Proposed Provision: E2.15. Apply OASDI 12.4 percent payroll tax rate on earnings above $300,000 starting in 2020, and tax all earnings once the current-law taxable maximum exceeds $300,000. Provide benefit credit for earnings above the current-law taxable maximum that are subject to the payroll tax, using a secondary PIA formula. This secondary PIA formula involves: (1) an "AIME+" derived from annual earnings from each year after 2019 that were in excess of that year's current-law taxable maximum; and (2) a formula factor of 3 percent on this newly computed "AIME+".
OASDI Trust Fund Ratio
(assets as a percentage of annual expenditures)
Year |
Current Law |
Provision |
2018 | 288 | 288 |
2019 | 272 | 272 |
2020 | 256 | 256 |
2021 | 239 | 247 |
2022 | 223 | 239 |
2023 | 206 | 230 |
2024 | 188 | 221 |
2025 | 171 | 212 |
2026 | 154 | 203 |
2027 | 137 | 194 |
2028 | 120 | 186 |
2029 | 104 | 178 |
2030 | 86 | 170 |
2031 | 69 | 162 |
2032 | 51 | 154 |
2033 | 33 | 147 |
2034 | 14 | 140 |
2035 | -5 | 132 |
2036 | -25 | 125 |
2037 | -46 | 117 |
2038 | -67 | 110 |
2039 | -88 | 104 |
2040 | -110 | 97 |
2041 | -132 | 91 |
2042 | -154 | 85 |
2043 | -176 | 79 |
2044 | -199 | 73 |
2045 | -221 | 68 |
2046 | -244 | 62 |
2047 | -267 | 57 |
2048 | -289 | 51 |
2049 | -312 | 46 |
2050 | -335 | 41 |
2051 | -358 | 35 |
2052 | -381 | 30 |
2053 | -403 | 25 |
2054 | -426 | 19 |
2055 | -450 | 14 |
2056 | -473 | 8 |
2057 | -496 | 2 |
2058 | -520 | -4 |
2059 | -544 | -11 |
2060 | -569 | -18 |
2061 | -594 | -25 |
2062 | -619 | -32 |
2063 | -645 | -40 |
2064 | -671 | -48 |
2065 | -698 | -57 |
2066 | -725 | -66 |
2067 | -752 | -75 |
2068 | -780 | -84 |
2069 | -808 | -94 |
2070 | -837 | -104 |
2071 | -866 | -114 |
2072 | -896 | -125 |
2073 | -927 | -137 |
2074 | -958 | -148 |
2075 | -990 | -160 |
2076 | -1023 | -172 |
2077 | -1057 | -185 |
2078 | -1092 | -198 |
2079 | -1128 | -211 |
2080 | -1165 | -224 |
2081 | -1202 | -237 |
2082 | -1240 | -251 |
2083 | -1278 | -264 |
2084 | -1316 | -278 |
2085 | -1354 | -292 |
2086 | -1392 | -305 |
2087 | -1430 | -319 |
2088 | -1468 | -332 |
2089 | -1505 | -346 |
2090 | -1543 | -360 |
2091 | -1580 | -374 |
2092 | -1618 | -388 |
2093 | -1655 | -402 |
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