Table B1—Monthly Retirement Benefits at Age 65 Under Sam Johnson Proposal
|
Benefits for one spouse of a two-earner couple — Spouse same age with similar earnings
Constant 2004 Dollars
|
|
Year
Attain
Age 65
|
Present
Law
Scheduled
Benefit
|
Present
Law
"Payable"
Benefit
|
Proposal
without IA
|
Proposal
Recognition
Bond
Annuity
|
IA
Annuity
with Low
(risk adjustment)
IA Yield
(2.75 real)
|
IA
Annuity
with
Expected
IA Yield
(4.65 real)
|
Proposal
Total Annuity
Without Minimum
|
Proposal Worker Minimum Annuity— Up to 100% of Poverty at NRA
|
Proposal
Total Annuity
Including Minimum
as Percent of
Present Law
Scheuled Benefits
|
|
CPI-
Indexed
Benefit
|
with Low
(risk adjustment)
IA Yield
(2.75 real)
|
with
Expected
IA Yield
(4.65 real)
|
with Low
(risk adjustment)
IA Yield
(2.75 real)
|
with
Expected
IA Yield
(4.65 real)
|
|
Scaled Low Earner
|
|
2015
|
772
|
772
|
764
|
|
560
|
58
|
64
|
618
|
624
|
724
|
93.8
|
93.8
|
|
2025
|
796
|
796
|
708
|
|
362
|
158
|
195
|
520
|
557
|
672
|
84.5
|
84.5
|
|
2035
|
885
|
885
|
708
|
|
204
|
289
|
397
|
493
|
602
|
672
|
76.0
|
76.0
|
|
2045
|
986
|
710
|
709
|
|
47
|
435
|
661
|
482
|
708
|
672
|
68.2
|
71.8
|
|
2055
|
1,099
|
769
|
710
|
NA
|
0
|
507
|
791
|
507
|
791
|
672
|
61.2
|
72.0
|
|
Scaled Medium Earner
|
|
2015
|
1,272
|
1,272
|
1,259
|
|
923
|
129
|
142
|
1,051
|
1,065
|
724
|
82.7
|
83.7
|
|
2025
|
1,311
|
1,311
|
1,167
|
|
596
|
351
|
434
|
947
|
1,030
|
672
|
72.2
|
78.6
|
|
2035
|
1,458
|
1,458
|
1,166
|
|
337
|
641
|
883
|
978
|
1,220
|
672
|
67.1
|
83.7
|
|
2045
|
1,625
|
1,170
|
1,168
|
|
78
|
966
|
1,469
|
1,044
|
1,546
|
672
|
64.3
|
95.2
|
|
2055
|
1,810
|
1,267
|
1,170
|
NA
|
0
|
1,127
|
1,757
|
1,127
|
1,757
|
672
|
62.3
|
97.1
|
|
Scaled High Earner
|
|
2015
|
1,687
|
1,687
|
1,669
|
|
1,224
|
206
|
228
|
1,430
|
1,452
|
724
|
84.7
|
86.1
|
|
2025
|
1,739
|
1,739
|
1,547
|
|
791
|
562
|
695
|
1,352
|
1,485
|
672
|
77.8
|
85.4
|
|
2035
|
1,933
|
1,933
|
1,546
|
|
447
|
1,026
|
1,413
|
1,472
|
1,860
|
672
|
76.2
|
96.2
|
|
2045
|
2,155
|
1,551
|
1,549
|
|
103
|
1,546
|
2,350
|
1,649
|
2,453
|
672
|
76.5
|
113.9
|
|
2055
|
2,400
|
1,680
|
1,551
|
NA
|
0
|
1,803
|
2,812
|
1,803
|
2,812
|
672
|
75.1
|
117.2
|
|
Steady Maximum Earner
|
|
2015
|
2,042
|
2,042
|
2,020
|
|
1,481
|
369
|
405
|
1,850
|
1,887
|
724
|
90.6
|
92.4
|
|
2025
|
2,124
|
2,124
|
1,889
|
|
966
|
871
|
1,062
|
1,837
|
2,028
|
672
|
86.5
|
95.5
|
|
2035
|
2,365
|
2,365
|
1,891
|
|
546
|
1,550
|
2,111
|
2,096
|
2,658
|
672
|
88.6
|
112.4
|
|
2045
|
2,634
|
1,896
|
1,894
|
|
126
|
2,462
|
3,773
|
2,588
|
3,899
|
672
|
98.3
|
148.0
|
|
2055
|
2,928
|
2,050
|
1,893
|
NA
|
0
|
2,972
|
4,724
|
2,972
|
4,724
|
672
|
101.5
|
161.3
|
Based on Intermediate Assumptions of the 2004 Trustees Report
IA is assumed to be invested 50% in equity index fund, 30% in Corporate Bond fund, 20% Treasury Bonds, 25 basis points annual administrative cost.
Expected equity yield is 6.5 percent real, Corporate bond yield 3.5 percent real, Treasury Bond yield 3 percent real
IA annuities are assumed to be joint and 2/3 survivor life annuities, CPI indexed, 3% net expected real yield (2.75% net risk adjusted real yield)
Recognition Bonds are assumed to be equivalent to the present value at NRA of the retired worker benefit times (age on 1-1-2005 — 22)/45
Office of the Chief Actuary
Social Security Administration
February 5, 2005