CATEGORY: WORKER BENEFIT CHANGES
PROPOSAL:Reconfigure the minimum benefit: For workers with 10 to 30 years of coverage (YOC = 4 quarters earned that year) set PIA up to 125% of the monthly poverty level
Start date: 2015  End date: not applicable  Proposed by: National Academy of Social Insurance

Projected effects on beneficiaries in 2030

Table 1. Individual benefit changes, 2030: Reconfigure Minimum Benefit vs. Scheduled
POPULATION: current law beneficiaries aged 60+
Characteristic All Beneficiaries Affected Beneficiaries
Median Percent Change Percent With Median Percent Change Percent With
Lower Benefits Higher Benefits Lower Benefits Higher Benefits
Total 0% 0% 10% 3% 97%
Sex
Female 0% 0% 12% 4% 96%
Male 0% 0% 8% 1% 99%
Ethnicity/Race
Hispanic 0% 0% 17% 0% 100%
White 0% 0% 8% 4% 96%
Black 0% 0% 16% 1% 99%
Other 0% 0% 10% 2% 98%
Country of Birth
U.S. 0% 0% 10% 3% 97%
Foreign 0% 0% 13% 2% 98%
Age
60-69 0% 0% 17%
70-79 0% 1% 10%
80-89 0% 0% 0%
90+ 0% 0% 0%
Marital Status
Married 0% 1% 11% 5% 95%
Divorced 0% 0% 10% 1% 99%
Widowed 0% 0% 5% 0% 100%
Never Married 0% 0% 16% 0% 100%
Education
Graduate 0% 0% 3% 5% 95%
Bachelor 0% 0% 5% 7% 93%
Associate 0% 0% 10% 4% 96%
High School 0% 0% 13% 2% 98%
Less than 12 Yrs 0% 0% 19% 1% 99%
Official Poverty
Above poverty 0% 0% 9% 3% 97%
In poverty 0% 0% 25% 0% 100%
Household Income Quintile
$175,526+ 0% 1% 4% 10% 90%
$97,521 - $175,526 0% 1% 7% 7% 93%
$57,224 - $97,521 0% 0% 9% 2% 98%
$30,478 - $57,224 0% 0% 12% 1% 99%
$0-$30,478 0% 0% 18% 1% 99%
Current Law Benefit Type
Retired worker 0% 0% 11% 0% 100%
Widow(er) 0% 0% 4% 1% 99%
Spouse 0% 3% 14% 17% 83%
Disabled worker 0% 0% 15% 0% 100%
Source: SSA/Office of Retirement Policy, using MINT 7 Run: 03/09/2015 Ref #: NASI0801v1
Note: — = sample size is too small.
Providing these estimates does not imply SSA support for the proposal, nor is SSA responsible for any interpretations of these estimates.
Table 2. Household income changes, 2030: Reconfigure Minimum Benefit vs. Scheduled
POPULATION: current law beneficiaries aged 60+
Characteristic All Beneficiaries Affected Beneficiaries
Median Percent Change Percent With Median Percent Change Percent With
Lower Income Higher Income Lower Income Higher Income
Total 0% 0% 10% 0% 78%
Sex
Female 0% 0% 10% 1% 75%
Male 0% 0% 11% 0% 82%
Ethnicity/Race
Hispanic 0% 0% 18% 0% 86%
White 0% 0% 9% 1% 74%
Black 0% 0% 16% 0% 85%
Other 0% 0% 9% 0% 73%
Country of Birth
U.S. 0% 0% 10% 1% 78%
Foreign 0% 0% 13% 0% 77%
Age
60-69 0% 0% 16%
70-79 0% 0% 11%
80-89 0% 0% 1%
90+ 0% 0% 0%
Marital Status
Married 0% 0% 12% 0% 72%
Divorced 0% 0% 9% 1% 87%
Widowed 0% 0% 4% 0% 84%
Never Married 0% 0% 14% 0% 90%
Education
Graduate 0% 0% 3% 1% 63%
Bachelor 0% 0% 5% 0% 67%
Associate 0% 0% 10% 0% 74%
High School 0% 0% 13% 1% 79%
Less than 12 Yrs 0% 0% 20% 0% 88%
Official Poverty
Above poverty 0% 0% 10% 0% 75%
In poverty 0% 0% 23% 0% 95%
Household Income Quintile
$175,526+ 0% 0% 2% 0% 0% 24%
$97,521 - $175,526 0% 0% 6% 1% 53%
$57,224 - $97,521 0% 0% 11% 1% 78%
$30,478 - $57,224 0% 0% 14% 0% 88%
$0-$30,478 0% 0% 19% 0% 96%
Current Law Benefit Type
Retired worker 0% 0% 12% 0% 81%
Widow(er) 0% 0% 4% 1% 86%
Spouse 0% 0% 9% 2% 52%
Disabled worker 0% 0% 16% 0% 84%
Source: SSA/Office of Retirement Policy, using MINT 7 Run: 03/09/2015 Ref #: NASI0801v1
Note: — = sample size is too small.
Providing these estimates does not imply SSA support for the proposal, nor is SSA responsible for any interpretations of these estimates.
Table 3. Poverty, 2030: Reconfigure Minimum Benefit vs. Scheduled
POPULATION: current law beneficiaries aged 60+
Characteristic Poverty Rate Population Change (thousands)
Scheduled Option Change
Total 4.9% 4.1% -0.7% -551
Sex
Female 5.3% 4.6% -0.8% -309
Male 4.3% 3.6% -0.7% -241
Ethnicity/Race
Hispanic 8.8% 8.0% -0.8% -59
White 3.5% 2.9% -0.7% -354
Black 9.0% 7.4% -1.6% -118
Other 7.7% 7.3% -0.4% -19
Country of Birth
U.S. 4.2% 3.4% -0.8% -474
Foreign 8.8% 8.1% -0.7% -76
Age
60-69 5.7% 4.6% -1.1% -273
70-79 4.9% 4.1% -0.9% -276
80-89 3.8% 3.8% 0.0% -1
90+ 2.5% 2.5% 0.0% 0
Marital Status
Married 1.9% 1.8% -0.1% -48
Divorced 8.3% 6.4% -1.8% -249
Widowed 5.8% 5.3% -0.5% -70
Never Married 17.0% 13.7% -3.3% -183
Education
Graduate 1.4% 1.3% -0.1% -9
Bachelor 2.2% 1.8% -0.3% -45
Associate 3.6% 3.0% -0.6% -97
High School 6.1% 5.0% -1.1% -300
Less than 12 Yrs 13.9% 12.3% -1.6% -98
Official Poverty
Above poverty 0.0% 0.0% 0.0% 0
In poverty 100.0% 84.7% -15.3% -551
Household Income Quintile
$175,526+ 0.1% 0.1% 0.0% 0
$97,521 - $175,526 0.1% 0.1% 0.0% -2
$57,224 - $97,521 0.3% 0.3% 0.0% -4
$30,478 - $57,224 0.8% 0.7% -0.1% -18
$0-$30,478 23.0% 19.5% -3.6% -525
Current Law Benefit Type
Retired worker 4.6% 3.7% -0.9% -459
Widow(er) 5.0% 4.4% -0.5% -64
Spouse 5.5% 5.2% -0.3% -18
Disabled worker 8.5% 8.2% -0.3% -9
Source: SSA/Office of Retirement Policy, using MINT 7 Run: 03/09/2015 Ref #: NASI0801v1
Providing these estimates does not imply SSA support for the proposal, nor is SSA responsible for any interpretations of these estimates.
Table 4. Beneficiary characteristics, 2030: Reconfigure Minimum Benefit vs. Scheduled
POPULATION: current law beneficiaries aged 60+
Characteristic All beneficiaries Affected beneficiaries Beneficiaries with lower benefits Beneficiaries with higher benefits
Number (thousands) Percent Number (thousands) Percent Number (thousands) Percent Number (thousands) Percent
Total 73,810 100.0 7,634 100.0 224 100.0 7,411 100.0
Sex
Female 39,993 54.2 4,985 65.3 184 82.4 4,801 64.8
Male 33,817 45.8 2,649 34.7 39 17.6 2,610 35.2
Ethnicity/Race
Hispanic 7,865 10.7 1,356 17.8 4 1.8 1,352 18.2
White 54,004 73.2 4,621 60.5 203 90.7 4,418 59.6
Black 7,559 10.2 1,226 16.1 10 4.3 1,216 16.4
Other 4,382 5.9 431 5.7 7 3.2 424 5.7
Country of Birth
U.S. 62,372 84.5 6,140 80.4 199 88.8 5,941 80.2
Foreign 11,438 15.5 1,495 19.6 25 11.2 1,470 19.8
Age
60-69 24,505 33.2 4,208 55.1 53 23.7 4,155 56.1
70-79 31,533 42.7 3,411 44.7 171 76.3 3,240 43.7
80-89 14,979 20.3 16 0.2 . . . . . . 16 0.2
90+ 2,793 3.8 . . . . . . . . . . . . . . . . . .
Marital Status
Married 41,785 56.6 4,714 61.7 212 94.9 4,501 60.7
Divorced 13,632 18.5 1,395 18.3 10 4.5 1,385 18.7
Widowed 12,828 17.4 635 8.3 1 0.5 634 8.6
Never Married 5,566 7.5 890 11.7 . . . . . . 890 12.0
Education
Graduate 8,636 11.7 256 3.4 12 5.5 244 3.3
Bachelor 13,936 18.9 727 9.5 51 22.6 677 9.1
Associate 16,752 22.7 1,753 23.0 64 28.5 1,689 22.8
High School 28,256 38.3 3,707 48.6 88 39.6 3,618 48.8
Less than 12 Yrs 6,230 8.4 1,191 15.6 9 3.8 1,183 16.0
Official Poverty
Above poverty 70,205 95.1 6,743 88.3 224 100.0 6,519 88.0
In poverty 3,604 4.9 891 11.7 . . . . . . 891 12.0
Household Income Quintile
$175,526+ 14,762 20.0 720 9.4 74 33.2 646 8.7
$97,521 - $175,526 14,762 20.0 1,168 15.3 84 37.6 1,084 14.6
$57,224 - $97,521 14,763 20.0 1,380 18.1 29 12.9 1,351 18.2
$30,478 - $57,224 14,759 20.0 1,724 22.6 22 9.8 1,702 23.0
$0-$30,478 14,763 20.0 2,642 34.6 14 6.5 2,628 35.5
Current Law Benefit Type
Retired worker 51,869 70.3 5,471 71.7 25 11.1 5,446 73.5
Widow(er) 12,154 16.5 548 7.2 7 3.0 541 7.3
Spouse 6,571 8.9 1,127 14.8 192 86.0 934 12.6
Disabled worker 3,215 4.4 489 6.4 . . . . . . 489 6.6
Source: SSA/Office of Retirement Policy, using MINT 7 Run: 03/09/2015 Ref #: NASI0801v1
Note: . . . = not applicable.
Providing these estimates does not imply SSA support for the proposal, nor is SSA responsible for any interpretations of these estimates.
Table 5. Beneficiary Status, 2030: Reconfigure Minimum Benefit vs. Scheduled (in thousands)
POPULATION: current law or option beneficiaries aged 60+
Characteristic Current Law Beneficiaries Changes in beneficiary status under proposed option Policy Option Beneficiaries
Added Removed Net Change
Total 73,810 -2 73,834
Sex
Female 39,993 0 40,006
Male 33,817 -2 33,828
Ethnicity/Race
Hispanic 7,865 0 7,873
White 54,004 -2 54,012
Black 7,559 0 7,568
Other 4,382 0 0 4,382
Country of Birth
U.S. 62,372 -2 62,384
Foreign 11,438 0 11,450
Age
60-69 24,505 0 24,532
70-79 31,533 -2 -1 31,531
80-89 14,979 0 0 14,979
90+ 2,793 0 0 2,793
Marital Status
Married 41,785 -2 41,803
Divorced 13,632 0 13,636
Widowed 12,828 0 12,830
Never Married 5,566 0 0 5,566
Education
Graduate 8,636 0 8,638
Bachelor 13,936 0 0 13,936
Associate 16,752 0 16,754
High School 28,256 -2 28,262
Less than 12 Yrs 6,230 0 6,245
Official Poverty
Above poverty 70,205 -2 70,230
In poverty 3,604 0 0 3,604
Household Income Quintile
$175,526+ 14,762 -2 14,767
$97,521 - $175,526 14,762 0 14,766
$57,224 - $97,521 14,763 0 14,772
$30,478 - $57,224 14,759 0 14,764
$0-$30,478 14,763 0 14,765
Current Law Benefit Type
Retired worker 51,869 0 0 51,869
Widow(er) 12,154 0 0 12,154
Spouse 6,571 -2 -1 6,569
Disabled worker 3,215 0 0 3,215
None 0 0 26
Source: SSA/Office of Retirement Policy, using MINT 7 Run: 03/09/2015 Ref #: NASI0801v1
Providing these estimates does not imply SSA support for the proposal, nor is SSA responsible for any interpretations of these estimates.