48-2.09
59
-0.001.231.23
203516.6514.58-2.07
47
-0.001.321.33
203616.7214.68-2.04
35
-0.011.421.42
203716.7814.78-2.00
23
-0.011.511.52
203816.8114.88-1.94
12
-0.011.611.61
203916.8214.97-1.85
1
-0.011.701.71
204016.8215.07-1.75
----
-0.011.791.80
204116.8015.16-1.64
----
-0.011.891.90
204216.7615.25-1.51
----
-0.011.981.99
204316.7215.35-1.38
----
-0.012.082.09
204416.6815.44-1.24
----
-0.012.172.18
204516.6515.53-1.11
----
-0.012.262.28
204616.6115.54-1.07
----
-0.022.272.29
204716.5815.54-1.05
----
-0.022.272.29
204816.5615.54-1.02
----
-0.022.272.29
204916.5415.54-1.00
----
-0.022.272.29
205016.5215.54-0.98
----
-0.022.272.29
205116.5115.54-0.97
----
-0.022.272.29
205216.5115.54-0.97
----
-0.022.272.30
205316.5215.54-0.97
----
-0.032.272.30
205416.5315.55-0.99
----
-0.032.272.30
205516.5615.55-1.01
----
-0.032.272.30
205616.5915.55-1.04
----
-0.032.272.30
205716.6315.56-1.08
----
-0.032.272.31
205816.6815.56-1.12
----
-0.042.272.31
205916.7215.57-1.16
----
-0.042.272.31
206016.7715.57-1.20
----
-0.042.272.31
206116.8215.57-1.24
----
-0.042.282.32
206216.8715.58-1.29
----
-0.042.282.32
206316.9215.58-1.33
----
-0.052.282.32
206416.9715.59-1.38
----
-0.052.282.32
206517.0215.59-1.43
----
-0.052.282.33
206617.0715.60-1.48
----
-0.052.282.33
206717.1315.60-1.53
----
-0.052.282.33
206817.1915.61-1.58
----
-0.062.282.33
206917.2515.61-1.64
----
-0.062.282.34
207017.3015.61-1.69
----
-0.062.282.34
207117.3615.62-1.74
----
-0.062.282.34
207217.4015.62-1.78
----
-0.062.282.34
207317.4515.63-1.82
----
-0.072.282.35
207417.4915.63-1.86
----
-0.072.282.35
207517.5215.63-1.88
----
-0.072.282.35
207617.5415.64-1.90
----
-0.072.282.35
207717.5515.64-1.91
----
-0.072.282.35
207817.5515.64-1.91
----
-0.072.282.36
207917.5415.64-1.90
----
-0.072.282.36
208017.5315.64-1.89
----
-0.082.282.36
208117.5115.64-1.87
----
-0.082.282.36
208217.4915.64-1.86
----
-0.082.292.36
208317.4815.64-1.84
----
-0.082.292.36
208417.4615.73-1.73
----
-0.082.382.45
208517.4515.82-1.63
----
-0.082.472.55
208617.4515.92-1.53
----
-0.082.572.65
208717.4516.01-1.44
----
-0.082.662.74
208817.4616.11-1.36
----
-0.082.762.84
208917.4916.11-1.37
----
-0.082.762.84
209017.5216.12-1.40
----
-0.082.762.85
209117.5516.12-1.43
----
-0.082.762.85
209217.5916.13-1.47
----
-0.082.762.85
209317.6416.13-1.51
----
-0.082.772.85


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
2018-2092 16.65% 15.58% -1.08%
2039
-0.03% 1.73% 1.77%

1 Under current law, the year of Trust Fund reserve depletion is 2034.
Based on Intermediate Assumptions of the 2018 Trustees Report.