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Summary of Provisions That Would Change the Social Security Program
Solvency Provisions

Description of Proposed Provisions:
Cost of Living Adjustment

Estimates based on the intermediate assumptions of the 2009 Trustees Report

  Change from present law Results with this provision
Long-range
actuarial
balance		 Annual
balance in
75th year		 Long-range
actuarial
balance		 Annual
balance in
75th year
Present Law, Alternative II.
 -2.00 -4.34
A1 Beginning December 2010, reduce cost-of-living adjustment for OASDI benefits by 1 percentage point.
graph | table | pdf-graph | pdf-table | memo 		1.55 2.19 -0.45 -2.15
A2 Beginning December 2010, reduce cost-of-living adjustment for OASDI benefits by 0.5 percentage point.
graph | table | pdf-graph | pdf-table | memo 		0.81 1.15 -1.20 -3.19
A3 Beginning December 2010, use the "superlative" (or "chained") CPI for COLAs, estimated to reduce the COLA by 0.3 percentage point.
graph | table | pdf-graph | pdf-table | memo 		0.49 0.70 -1.51 -3.64
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Last reviewed or modified August 21, 2009