Table B2—Monthly Retirement Benefits at Age 65 Under Sam Johnson Proposal
|
Total benefits for one-earner married couple
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
|
1,152
|
1,152
|
1,139
|
|
560
|
58
|
64
|
618
|
624
|
724
|
89.7
|
90.0
|
|
2025
|
1,195
|
1,195
|
1,063
|
|
362
|
158
|
195
|
520
|
557
|
672
|
78.0
|
79.6
|
|
2035
|
1,310
|
1,310
|
1,048
|
|
204
|
289
|
397
|
493
|
602
|
672
|
70.1
|
74.3
|
|
2045
|
1,460
|
1,051
|
1,050
|
|
47
|
435
|
661
|
482
|
708
|
672
|
62.5
|
70.3
|
|
2055
|
1,627
|
1,139
|
1,051
|
NA
|
0
|
507
|
791
|
507
|
791
|
672
|
56.9
|
65.6
|
|
Scaled Medium Earner
|
|
2015
|
1,897
|
1,897
|
1,877
|
|
923
|
129
|
142
|
1,051
|
1,065
|
724
|
65.9
|
66.3
|
|
2025
|
1,969
|
1,969
|
1,752
|
|
596
|
351
|
434
|
947
|
1,030
|
672
|
58.2
|
60.3
|
|
2035
|
2,159
|
2,159
|
1,727
|
|
337
|
641
|
883
|
978
|
1,220
|
672
|
53.8
|
59.4
|
|
2045
|
2,406
|
1,732
|
1,730
|
|
78
|
966
|
1,469
|
1,044
|
1,546
|
672
|
49.6
|
64.3
|
|
2055
|
2,680
|
1,876
|
1,732
|
NA
|
0
|
1,127
|
1,757
|
1,127
|
1,757
|
672
|
46.1
|
65.6
|
|
Scaled High Earner
|
|
2015
|
2,516
|
2,516
|
2,489
|
|
1,224
|
206
|
228
|
1,430
|
1,452
|
724
|
57.2
|
57.7
|
|
2025
|
2,612
|
2,612
|
2,323
|
|
791
|
562
|
695
|
1,352
|
1,485
|
672
|
51.8
|
56.9
|
|
2035
|
2,862
|
2,862
|
2,289
|
|
447
|
1,026
|
1,413
|
1,472
|
1,860
|
672
|
51.4
|
65.0
|
|
2045
|
3,190
|
2,297
|
2,294
|
|
103
|
1,546
|
2,350
|
1,649
|
2,453
|
672
|
51.7
|
76.9
|
|
2055
|
3,553
|
2,487
|
2,297
|
NA
|
0
|
1,803
|
2,812
|
1,803
|
2,812
|
672
|
50.7
|
79.1
|
|
Steady Maximum Earner
|
|
2015
|
3,044
|
3,044
|
3,012
|
|
1,481
|
369
|
405
|
1,850
|
1,887
|
724
|
60.8
|
62.0
|
|
2025
|
3,190
|
3,190
|
2,837
|
|
966
|
871
|
1,062
|
1,837
|
2,028
|
672
|
57.6
|
63.6
|
|
2035
|
3,502
|
3,502
|
2,801
|
|
546
|
1,550
|
2,111
|
2,096
|
2,658
|
672
|
59.9
|
75.9
|
|
2045
|
3,900
|
2,808
|
2,804
|
|
126
|
2,462
|
3,773
|
2,588
|
3,899
|
672
|
66.4
|
100.0
|
|
2055
|
4,336
|
3,035
|
2,803
|
NA
|
0
|
2,972
|
4,724
|
2,972
|
4,724
|
672
|
68.5
|
108.9
|
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