Proposed Provision: Progressive indexing of PIA formula factors beginning with individuals newly eligible for OASI benefits in 2013, continuing through 2022, and then resuming in 2061. Create new bend point at the 30th percentile of earners. Maintain current-law benefits for earners at the 30th percentile and below and reduce upper 2 formula factors (32% and 15%) such that maximum worker benefit is reduced by 1.2 percent per year as compared to current law, for the years that progressive indexing applies. Disability benefits are not affected by the proposal. Disabled worker beneficiaries, upon attaining normal retirement age, would be subject to a proportional reduction in benefits based on the worker's years of disability.

OASDI Trust Fund Ratio
(assets as a percentage of annual expenditures)

Year Present Law Provision
2010355355
2011353353
2012350350
2013346346
2014341341
2015335336
2016330331
2017324325
2018317319
2019309312
2020299303
2021289294
2022277284
2023264273
2024251261
2025237248
2026221235
2027205221
2028189207
2029171192
2030154177
2031136162
2032117146
203398130
203479114
20355998
20363981
20371965
2038-148
2039-2131
2040-4215
2041-63-2
2042-84-18
2043-105-35
2044-126-51
2045-147-67
2046-168-84
2047-189-100
2048-211-117
2049-233-133
2050-255-150
2051-277-167
2052-299-184
2053-321-201
2054-344-218
2055-366-235
2056-389-252
2057-412-270
2058-436-288
2059-460-307
2060-485-325
2061-509-344
2062-534-364
2063-560-383
2064-586-403
2065-612-423
2066-638-444
2067-665-465
2068-692-487
2069-720-508
2070-748-530
2071-776-553
2072-805-576
2073-834-600
2074-864-623
2075-894-648
2076-925-673
2077-957-698
2078-989-724
2079-1021-750
2080-1054-776
2081-1087-803
2082-1121-831
2083-1156-858
2084-1191-887
2085-1227-915
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