Detailed Single Year Tables
Description of Proposed Provision:
B3.16: For retired worker and disabled worker beneficiaries becoming initially eligible in January 2029 or later, phase in a new benefit formula (from 2029 to 2038). Replace the existing two primary insurance amount (PIA) bend points with three new bend points as follows: (1) 25% AWI/12 from 2 years prior to initial eligibility; (2) 100% AWI/12 from 2 years prior to initial eligibility; and (3) 125% AWI/12 from 2 years prior to initial eligibility. The new PIA factors are 95%, 27.5%, 5% and 2%. During the phase in, those becoming newly eligible for benefits will receive an increasing portion of their benefits based on the new formula, reaching 100% of the new formula in 2038.
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 |
|||
| 2022 | 14.05 | 12.79 | -1.26 | 230 | 0.00 | 0.00 | 0.00 | ||
| 2023 | 14.31 | 13.04 | -1.27 | 211 | 0.00 | 0.00 | 0.00 | ||
| 2024 | 14.45 | 12.95 | -1.49 | 194 | 0.00 | 0.00 | 0.00 | ||
| 2025 | 14.66 | 12.97 | -1.69 | 177 | 0.00 | 0.00 | 0.00 | ||
| 2026 | 14.88 | 13.08 | -1.80 | 160 | 0.00 | 0.00 | 0.00 | ||
| 2027 | 15.10 | 13.10 | -2.00 | 143 | 0.00 | 0.00 | 0.00 | ||
| 2028 | 15.33 | 13.14 | -2.19 | 126 | 0.00 | 0.00 | 0.00 | ||
| 2029 | 15.53 | 13.17 | -2.35 | 109 | -0.00 | -0.00 | 0.00 | ||
| 2030 | 15.72 | 13.20 | -2.52 | 91 | -0.00 | -0.00 | 0.00 | ||
| 2031 | 15.90 | 13.23 | -2.67 | 74 | -0.00 | -0.00 | 0.00 | ||
| 2032 | 16.06 | 13.24 | -2.81 | 57 | -0.01 | -0.00 | 0.01 | ||
| 2033 | 16.19 | 13.26 | -2.93 | 39 | -0.02 | -0.00 | 0.02 | ||
| 2034 | 16.29 | 13.26 | -3.03 | 22 | -0.03 | -0.00 | 0.03 | ||
| 2035 | 16.37 | 13.27 | -3.10 | 3 | -0.05 | -0.00 | 0.04 | ||
| 2036 | 16.43 | 13.28 | -3.15 | ---- | -0.07 | -0.00 | 0.06 | ||
| 2037 | 16.48 | 13.28 | -3.20 | ---- | -0.10 | -0.01 | 0.09 | ||
| 2038 | 16.50 | 13.28 | -3.22 | ---- | -0.14 | -0.01 | 0.13 | ||
| 2039 | 16.50 | 13.29 | -3.21 | ---- | -0.19 | -0.01 | 0.18 | ||
| 2040 | 16.48 | 13.29 | -3.19 | ---- | -0.24 | -0.01 | 0.23 | ||
| 2041 | 16.44 | 13.28 | -3.15 | ---- | -0.30 | -0.02 | 0.28 | ||
| 2042 | 16.40 | 13.28 | -3.12 | ---- | -0.37 | -0.02 | 0.35 | ||
| 2043 | 16.35 | 13.28 | -3.07 | ---- | -0.44 | -0.03 | 0.41 | ||
| 2044 | 16.29 | 13.28 | -3.02 | ---- | -0.51 | -0.03 | 0.48 | ||
| 2045 | 16.24 | 13.27 | -2.96 | ---- | -0.59 | -0.03 | 0.55 | ||
| 2046 | 16.18 | 13.27 | -2.91 | ---- | -0.66 | -0.04 | 0.62 | ||
| 2047 | 16.13 | 13.27 | -2.86 | ---- | -0.74 | -0.04 | 0.69 | ||
| 2048 | 16.08 | 13.27 | -2.81 | ---- | -0.81 | -0.05 | 0.77 | ||
| 2049 | 16.03 | 13.26 | -2.76 | ---- | -0.89 | -0.05 | 0.83 | ||
| 2050 | 15.99 | 13.26 | -2.73 | ---- | -0.96 | -0.06 | 0.90 | ||
| 2051 | 15.95 | 13.26 | -2.69 | ---- | -1.03 | -0.06 | 0.97 | ||
| 2052 | 15.92 | 13.26 | -2.66 | ---- | -1.10 | -0.07 | 1.03 | ||
| 2053 | 15.89 | 13.26 | -2.63 | ---- | -1.16 | -0.07 | 1.09 | ||
| 2054 | 15.87 | 13.26 | -2.62 | ---- | -1.23 | -0.07 | 1.15 | ||
| 2055 | 15.86 | 13.26 | -2.60 | ---- | -1.29 | -0.08 | 1.21 | ||
| 2056 | 15.86 | 13.26 | -2.60 | ---- | -1.34 | -0.08 | 1.26 | ||
| 2057 | 15.87 | 13.26 | -2.61 | ---- | -1.40 | -0.08 | 1.31 | ||
| 2058 | 15.88 | 13.26 | -2.61 | ---- | -1.45 | -0.09 | 1.36 | ||
| 2059 | 15.89 | 13.26 | -2.63 | ---- | -1.50 | -0.09 | 1.40 | ||
| 2060 | 15.91 | 13.27 | -2.65 | ---- | -1.54 | -0.09 | 1.45 | ||
| 2061 | 15.93 | 13.27 | -2.66 | ---- | -1.58 | -0.10 | 1.48 | ||
| 2062 | 15.95 | 13.27 | -2.68 | ---- | -1.62 | -0.10 | 1.52 | ||
| 2063 | 15.98 | 13.27 | -2.70 | ---- | -1.65 | -0.10 | 1.55 | ||
| 2064 | 16.00 | 13.28 | -2.72 | ---- | -1.68 | -0.10 | 1.58 | ||
| 2065 | 16.03 | 13.28 | -2.75 | ---- | -1.70 | -0.10 | 1.60 | ||
| 2066 | 16.05 | 13.28 | -2.77 | ---- | -1.73 | -0.11 | 1.62 | ||
| 2067 | 16.09 | 13.28 | -2.80 | ---- | -1.75 | -0.11 | 1.64 | ||
| 2068 | 16.12 | 13.29 | -2.83 | ---- | -1.77 | -0.11 | 1.66 | ||
| 2069 | 16.16 | 13.29 | -2.87 | ---- | -1.78 | -0.11 | 1.67 | ||
| 2070 | 16.20 | 13.29 | -2.91 | ---- | -1.80 | -0.11 | 1.69 | ||
| 2071 | 16.25 | 13.30 | -2.95 | ---- | -1.81 | -0.11 | 1.70 | ||
| 2072 | 16.29 | 13.30 | -2.99 | ---- | -1.82 | -0.11 | 1.71 | ||
| 2073 | 16.33 | 13.30 | -3.03 | ---- | -1.83 | -0.11 | 1.72 | ||
| 2074 | 16.37 | 13.31 | -3.06 | ---- | -1.84 | -0.11 | 1.73 | ||
| 2075 | 16.40 | 13.31 | -3.09 | ---- | -1.85 | -0.11 | 1.74 | ||
| 2076 | 16.43 | 13.31 | -3.12 | ---- | -1.86 | -0.11 | 1.75 | ||
| 2077 | 16.44 | 13.31 | -3.13 | ---- | -1.87 | -0.11 | 1.75 | ||
| 2078 | 16.45 | 13.31 | -3.14 | ---- | -1.87 | -0.12 | 1.75 | ||
| 2079 | 16.44 | 13.31 | -3.13 | ---- | -1.87 | -0.12 | 1.76 | ||
| 2080 | 16.43 | 13.31 | -3.12 | ---- | -1.87 | -0.12 | 1.76 | ||
| 2081 | 16.41 | 13.31 | -3.09 | ---- | -1.87 | -0.12 | 1.76 | ||
| 2082 | 16.38 | 13.31 | -3.06 | ---- | -1.87 | -0.12 | 1.75 | ||
| 2083 | 16.34 | 13.31 | -3.03 | ---- | -1.87 | -0.12 | 1.75 | ||
| 2084 | 16.30 | 13.31 | -2.99 | ---- | -1.86 | -0.11 | 1.75 | ||
| 2085 | 16.25 | 13.30 | -2.94 | ---- | -1.86 | -0.11 | 1.74 | ||
| 2086 | 16.19 | 13.30 | -2.89 | ---- | -1.85 | -0.11 | 1.74 | ||
| 2087 | 16.13 | 13.30 | -2.84 | ---- | -1.85 | -0.11 | 1.73 | ||
| 2088 | 16.07 | 13.29 | -2.78 | ---- | -1.84 | -0.11 | 1.73 | ||
| 2089 | 16.02 | 13.29 | -2.73 | ---- | -1.83 | -0.11 | 1.72 | ||
| 2090 | 15.96 | 13.29 | -2.68 | ---- | -1.83 | -0.11 | 1.72 | ||
| 2091 | 15.92 | 13.28 | -2.64 | ---- | -1.82 | -0.11 | 1.71 | ||
| 2092 | 15.88 | 13.28 | -2.60 | ---- | -1.82 | -0.11 | 1.71 | ||
| 2093 | 15.86 | 13.28 | -2.58 | ---- | -1.82 | -0.11 | 1.70 | ||
| 2094 | 15.84 | 13.28 | -2.56 | ---- | -1.82 | -0.11 | 1.70 | ||
| 2095 | 15.83 | 13.28 | -2.55 | ---- | -1.81 | -0.11 | 1.70 | ||
| 2096 | 15.83 | 13.28 | -2.55 | ---- | -1.82 | -0.11 | 1.70 | ||
| 2097 | 15.83 | 13.28 | -2.55 | ---- | -1.82 | -0.11 | 1.70 | ||
Summarized Estimates
| Proposal | Change from Current Law | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Years | Cost rate |
Income rate |
Actuarial balance |
Year of reserve depletion1 |
Cost rate |
Income rate |
Actuarial balance |
||
| 2022-2096 | 16.15% | 13.72% | -2.43% | 2035 | -1.05% | -0.06% | 0.99% | ||
1 Under current law, the year of Trust Fund reserve depletion is 2035. |
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Based on Intermediate Assumptions of the 2022 Trustees Report.