Proposed Provision: Beginning in 2011, increase the special minimum benefit by making the following changes: (a) A year of coverage is defined as a year in which 4 quarters of coverage are earned. (b) At implementation, set the PIA for 30 years of coverage equal to 125 percent of the monthly poverty level (about $1,128 in 2009). The PIA per year of coverage (after the first 10 years) would be $1,128/20 = $56.40. (c) Index the initial PIA per year of coverage by wage growth for successive cohorts, so that the special minimum keeps up with the wage-indexed benefit formula.

OASDI Cost Rates and Income Rates
(as a percentage of taxable payroll)

  Income Rates Cost Rates
Year Present Law Provision Present Law Provision
201012.312.313.113.1
201112.912.913.013.0
201212.912.912.812.9
201312.912.912.812.8
201412.912.912.912.9
201512.912.913.013.0
201613.013.013.113.2
201713.013.013.313.4
201813.013.013.513.6
201913.013.013.813.9
202013.013.114.114.3
202113.113.114.514.6
202213.113.114.714.9
202313.113.115.015.2
202413.113.115.315.5
202513.113.115.515.7
202613.113.215.815.9
202713.213.216.016.2
202813.213.216.116.3
202913.213.216.316.5
203013.213.216.416.6
203113.213.216.516.7
203213.213.216.616.8
203313.213.216.716.9
203413.213.216.717.0
203513.213.216.717.0
203613.213.216.717.0
203713.213.216.717.0
203813.213.216.717.0
203913.213.216.717.0
204013.213.216.616.9
204113.213.216.616.9
204213.213.216.616.8
204313.213.216.516.8
204413.213.216.516.8
204513.213.216.416.7
204613.213.216.416.7
204713.213.216.416.7
204813.213.216.416.7
204913.213.216.416.7
205013.213.216.316.6
205113.213.216.316.6
205213.213.216.316.6
205313.213.216.316.6
205413.213.216.316.7
205513.213.216.416.7
205613.213.316.416.7
205713.213.316.416.7
205813.213.316.416.7
205913.213.316.516.8
206013.213.316.516.8
206113.213.316.516.8
206213.213.316.516.8
206313.213.316.616.9
206413.313.316.616.9
206513.313.316.616.9
206613.313.316.717.0
206713.313.316.717.0
206813.313.316.717.0
206913.313.316.817.1
207013.313.316.817.1
207113.313.316.817.2
207213.313.316.917.2
207313.313.316.917.3
207413.313.317.017.3
207513.313.317.017.3
207613.313.317.117.4
207713.313.317.117.4
207813.313.317.217.5
207913.313.317.217.5
208013.313.317.317.6
208113.313.317.317.6
208213.313.317.317.7
208313.313.317.417.7
208413.313.317.417.8
208513.313.317.517.8
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