Detailed Single Year Tables
Description of Proposed Provision:
E3.19: Increase the taxable maximum such that 90 percent of earnings would be subject to the payroll tax (phased in linearly from 2022-2027). Provide benefit credit for additional earnings taxed, using a secondary PIA formula. This secondary PIA formula involves: (1) an "AIME+" derived from additional annual earnings taxed over the current-law taxable maximum; and (2) a formula factor of 2.5 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 |
|||
| 2020 | 13.92 | 13.00 | -0.92 | 261 | 0.00 | 0.00 | 0.00 | ||
| 2021 | 14.05 | 12.90 | -1.15 | 248 | 0.00 | 0.00 | 0.00 | ||
| 2022 | 14.25 | 13.15 | -1.09 | 233 | 0.00 | 0.23 | 0.23 | ||
| 2023 | 14.43 | 13.37 | -1.06 | 218 | -0.00 | 0.43 | 0.43 | ||
| 2024 | 14.64 | 13.58 | -1.07 | 204 | -0.00 | 0.60 | 0.60 | ||
| 2025 | 14.88 | 13.75 | -1.13 | 191 | -0.00 | 0.75 | 0.76 | ||
| 2026 | 15.11 | 14.01 | -1.10 | 178 | -0.00 | 0.89 | 0.89 | ||
| 2027 | 15.35 | 14.16 | -1.19 | 166 | -0.00 | 1.01 | 1.01 | ||
| 2028 | 15.58 | 14.21 | -1.37 | 154 | -0.00 | 1.02 | 1.02 | ||
| 2029 | 15.83 | 14.25 | -1.58 | 141 | -0.00 | 1.02 | 1.02 | ||
| 2030 | 16.02 | 14.27 | -1.75 | 129 | 0.00 | 1.03 | 1.03 | ||
| 2031 | 16.19 | 14.28 | -1.91 | 117 | 0.00 | 1.03 | 1.03 | ||
| 2032 | 16.33 | 14.30 | -2.04 | 104 | 0.00 | 1.03 | 1.03 | ||
| 2033 | 16.45 | 14.31 | -2.15 | 92 | 0.00 | 1.03 | 1.03 | ||
| 2034 | 16.55 | 14.32 | -2.24 | 79 | 0.00 | 1.03 | 1.03 | ||
| 2035 | 16.63 | 14.32 | -2.31 | 66 | 0.00 | 1.03 | 1.03 | ||
| 2036 | 16.69 | 14.33 | -2.36 | 53 | 0.00 | 1.03 | 1.03 | ||
| 2037 | 16.74 | 14.34 | -2.41 | 39 | 0.01 | 1.03 | 1.03 | ||
| 2038 | 16.79 | 14.34 | -2.45 | 26 | 0.01 | 1.03 | 1.03 | ||
| 2039 | 16.82 | 14.35 | -2.48 | 12 | 0.01 | 1.03 | 1.03 | ||
| 2040 | 16.86 | 14.35 | -2.50 | ---- | 0.01 | 1.04 | 1.03 | ||
| 2041 | 16.87 | 14.36 | -2.51 | ---- | 0.01 | 1.04 | 1.03 | ||
| 2042 | 16.87 | 14.36 | -2.51 | ---- | 0.01 | 1.04 | 1.03 | ||
| 2043 | 16.86 | 14.36 | -2.50 | ---- | 0.01 | 1.04 | 1.03 | ||
| 2044 | 16.85 | 14.36 | -2.48 | ---- | 0.01 | 1.04 | 1.03 | ||
| 2045 | 16.83 | 14.36 | -2.47 | ---- | 0.01 | 1.04 | 1.03 | ||
| 2046 | 16.82 | 14.36 | -2.45 | ---- | 0.02 | 1.04 | 1.03 | ||
| 2047 | 16.81 | 14.36 | -2.44 | ---- | 0.02 | 1.05 | 1.03 | ||
| 2048 | 16.81 | 14.37 | -2.44 | ---- | 0.02 | 1.05 | 1.03 | ||
| 2049 | 16.80 | 14.37 | -2.44 | ---- | 0.02 | 1.05 | 1.03 | ||
| 2050 | 16.81 | 14.37 | -2.44 | ---- | 0.02 | 1.05 | 1.03 | ||
| 2051 | 16.81 | 14.37 | -2.44 | ---- | 0.02 | 1.05 | 1.03 | ||
| 2052 | 16.83 | 14.37 | -2.46 | ---- | 0.02 | 1.05 | 1.03 | ||
| 2053 | 16.86 | 14.38 | -2.48 | ---- | 0.02 | 1.05 | 1.02 | ||
| 2054 | 16.88 | 14.38 | -2.50 | ---- | 0.03 | 1.05 | 1.02 | ||
| 2055 | 16.92 | 14.39 | -2.53 | ---- | 0.03 | 1.05 | 1.02 | ||
| 2056 | 16.96 | 14.39 | -2.57 | ---- | 0.03 | 1.05 | 1.02 | ||
| 2057 | 17.01 | 14.40 | -2.61 | ---- | 0.03 | 1.05 | 1.02 | ||
| 2058 | 17.06 | 14.40 | -2.66 | ---- | 0.03 | 1.05 | 1.02 | ||
| 2059 | 17.12 | 14.41 | -2.71 | ---- | 0.03 | 1.05 | 1.02 | ||
| 2060 | 17.18 | 14.41 | -2.77 | ---- | 0.03 | 1.05 | 1.02 | ||
| 2061 | 17.24 | 14.42 | -2.82 | ---- | 0.04 | 1.06 | 1.02 | ||
| 2062 | 17.30 | 14.42 | -2.88 | ---- | 0.04 | 1.06 | 1.02 | ||
| 2063 | 17.37 | 14.43 | -2.94 | ---- | 0.04 | 1.06 | 1.02 | ||
| 2064 | 17.43 | 14.43 | -3.00 | ---- | 0.04 | 1.06 | 1.02 | ||
| 2065 | 17.50 | 14.44 | -3.06 | ---- | 0.04 | 1.06 | 1.02 | ||
| 2066 | 17.57 | 14.45 | -3.12 | ---- | 0.04 | 1.06 | 1.02 | ||
| 2067 | 17.64 | 14.45 | -3.18 | ---- | 0.04 | 1.06 | 1.02 | ||
| 2068 | 17.71 | 14.46 | -3.25 | ---- | 0.04 | 1.06 | 1.02 | ||
| 2069 | 17.78 | 14.46 | -3.32 | ---- | 0.05 | 1.06 | 1.02 | ||
| 2070 | 17.85 | 14.47 | -3.38 | ---- | 0.05 | 1.06 | 1.02 | ||
| 2071 | 17.92 | 14.48 | -3.44 | ---- | 0.05 | 1.07 | 1.02 | ||
| 2072 | 17.98 | 14.48 | -3.50 | ---- | 0.05 | 1.07 | 1.02 | ||
| 2073 | 18.03 | 14.49 | -3.55 | ---- | 0.05 | 1.07 | 1.02 | ||
| 2074 | 18.09 | 14.49 | -3.60 | ---- | 0.05 | 1.07 | 1.02 | ||
| 2075 | 18.13 | 14.50 | -3.64 | ---- | 0.05 | 1.07 | 1.02 | ||
| 2076 | 18.17 | 14.50 | -3.67 | ---- | 0.05 | 1.07 | 1.02 | ||
| 2077 | 18.19 | 14.50 | -3.69 | ---- | 0.05 | 1.07 | 1.02 | ||
| 2078 | 18.21 | 14.50 | -3.70 | ---- | 0.05 | 1.07 | 1.02 | ||
| 2079 | 18.20 | 14.51 | -3.70 | ---- | 0.05 | 1.07 | 1.02 | ||
| 2080 | 18.19 | 14.51 | -3.69 | ---- | 0.05 | 1.07 | 1.02 | ||
| 2081 | 18.17 | 14.51 | -3.67 | ---- | 0.05 | 1.07 | 1.02 | ||
| 2082 | 18.15 | 14.51 | -3.64 | ---- | 0.06 | 1.07 | 1.02 | ||
| 2083 | 18.12 | 14.51 | -3.62 | ---- | 0.06 | 1.08 | 1.02 | ||
| 2084 | 18.09 | 14.50 | -3.58 | ---- | 0.06 | 1.08 | 1.02 | ||
| 2085 | 18.05 | 14.50 | -3.55 | ---- | 0.06 | 1.08 | 1.02 | ||
| 2086 | 18.01 | 14.50 | -3.51 | ---- | 0.06 | 1.08 | 1.02 | ||
| 2087 | 17.98 | 14.50 | -3.48 | ---- | 0.06 | 1.08 | 1.02 | ||
| 2088 | 17.95 | 14.50 | -3.45 | ---- | 0.06 | 1.08 | 1.02 | ||
| 2089 | 17.93 | 14.50 | -3.43 | ---- | 0.06 | 1.08 | 1.02 | ||
| 2090 | 17.92 | 14.50 | -3.42 | ---- | 0.06 | 1.08 | 1.02 | ||
| 2091 | 17.92 | 14.50 | -3.43 | ---- | 0.06 | 1.08 | 1.02 | ||
| 2092 | 17.94 | 14.50 | -3.44 | ---- | 0.06 | 1.08 | 1.02 | ||
| 2093 | 17.96 | 14.50 | -3.46 | ---- | 0.06 | 1.08 | 1.03 | ||
| 2094 | 17.99 | 14.51 | -3.49 | ---- | 0.06 | 1.08 | 1.03 | ||
| 2095 | 18.03 | 14.51 | -3.52 | ---- | 0.06 | 1.08 | 1.03 | ||
Summarized Estimates
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
| 2020-2094 | 17.09% | 14.84% | -2.25% | 2039 | 0.03% | 0.99% | 0.96% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2035. |
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Based on Intermediate Assumptions of the 2020 Trustees Report.