Description of Proposed Provision:
B1.1: Price indexing of PIA factors beginning with those newly eligible for OASDI benefits in 2025: Reduce factors so that initial benefits grow by inflation rather than by the SSA average wage index.
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 |
|||
| 2018 | 13.81 | 12.64 | -1.17 | 288 | 0.00 | 0.00 | 0.00 | ||
| 2019 | 13.95 | 12.87 | -1.08 | 272 | 0.00 | 0.00 | 0.00 | ||
| 2020 | 14.12 | 12.89 | -1.23 | 256 | 0.00 | 0.00 | 0.00 | ||
| 2021 | 14.27 | 12.92 | -1.35 | 239 | 0.00 | 0.00 | 0.00 | ||
| 2022 | 14.44 | 12.95 | -1.49 | 223 | 0.00 | 0.00 | 0.00 | ||
| 2023 | 14.62 | 12.97 | -1.66 | 206 | 0.00 | 0.00 | 0.00 | ||
| 2024 | 14.80 | 12.99 | -1.81 | 188 | 0.00 | 0.00 | 0.00 | ||
| 2025 | 14.98 | 13.01 | -1.97 | 171 | -0.00 | -0.00 | 0.00 | ||
| 2026 | 15.15 | 13.13 | -2.02 | 154 | -0.01 | -0.00 | 0.01 | ||
| 2027 | 15.34 | 13.15 | -2.19 | 137 | -0.02 | -0.00 | 0.02 | ||
| 2028 | 15.54 | 13.17 | -2.37 | 121 | -0.04 | -0.00 | 0.04 | ||
| 2029 | 15.73 | 13.19 | -2.54 | 104 | -0.07 | -0.00 | 0.06 | ||
| 2030 | 15.88 | 13.20 | -2.68 | 88 | -0.10 | -0.00 | 0.10 | ||
| 2031 | 16.01 | 13.21 | -2.81 | 71 | -0.14 | -0.01 | 0.14 | ||
| 2032 | 16.12 | 13.22 | -2.90 | 54 | -0.20 | -0.01 | 0.19 | ||
| 2033 | 16.19 | 13.23 | -2.96 | 37 | -0.26 | -0.01 | 0.25 | ||
| 2034 | 16.23 | 13.23 | -3.00 | 19 | -0.34 | -0.02 | 0.32 | ||
| 2035 | 16.23 | 13.23 | -3.00 | 2 | -0.42 | -0.02 | 0.40 | ||
| 2036 | 16.22 | 13.24 | -2.98 | ---- | -0.51 | -0.02 | 0.48 | ||
| 2037 | 16.18 | 13.24 | -2.95 | ---- | -0.60 | -0.03 | 0.57 | ||
| 2038 | 16.12 | 13.24 | -2.88 | ---- | -0.70 | -0.03 | 0.67 | ||
| 2039 | 16.03 | 13.23 | -2.79 | ---- | -0.81 | -0.04 | 0.77 | ||
| 2040 | 15.91 | 13.23 | -2.68 | ---- | -0.92 | -0.04 | 0.87 | ||
| 2041 | 15.78 | 13.22 | -2.56 | ---- | -1.03 | -0.05 | 0.98 | ||
| 2042 | 15.62 | 13.22 | -2.41 | ---- | -1.15 | -0.06 | 1.10 | ||
| 2043 | 15.46 | 13.21 | -2.25 | ---- | -1.28 | -0.06 | 1.21 | ||
| 2044 | 15.29 | 13.20 | -2.09 | ---- | -1.41 | -0.07 | 1.34 | ||
| 2045 | 15.12 | 13.19 | -1.93 | ---- | -1.54 | -0.08 | 1.46 | ||
| 2046 | 14.95 | 13.18 | -1.76 | ---- | -1.68 | -0.09 | 1.60 | ||
| 2047 | 14.78 | 13.17 | -1.60 | ---- | -1.83 | -0.09 | 1.73 | ||
| 2048 | 14.60 | 13.17 | -1.44 | ---- | -1.97 | -0.10 | 1.87 | ||
| 2049 | 14.43 | 13.16 | -1.27 | ---- | -2.12 | -0.11 | 2.01 | ||
| 2050 | 14.27 | 13.15 | -1.12 | ---- | -2.28 | -0.12 | 2.16 | ||
| 2051 | 14.10 | 13.14 | -0.96 | ---- | -2.43 | -0.13 | 2.31 | ||
| 2052 | 13.94 | 13.13 | -0.81 | ---- | -2.59 | -0.14 | 2.46 | ||
| 2053 | 13.79 | 13.13 | -0.66 | ---- | -2.75 | -0.15 | 2.61 | ||
| 2054 | 13.64 | 13.12 | -0.52 | ---- | -2.92 | -0.15 | 2.76 | ||
| 2055 | 13.51 | 13.11 | -0.39 | ---- | -3.08 | -0.16 | 2.92 | ||
| 2056 | 13.37 | 13.11 | -0.27 | ---- | -3.25 | -0.17 | 3.08 | ||
| 2057 | 13.25 | 13.10 | -0.15 | ---- | -3.42 | -0.18 | 3.24 | ||
| 2058 | 13.13 | 13.09 | -0.03 | ---- | -3.59 | -0.19 | 3.39 | ||
| 2059 | 13.01 | 13.09 | 0.08 | ---- | -3.75 | -0.20 | 3.55 | ||
| 2060 | 12.89 | 13.08 | 0.19 | ---- | -3.91 | -0.21 | 3.70 | ||
| 2061 | 12.78 | 13.08 | 0.30 | ---- | -4.08 | -0.22 | 3.86 | ||
| 2062 | 12.67 | 13.07 | 0.40 | ---- | -4.24 | -0.23 | 4.01 | ||
| 2063 | 12.57 | 13.07 | 0.50 | ---- | -4.40 | -0.24 | 4.16 | ||
| 2064 | 12.46 | 13.06 | 0.60 | ---- | -4.56 | -0.25 | 4.31 | ||
| 2065 | 12.36 | 13.06 | 0.70 | ---- | -4.71 | -0.26 | 4.46 | ||
| 2066 | 12.26 | 13.05 | 0.80 | ---- | -4.87 | -0.27 | 4.60 | ||
| 2067 | 12.16 | 13.05 | 0.89 | ---- | -5.02 | -0.27 | 4.75 | ||
| 2068 | 12.06 | 13.04 | 0.98 | ---- | -5.18 | -0.28 | 4.90 | ||
| 2069 | 11.97 | 13.04 | 1.07 | ---- | -5.34 | -0.29 | 5.04 | ||
| 2070 | 11.87 | 13.03 | 1.16 | ---- | -5.49 | -0.30 | 5.19 | ||
| 2071 | 11.78 | 13.03 | 1.25 | ---- | -5.64 | -0.31 | 5.33 | ||
| 2072 | 11.68 | 13.02 | 1.34 | ---- | -5.79 | -0.32 | 5.47 | ||
| 2073 | 11.58 | 13.02 | 1.44 | ---- | -5.93 | -0.33 | 5.61 | ||
| 2074 | 11.48 | 13.01 | 1.54 | ---- | -6.08 | -0.34 | 5.74 | ||
| 2075 | 11.37 | 13.01 | 1.64 | ---- | -6.22 | -0.34 | 5.87 | ||
| 2076 | 11.26 | 13.00 | 1.74 | ---- | -6.35 | -0.35 | 6.00 | ||
| 2077 | 11.15 | 13.00 | 1.85 | ---- | -6.48 | -0.36 | 6.12 | ||
| 2078 | 11.03 | 12.99 | 1.96 | ---- | -6.60 | -0.37 | 6.23 | ||
| 2079 | 10.90 | 12.98 | 2.08 | ---- | -6.72 | -0.37 | 6.34 | ||
| 2080 | 10.78 | 12.98 | 2.20 | ---- | -6.83 | -0.38 | 6.45 | ||
| 2081 | 10.65 | 12.97 | 2.32 | ---- | -6.94 | -0.39 | 6.55 | ||
| 2082 | 10.52 | 12.96 | 2.44 | ---- | -7.05 | -0.39 | 6.66 | ||
| 2083 | 10.40 | 12.95 | 2.56 | ---- | -7.16 | -0.40 | 6.76 | ||
| 2084 | 10.28 | 12.95 | 2.67 | ---- | -7.26 | -0.40 | 6.86 | ||
| 2085 | 10.16 | 12.94 | 2.78 | ---- | -7.37 | -0.41 | 6.96 | ||
| 2086 | 10.04 | 12.93 | 2.89 | ---- | -7.48 | -0.42 | 7.07 | ||
| 2087 | 9.94 | 12.93 | 2.99 | ---- | -7.60 | -0.42 | 7.18 | ||
| 2088 | 9.83 | 12.92 | 3.09 | ---- | -7.71 | -0.43 | 7.29 | ||
| 2089 | 9.73 | 12.92 | 3.18 | ---- | -7.83 | -0.44 | 7.40 | ||
| 2090 | 9.64 | 12.91 | 3.27 | ---- | -7.96 | -0.44 | 7.51 | ||
| 2091 | 9.55 | 12.91 | 3.35 | ---- | -8.08 | -0.45 | 7.63 | ||
| 2092 | 9.47 | 12.90 | 3.43 | ---- | -8.21 | -0.46 | 7.75 | ||
| 2093 | 9.39 | 12.90 | 3.51 | 22 | -8.34 | -0.46 | 7.87 | ||
Summarized Estimates
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
| 2018-2092 | 13.75% | 13.69% | -0.07% | 2035 | -2.93% | -0.16% | 2.78% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2034. |
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Based on Intermediate Assumptions of the 2018 Trustees Report.