I 

114TH CONGRESS 

1ST SESSION H. R. 1756 

To amend title II of the Social Security Act to make various reforms to 

Social Security, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 13, 2015 

Ms. MOORE (for herself and Ms. SCHAKOWSKY) introduced the following bill; 

which was referred to the Committee on Ways and Means 

A BILL 

To amend title II of the Social Security Act to make various 

reforms to Social Security, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Social Security En5 hancement and Protection Act of 2015’’. 

6 SEC. 2. INCREASE IN SPECIAL MINIMUM BENEFIT FOR 

7 LIFETIME LOW EARNERS BASED ON YEARS IN 

8 THE WORKFORCE. 

9 Section 215(a)(1)(C) of the Social Security Act (42 

10 U.S.C. 415(a)(1)(C)) is amended to read as follows: 


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1 ‘‘(C)(i) Effective with respect to the benefits of indi2 viduals who become eligible for old-age insurance benefits 

3 or disability insurance benefits (or die before becoming so 

4 eligible) after 2016, no primary insurance amount com5 puted under subparagraph (A) may be less than the applicable percentage of 1 6 ⁄12 of the annual dollar amount deter7 mined under clause (iv) for the year in which the amount 

8 is determined. 

9 ‘‘(ii) For purposes of clause (i), the applicable per10 centage is the percentage specified in connection with the 

11 number of years of work, as set forth in the following 

12 table: 

‘‘If the number of The applicable 

years of work is: percentage is: 

11 ...................................................................................... 36.7 percent

12 ...................................................................................... 40.0 percent

13 ...................................................................................... 43.3 percent

14 ...................................................................................... 46.7 percent

15 ...................................................................................... 50.0 percent

16 ...................................................................................... 53.3 percent

17 ...................................................................................... 56.7 percent

18 ...................................................................................... 60.0 percent

19 ...................................................................................... 63.3 percent

20 ...................................................................................... 66.7 percent

21 ...................................................................................... 70.0 percent

22 ...................................................................................... 73.3 percent

23 ...................................................................................... 76.7 percent

24 ...................................................................................... 80.0 percent

25 ...................................................................................... 83.3 percent

26 ...................................................................................... 86.7 percent

27 ...................................................................................... 90.0 percent

28 ...................................................................................... 93.3 percent

29 ...................................................................................... 96.7 percent

30 or more ........................................................................ 100.0 percent. 

13 ‘‘(iii) For purposes of this subparagraph, the term 

14 ‘number of years of work’ means, with respect to an indi15 vidual, the sum of— 


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‘‘(I) 1 1 ⁄4 of the total number of quarters of cov2 erage credited to such individual (disregarding any 

3 fraction); and 

4 ‘‘(II) the number of years (not exceeding 5) in 

5 all of which the individual provided care for a child 

6 under 6 years of age who resided in the individual’s 

7 home. 

8 ‘‘(iv)(I) The annual dollar amount determined under 

9 this clause is the poverty guideline for the calendar year 

10 preceding the calendar year in which the determination 

11 is made. 

12 ‘‘(II) For purposes of this clause, the term ‘poverty 

13 guideline’ means the annual poverty guideline (as updated 

14 annually in the Federal Register by the Department of 

15 Health and Human Services under the authority of section 

16 673(2) of the Omnibus Budget Reconciliation Act of 

17 1981) as applicable to a single individual.’’. 

18 SEC. 3. ESTABLISHMENT OF AN INCREASED BENEFIT FOR 

19 BENEFICIARIES ON ACCOUNT OF LONG-TERM 

20 ELIGIBILITY. 

21 (a) IN GENERAL.—Section 202 of the Social Security 

22 Act (42 U.S.C. 402) is amended by adding at the end the 

23 following new subsection: 

24 ‘‘(z) INCREASE IN BENEFIT AMOUNTS ON ACCOUNT

25 OF LONG-TERM ELIGIBILITY.—(1) In the case of an indiVerDate Sep 11 2014 01:07 Apr 16, 2015 Jkt 049200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H1756.IH H1756

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1 vidual who is a qualified beneficiary for a calendar year 

2 after 2016, the amount of any monthly insurance benefit 

3 of such qualified beneficiary under this section or section 

4 223 for any month in such calendar year shall be in5 creased in accordance with paragraph (3). 

6 ‘‘(2)(A) For purposes of this subsection, the term 

7 ‘qualified beneficiary’ for a calendar year means an indi8 vidual in any case in which such calendar year begins at 

9 least 16 years after the applicable date of eligibility for 

10 such individual. 

11 ‘‘(B) For purposes of this subsection, the applicable 

12 date of eligibility for an individual is the date on which 

13 the individual on whose wages and self-employment in14 come the monthly insurance benefit is based initially be15 came eligible (or died before becoming eligible) for old16 age insurance benefits under subsection (a) or disability 

17 insurance benefits under section 223. 

18 ‘‘(3)(A) The increase required under paragraph (1) 

19 with respect to the monthly insurance benefit of an indi20 vidual who is a qualified beneficiary for a calendar year 

21 shall be equal to the applicable percentage (specified for 

22 such benefit in subparagraph (B)) of the full increase 

23 amount for such calendar year (determined under sub24 paragraph (C)). 


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1 ‘‘(B) The applicable percentage specified for a 

2 monthly insurance benefit under this subparagraph for a 

3 calendar year is the percentage specified, in connection 

4 with the number of years ending after the applicable date 

5 of eligibility for such individual and before such calendar 

6 year, in the following table: 

The applicable 

‘‘If the number of years is: percentage is: 

16 ...................................................................................... 20 percent

17 ...................................................................................... 40 percent

18 ...................................................................................... 60 percent

19 ...................................................................................... 80 percent

20 or larger ....................................................................... 100 percent. 

7 ‘‘(C)(i) Except as provided in clause (ii), the full in8 crease amount determined under this subparagraph for a 

9 calendar year in connection with the monthly insurance 

10 benefit of a qualified beneficiary is a dollar amount equal 

11 to 5 percent of the amount of the benefit if— 

12 ‘‘(I) such benefit were based on the primary in13 surance amount determined for January of such cal14 endar year of a putative individual; 

15 ‘‘(II) on January 1 of the calendar year in 

16 which occurred the applicable eligibility date with re17 spect to such individual, such putative individual 

18 were fully insured, attained retirement age (as de19 fined in section 216(l)(2)) and were otherwise eligi20 ble for, and applied for, old-age insurance benefits; 

21 and 


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1 ‘‘(III) such putative individual’s average in2 dexed monthly earnings taken into account in deter3 mining such primary insurance amount were equal 

to 1 4 ⁄12 of the national average wage index (as de5 fined in section 209(k)(1)) for the second year prior 

6 to such calendar year. 

7 ‘‘(ii)(I) In the case of a monthly insurance benefit 

8 under subsection (b) or (c), the full increase amount deter9 mined under this subparagraph shall be one-half the 

10 amount determined under clause (i); or 

11 ‘‘(II) In the case of a monthly insurance benefit 

12 under subsection (d), (g), or (h), the full increase amount 

13 determined under this subparagraph shall be the percent14 age of the amount determined under clause (i) equal to 

15 the ratio which the amount of such benefit bears to the 

16 primary insurance amount (before the application of sec17 tion 203(a)) of the individual on whose wages and self18 employment income the monthly insurance benefit is 

19 based. 

20 ‘‘(4) In the case of a qualified beneficiary who is enti21 tled to two or more monthly insurance benefits under this 

22 title for the same month— 

23 ‘‘(A) the earliest applicable date of eligibility for 

24 such beneficiary with respect to such benefits shall 

25 be treated as the applicable date of eligibility for 


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1 such beneficiary for the purposes of this subsection; 

2 and 

3 ‘‘(B) such beneficiary shall be entitled to an in4 crease with respect only to one such benefit. 

5 ‘‘(5) This subsection shall be applied to monthly in6 surance benefits after any increase under subsection (w) 

7 and any applicable reductions and deductions under this 

8 title. 

9 ‘‘(6) In any case in which an individual is entitled 

10 to benefits under both this section and section 223, the 

11 increase under this subsection shall be paid from the Fed12 eral Old-Age and Survivors Insurance Trust Fund.’’. 

13 (b) CONFORMING AMENDMENTS.— 

14 (1) Section 202 of such Act (42 U.S.C. 402) is 

15 amended— 

16 (A) in the last sentence of subsection (a), 

17 by striking ‘‘subsection (q) and subsection (w)’’ 

18 and inserting ‘‘subsections (q), (w), and (z)’’; 

19 (B) in subsection (b)(2), by striking ‘‘sub20 sections (k)(5) and (q)’’ and inserting ‘‘sub21 sections (k)(5), (q), and (z)’’; 

22 (C) in subsection (c)(2), by striking ‘‘sub23 sections (k)(5) and (q)’’ and inserting ‘‘sub24 sections (k)(5), (q), and (z)’’; 


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1 (D) in subsection (d)(2), by adding at the 

2 end the following: ‘‘This paragraph shall apply 

3 subject to subsection (z).’’; 

4 (E) in subsection (e)(2)(A), by striking 

5 ‘‘subsection (k)(5), subsection (q), and subpara6 graph (D) of this paragraph’’ and inserting 

7 ‘‘subsection (k)(5), subsection (q), subsection 

8 (z), and subparagraph (D) of this paragraph’’; 

9 (F) in subsection (f)(2)(A), by striking 

10 ‘‘subsection (k)(5), subsection (q), and subpara11 graph (D) of this paragraph’’ and inserting 

12 ‘‘subsection (k)(5), subsection (q), subsection 

13 (z), and subparagraph (D) of this paragraph’’; 

14 (G) in subsection (g)(2), by striking 

15 ‘‘Such’’ and inserting ‘‘Except as provided in 

16 subsections (k)(5) and (z), such’’; 

17 (H) in subsection (h)(2)(A), by inserting 

18 ‘‘and subsection (z)’’ after ‘‘subparagraphs (B) 

19 and (C)’’; and 

20 (I) in section 223(a)(2), by striking ‘‘sec21 tion 202(q)’’ and inserting ‘‘sections 202(q) and 

22 202(z)’’. 

23 (2) Section 209(k)(1) of such Act (402 U.S.C. 

24 409(k)(1)) is amended by inserting 

25 ‘‘202(z)(3)(C)(i)(II),’’ before ‘‘203(f)(8)(B)(ii)’’. 


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1 SEC. 4. EXTENSION OF CHILD’S BENEFIT FOR CERTAIN 

2 POST-SECONDARY STUDENTS UNDER AGE 22. 

3 (a) IN GENERAL.—Section 202(d)(1)(B) of the So4 cial Security Act (42 U.S.C. 402(d)(1)(B)) is amended to 

5 read as follows: 

6 ‘‘(B) at the time such application was filed 

7 was unmarried and— 

8 ‘‘(i) had not attained the age of 18, 

9 ‘‘(ii) was a full-time elementary or 

10 secondary school student and had not at11 tained the age of 19, 

12 ‘‘(iii) was an eligible full-time post13 secondary school student and had not at14 tained the age of 22, or 

15 ‘‘(iv) is under a disability (as defined 

16 in section 223(d)) which began before he 

17 attained the age of 22, and’’. 

18 (b) DEFINITION OF ELIGIBLE FULL-TIME POST19 SECONDARY SCHOOL STUDENT.—Section 202(d)(7) of 

20 the Social Security Act (42 U.S.C. 402(d)(7)) is amended 

21 by adding at the end the following: 

22 ‘‘(E) An ‘eligible full-time post-secondary 

23 school student’ is a full-time post-secondary 

24 school student who is entitled to child’s insur25 ance benefits on the basis of the wages and self26 employment income of an individual who is enVerDate Sep 11 2014 01:07 Apr 16, 2015 Jkt 049200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H1756.IH H1756

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1 titled to disability insurance benefits, or who 

2 has died a fully or currently insured indi3 vidual.’’. 

4 (c) DEFINITION OF FULL-TIME POST-SECONDARY

5 SCHOOL STUDENT.— 

6 (1) IN GENERAL.—Section 202(d)(7) of such 

7 Act (42 U.S.C. 402(d)(7)) is amended— 

8 (A) in subparagraph (A)— 

9 (i) by inserting ‘‘and a ‘full-time post10 secondary school student’ is an individual 

11 who is in full-time attendance as a student 

12 at a post-secondary educational institu13 tion’’ before ‘‘, as determined by the Com14 missioner’’; 

15 (ii) by inserting ‘‘or a ‘full-time post16 secondary school student’ ’’ before ‘‘if he is 

17 paid by his employer’’; 

18 (iii) by inserting ‘‘or a post-secondary 

19 educational institution, as applicable,’’ be20 fore ‘‘at the request’’; 

21 (iv) by inserting ‘‘or a ‘full-time post22 secondary school student’ ’’ before ‘‘for the 

23 purpose of this section’’; and 


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1 (v) by inserting ‘‘or a full-time post2 secondary school student’’ before ‘‘shall be 

3 deemed’’; and 

4 (B) in subparagraph (B)— 

5 (i) by inserting ‘‘or a full-time post6 secondary school student’’ after ‘‘student’’; 

7 (ii) by inserting ‘‘or a post-secondary 

8 educational institution, as applicable’’ be9 fore ‘‘at which he has been’’; and 

10 (iii) by striking ‘‘an elementary or sec11 ondary school’’ in each of the second and 

12 third places in which such term appears 

13 and inserting ‘‘such a school’’. 

14 (2) TRANSITION FROM ELEMENTARY OR SEC15 ONDARY SCHOOL.—Section 202(d)(7)(B) of such Act 

16 (42 U.S.C. 402(d)(7)(B)) is amended by adding at 

17 the end the following sentence: ‘‘An individual who 

18 has been in full-time attendance at an elementary or 

19 secondary school shall, during a succeeding period of 

20 nonattendance at such school, be deemed to be a 

21 full-time secondary-school student if (i) such period 

22 is 4 calendar months or less, and (ii) the individual 

23 shows to the satisfaction of the Commissioner that 

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1 secondary educational institution immediately fol2 lowing such period.’’ 

3 (d) DEFINITION OF POST-SECONDARY EDUCATIONAL

4 INSTITUTION.—Section 202(d)(7)(C) of such Act (42 

5 U.S.C. 402(d)(7)(C)) is amended by adding at the end the 

6 following: 

7 ‘‘(iii) A ‘post-secondary educational 

8 institution’ is a school or college or univer9 sity that provides post-secondary education 

10 and— 

11 ‘‘(I) is operated or directly sup12 ported by the United States, or by 

13 any State or local government or po14 litical subdivision thereof, 

15 ‘‘(II) has been approved by a 

16 State or accredited by a State-recog17 nized or nationally-recognized accred18 iting agency or body, or 

19 ‘‘(III) whose credits are accepted, 

20 on transfer, by not less than three in21 stitutions which are so accredited, for 

22 credit on the same basis as if trans23 ferred from an institution so accred24 ited.’’. 

25 (e) CONFORMING AMENDMENTS.— 


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1 (1) Section 202(d)(1)(E) of such Act (42 

2 U.S.C. 402(d)(1)(E)) is amended by inserting ‘‘or 

3 an eligible full-time post-secondary school student’’ 

4 after ‘‘student’’. 

5 (2) Section 202(d)(1)(F) of such Act (42 

6 U.S.C. 402(d)(1)(F)) is amended by striking ‘‘the 

7 earlier of—’’ and all that follows through ‘‘the age 

8 of 19,’’ and inserting the following: ‘‘the earlier of— 

9 ‘‘(i) the first month during no part of 

10 which the child is a full-time elementary or 

11 secondary school student or an eligible full12 time post-secondary school student, 

13 ‘‘(ii) the month in which the child at14 tains the age of 19, but only if the child 

15 is not an eligible full-time post-secondary 

16 school student during any part of such 

17 month, or 

18 ‘‘(iii) the month in which the child at19 tains the age of 22,’’. 

20 (3) Section 202(d)(1)(G) of such Act (42 

21 U.S.C. 402(d)(1)(G)) is amended by striking ‘‘(if 

22 later)’’ and all that follows through the ‘‘the age of 

23 19,’’ and inserting the following: ‘‘(if later) the ear24 lier of— 


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1 ‘‘(i) the first month during no part of 

2 which the child is a full-time elementary or 

3 secondary school student or an eligible full4 time post-secondary school student, 

5 ‘‘(ii) the month in which the child at6 tains the age of 19, but only if the child 

7 is not an eligible full-time post-secondary 

8 school student during any part of such 

9 month, or 

10 ‘‘(iii) the month in which the child at11 tains the age of 22,’’. 

12 (4) Section 202(d)(6)(A) of such Act (42 

13 U.S.C. 402(d)(6)(A)) is amended to read as follows: 

14 ‘‘(A)(i) is a full-time elementary or sec15 ondary school student and has not attained the 

16 age of 19, 

17 ‘‘(ii) is an eligible full-time post-secondary 

18 school student and has not attained the age of 

19 22, or 

20 ‘‘(iii) is under a disability (as defined in 

21 section 223(d)) and has not attained the age of 

22 22, or’’. 

23 (5) Section 202(d)(6)(D) of such Act (42 

24 U.S.C. 402(d)(6)(D)) is amended to read as follows: 

25 ‘‘(D) the earlier of— 


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1 ‘‘(i) the first month during no part of 

2 which the child is a full-time elementary or 

3 secondary school student or an eligible full4 time post-secondary school student, 

5 ‘‘(ii) the month in which the child at6 tains the age of 19, but only if the child 

7 is not an eligible full-time post-secondary 

8 school student during any part of such 

9 month, or 

10 ‘‘(iii) the month in which the child at11 tains the age of 22, 

12 but only if he is not under a disability (as so 

13 defined) in such earlier month; or’’. 

14 (6) Section 202(d)(6)(E) of such Act (42 

15 U.S.C. 402(d)(6)(E)) is amended by striking ‘‘(if 

16 later)’’ and all that follows to the end and inserting 

17 the following: ‘‘(if later) the earlier of— 

18 ‘‘(i) the first month during no part of 

19 which the child is a full-time elementary or 

20 secondary school student or an eligible full21 time post-secondary school student, 

22 ‘‘(ii) the month in which the child at23 tains the age of 19, but only if the child 

24 is not an eligible full-time post-secondary 


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1 school student during any part of such 

2 month, or 

3 ‘‘(iii) the month in which the child at4 tains the age of 22.’’. 

5 (f) EFFECTIVE DATE.—The amendments made by 

6 this section apply with respect to applications for child’s 

7 insurance benefits under section 202(d) of the Social Se8 curity Act (42 U.S.C. 402(d)) filed in any calendar year 

9 after 2016. 

10 SEC. 5. DETERMINATION OF TAXABLE WAGES AND SELF11 EMPLOYMENT INCOME ABOVE CONTRIBU12 TION AND BENEFIT BASE AFTER 2016. 

13 (a) DETERMINATION OF TAXABLE WAGES ABOVE

14 CONTRIBUTION AND BENEFIT BASE AFTER 2016.— 

15 (1) AMENDMENTS TO THE INTERNAL REVENUE

16 CODE OF 1986.—Section 3121 of the Internal Rev17 enue Code of 1986 is amended— 

18 (A) in subsection (a)(1), by inserting ‘‘the 

19 applicable percentage (determined under sub20 section (c)(1)) of’’ before ‘‘that part of the re21 muneration’’; and 

22 (B) in subsection (c), by striking ‘‘(c) IN23 CLUDED AND EXCLUDED SERVICE.—For pur24 poses of this chapter, if’’ and inserting the fol25 lowing: 


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1 ‘‘(c) SPECIAL RULES FOR WAGES AND EMPLOY2 MENT.— 

3 ‘‘(1) APPLICABLE PERCENTAGE OF REMUNERA4 TION IN DETERMINING TAXABLE WAGES.—For pur5 poses of subsection (a)(1), the applicable percentage 

6 for a calendar year shall be determined in accord7 ance with the following table: 

The applicable 

‘‘In the case of: percentage is: 

Calendar year 2017 ........................................................... 90 percent

Calendar year 2018 ........................................................... 80 percent

Calendar year 2019 ........................................................... 70 percent

Calendar year 2020 ........................................................... 60 percent

Calendar year 2021 ........................................................... 50 percent

Calendar year 2022 ........................................................... 40 percent

Calendar year 2023 ........................................................... 30 percent

Calendar year 2024 ........................................................... 20 percent

Calendar year 2025 ........................................................... 10 percent

Calendar years after 2026 ................................................ 0 percent. 

8 ‘‘(2) INCLUDED AND EXCLUDED SERVICE.—For 

9 purposes of this chapter, if’’. 

10 (2) AMENDMENTS TO THE SOCIAL SECURITY

11 ACT.—Section 209 of the Social Security Act (42 

12 U.S.C. 409) is amended— 

13 (A) in subsection (a)(1)(I)— 

14 (i) by inserting ‘‘and before 2017’’ 

15 after ‘‘1974’’; and 

16 (ii) by inserting ‘‘and’’ after the semi17 colon; 

18 (B) in subsection (a)(1), by adding at the 

19 end the following new subparagraph: 


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1 ‘‘(J) The applicable percentage (deter2 mined under subsection (l)) of that part of re3 muneration which, after remuneration (other 

4 than remuneration referred to in the succeeding 

5 subsections of this section) equal to the con6 tribution and benefit base (determined under 

7 section 230) with respect to employment has 

8 been paid to an individual during any calendar 

9 year after 2016 with respect to which such con10 tribution and benefit base is effective, is paid to 

11 such individual during such calendar year;’’; 

12 and 

13 (C) by adding at the end the following new 

14 subsection: 

15 ‘‘(l) For purposes of subsection (a)(1)(J), the applica16 ble percentage for a calendar year shall be determined in 

17 accordance with the following table: 

The applicable 

‘‘In the case of: percentage is: 

Calendar year 2017 ........................................................... 90 percent

Calendar year 2018 ........................................................... 80 percent

Calendar year 2019 ........................................................... 70 percent

Calendar year 2020 ........................................................... 60 percent

Calendar year 2021 ........................................................... 50 percent

Calendar year 2022 ........................................................... 40 percent

Calendar year 2023 ........................................................... 30 percent

Calendar year 2024 ........................................................... 20 percent

Calendar year 2025 ........................................................... 10 percent

Calendar years after 2026 ................................................ 0 percent.’’. 

18 (3) EFFECTIVE DATE.—The amendments made 

19 by this subsection shall apply with respect to remu20 neration paid in calendar years after 2016. 


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1 (b) DETERMINATION OF TAXABLE SELF-EMPLOY2 MENT INCOME ABOVE CONTRIBUTION AND BENEFIT

3 BASE AFTER 2016.— 

4 (1) AMENDMENTS TO THE INTERNAL REVENUE

5 CODE OF 1986.—Section 1402 of the Internal Rev6 enue Code of 1986 is amended— 

7 (A) in subsection (b)(1), by striking ‘‘that 

8 part of the net earnings’’ and all that follows 

9 through ‘‘minus’’ and inserting the following: 

10 ‘‘an amount equal to the applicable percentage 

11 (as determined under subsection (d)(2)) of that 

12 part of the net earnings from self-employment 

13 which is in excess of the difference (not to be 

14 less than zero) between (i) an amount equal to 

15 the contribution and benefit base (as deter16 mined under section 230 of the Social Security 

17 Act) which is effective for the calendar year in 

18 which such taxable year begins, and’’; and 

19 (B) in subsection (d)— 

20 (i) by striking ‘‘(d) EMPLOYEE AND

21 WAGES.—The term’’ and inserting the fol22 lowing: 

23 ‘‘(d) RULES AND DEFINITIONS.— 

24 ‘‘(1) EMPLOYEE AND WAGES.—The term’’; and 


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1 (ii) by adding at the end the fol2 lowing: 

3 ‘‘(2) APPLICABLE PERCENTAGE OF NET EARN4 INGS FROM SELF-EMPLOYMENT IN DETERMINING

5 TAXABLE SELF-EMPLOYMENT INCOME.—For pur6 poses of subsection (b)(1), the applicable percentage 

7 for a taxable year beginning in any calendar year re8 ferred to in such paragraph shall be determined in 

9 accordance with the following table: 

The applicable 

‘‘In the case of: percentage is: 

Calendar year 2017 ........................................................... 90 percent

Calendar year 2018 ........................................................... 80 percent

Calendar year 2019 ........................................................... 70 percent

Calendar year 2020 ........................................................... 60 percent

Calendar year 2021 ........................................................... 50 percent

Calendar year 2022 ........................................................... 40 percent

Calendar year 2023 ........................................................... 30 percent

Calendar year 2024 ........................................................... 20 percent

Calendar year 2025 ........................................................... 10 percent

Calendar years after 2026 ................................................ 0 percent.’’. 

10 (2) AMENDMENTS TO THE SOCIAL SECURITY

11 ACT.—Section 211 of the Social Security Act (42 

12 U.S.C. 411) is amended— 

13 (A) in subsection (b)— 

14 (i) in paragraph (1)(I)— 

15 (I) by striking ‘‘or’’ after the 

16 semicolon; and 

17 (II) by inserting ‘‘and before 

18 2017’’ after ‘‘1974’’; 

19 (ii) by redesignating paragraph (2) as 

20 paragraph (3); and 


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1 (iii) by inserting after paragraph (1) 

2 the following: 

3 ‘‘(2) For any taxable year beginning in any cal4 endar year after 2016, an amount equal to the appli5 cable percentage (as determined under subsection 

6 (l)) of that part of net earnings from self-employ7 ment which is in excess of the difference (not to be 

8 less than zero) between— 

9 ‘‘(A) an amount equal to the contribution 

10 and benefit base (as determined under section 

11 230) that is effective for such calendar year, 

12 and 

13 ‘‘(B) the amount of the wages paid to such 

14 individual during such taxable year; or’’; and 

15 (B) by adding at the end the following: 

16 ‘‘(l) For purposes of subsection (b)(2), the applicable 

17 percentage for a taxable year beginning in any calendar 

18 year referred to in such paragraph shall be determined 

19 in accordance with the following table: 

The applicable 

‘‘In the case of: percentage is: 

Calendar year 2017 ........................................................... 90 percent

Calendar year 2018 ........................................................... 80 percent

Calendar year 2019 ........................................................... 70 percent

Calendar year 2020 ........................................................... 60 percent

Calendar year 2021 ........................................................... 50 percent

Calendar year 2022 ........................................................... 40 percent

Calendar year 2023 ........................................................... 30 percent

Calendar year 2024 ........................................................... 20 percent

Calendar year 2025 ........................................................... 10 percent

Calendar years after 2026 ................................................ 0 percent.’’. 


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1 (3) EFFECTIVE DATE.—The amendments made 

2 by this subsection shall apply with respect to taxable 

3 years beginning in calendar years after 2016. 

4 (c) COMPUTING AVERAGE INDEXED MONTHLY

5 EARNINGS.—Section 215(e) of the Social Security Act (42 

6 U.S.C. 415(e)) is amended— 

7 (1) in paragraph (1)— 

8 (A) by striking ‘‘and’’ after ‘‘before 

9 1975,’’; 

10 (B) by inserting ‘‘and before 2017’’ after 

11 ‘‘after 1974’’; and 

12 (C) by inserting ‘‘, and the applicable per13 centage of the excess over an amount equal to 

14 the contribution and benefit base (as deter15 mined under section 230) in the case of any 

16 calendar year after 2014 with respect to which 

17 such contribution and benefit base is effective,’’ 

18 after ‘‘benefit base is effective,’’; and 

19 (2) by adding at the end the following: 

20 ‘‘(3) For purposes of paragraph (1), the appli21 cable percentage for a year shall be determined in 

22 accordance with the following table: 

The applicable 

‘‘In the case of: percentage is: 

Calendar year 2017 ........................................................... 90 percent

Calendar year 2018 ........................................................... 80 percent

Calendar year 2019 ........................................................... 70 percent

Calendar year 2020 ........................................................... 60 percent

Calendar year 2021 ........................................................... 50 percent


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The applicable 

‘‘In the case of: percentage is: 

Calendar year 2022 ........................................................... 40 percent

Calendar year 2023 ........................................................... 30 percent

Calendar year 2024 ........................................................... 20 percent

Calendar year 2025 ........................................................... 10 percent

Calendar years after 2026 ................................................ 0 percent.’’. 

1 (d) CONFORMING AMENDMENT.—Section 

2 215(i)(2)(C)(i) of the Social Security Act (42 U.S.C. 

3 415(i)(2)(C)(i)) is amended by striking ‘‘the Commis4 sioner’s estimate of the extent to which the cost of such 

5 increase would be met by an increase in the contribution 

6 and benefit base under section 230 and the estimated 

7 amount of the increase in such base,’’. 

8 SEC. 6. NEW BEND POINT FOR AMOUNTS ABOVE CONTRIBU9 TION AND BENEFIT BASE. 

10 (a) IN GENERAL.—Section 215(a)(1) of the Social 

11 Security Act (42 U.S.C. 415(a)(1)) is amended— 

12 (1) in subparagraph (A)— 

13 (A) in clause (ii), by striking ‘‘and’’; 

14 (B) in clause (iii), by striking the comma 

15 at the end and inserting the following: ‘‘but do 

16 not exceed the amount established for purposes 

17 of this clause by subparagraph (B), and’’; and 

18 (C) by inserting after clause (iii) the fol19 lowing: 

20 ‘‘(iv) 3 percent of the individual’s av21 erage indexed monthly earnings to the ex22 tent that such earnings exceed the amount 


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1 established for purposes of clause (iii),’’; 

2 and 

3 (2) in subparagraph (B)— 

4 (A) by inserting ‘‘and before 2017’’ after 

5 ‘‘1979’’ in clause (ii); 

6 (B) by redesignating clause (iii) as clause 

7 (v); 

8 (C) by inserting after clause (ii) the fol9 lowing: 

10 ‘‘(iii) For individuals who initially be11 come eligible for old-age or disability insur12 ance benefits, or who die (before becoming 

13 eligible for such benefits), in the calendar 

14 year 2017— 

15 ‘‘(I) the amounts established for 

16 purposes of clauses (i) and (ii) of sub17 paragraph (A) shall be the amounts 

18 so established under clause (ii) of this 

19 subparagraph for such calendar year; 

20 and 

21 ‘‘(II) the amount established for 

22 purposes of clause (iii) of subpara23 graph (A) shall be the amount of the 

24 contribution and benefit base with re25 spect to remuneration paid (and taxVerDate Sep 11 2014 01:07 Apr 16, 2015 Jkt 049200 PO 00000 Frm 00024 Fmt 6652 Sfmt 6201 E:\BILLS\H1756.IH H1756

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1 able years beginning) in calendar year 

2 2017. 

3 ‘‘(iv) For individuals who initially be4 come eligible for old-age or disability insur5 ance benefits, or who die (before becoming 

6 eligible for such benefits), in any calendar 

7 year after 2017, the amount so established 

8 shall equal the product of the cor9 responding amount established with re10 spect to the calendar year 2017 under 

11 clause (iii) of this subparagraph and the 

12 quotient obtained by dividing— 

13 ‘‘(I) the national average wage 

14 index (as defined in section 209(k)(1)) 

15 for the second calendar year preceding 

16 the calendar year for which the deter17 mination is made, by 

18 ‘‘(II) the national average wage 

19 index (as so defined) for 2015.’’; and 

20 (D) in clause (v), as so redesignated by 

21 subparagraph (A) of this paragraph, by insert22 ing ‘‘and clause (iv)’’ after ‘‘clause (ii)’’. 

23 (b) EFFECTIVE DATE.—The amendments made by 

24 this section shall apply with respect to individuals who ini25 tially become eligible (within the meaning of section 


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1 215(a)(3)(B)) for old-age or disability insurance benefits 

2 under title II of the Social Security Act, or who die (before 

3 becoming eligible for such benefits), in any calendar year 

4 after 2016. 

5 SEC. 7. INCREASE IN EMPLOYMENT TAX RATE. 

6 (a) WAGES.— 

7 (1) EMPLOYEES.—Subsection (a) of section 

8 3101 of the Internal Revenue Code of 1986 is 

9 amended to read as follows: 

10 ‘‘(a) OLD-AGE, SURVIVORS, AND DISABILITY INSUR11 ANCE.— 

12 ‘‘(1) IN GENERAL.—In addition to other taxes, 

13 there is hereby imposed on the income of every indi14 vidual a tax equal to the applicable percentage of the 

15 wages (as defined in section 3121(a)) received by 

16 him with respect to employment (as defined in sec17 tion 3121(b)). 

18 ‘‘(2) APPLICABLE PERCENTAGE.—For purposes 

19 of paragraph (1), the term ‘applicable percentage’ 

20 means the percentage determined under the fol21 lowing table: 

The applicable 

‘‘In case of wages received during: percentage 

shall be: 

2017 .................................................................................. 6.25 percent

2018 .................................................................................. 6.30 percent

2019 .................................................................................. 6.35 percent

2020 .................................................................................. 6.40 percent

2021 .................................................................................. 6.45 percent

2022 or thereafter ............................................................. 6.50 percent.’’. 


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1 (2) EMPLOYERS.—Subsection (a) of section 

2 3111 of such Code is amended to read as follows: 

3 ‘‘(a) OLD-AGE, SURVIVORS, AND DISABILITY INSUR4 ANCE.— 

5 ‘‘(1) IN GENERAL.—In addition to other taxes, 

6 there is hereby imposed on every employer an excise 

7 tax, with respect to having individuals in his employ, 

8 equal to the applicable percentage of the wages (as 

9 defined in section 3121(a)) paid by him with respect 

10 to employment (as defined in section 3121(b)). 

11 ‘‘(2) APPLICABLE PERCENTAGE.—For purposes 

12 of paragraph (1), the term ‘applicable percentage’ 

13 means the percentage determined under the fol14 lowing table: 

The applicable 

‘‘In case of a taxable year 

beginning during calendar year: 

percentage 

shall be: 

2017 .................................................................................. 6.25 percent

2018 .................................................................................. 6.30 percent

2019 .................................................................................. 6.35 percent

2020 .................................................................................. 6.40 percent

2021 .................................................................................. 6.45 percent

2022 or thereafter ............................................................. 6.50 percent.’’. 

15 (b) SELF-EMPLOYMENT.—Subsection (a) of section 

16 1401 of such Code is amended to read as follows: 

17 ‘‘(a) OLD-AGE, SURVIVORS, AND DISABILITY INSUR18 ANCE.— 

19 ‘‘(1) In addition to other taxes, there shall be 

20 imposed for each taxable year, on the self-employ21 ment income of every individual, a tax equal to the 


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1 applicable percentage of the amount of the self-em2 ployment income for such taxable year. 

3 ‘‘(2) APPLICABLE PERCENTAGE.—For purposes 

4 of paragraph (1), the term ‘applicable percentage’ 

5 means the percentage determined under the fol6 lowing table: 

The applicable 

‘‘In case of a taxable year 

beginning during calendar year: 

percentage 

shall be: 

2017 .................................................................................. 12.5 percent

2018 .................................................................................. 12.6 percent

2019 .................................................................................. 12.7 percent

2020 .................................................................................. 12.8 percent

2021 .................................................................................. 12.9 percent

2022 or thereafter ............................................................. 13.0 percent.’’. 

7 (c) EFFECTIVE DATE.—The amendments made by 

8 this section shall apply with respect to remuneration re9 ceived, and taxable years beginning after, December 31, 

10 2016. 

11 SEC. 8. NON-APPLICATION OF INCREASE IN SOCIAL SECU12 RITY BENEFITS FOR MEANS-TESTED PRO13 GRAMS. 

14 Any increase in monthly insurance benefits under 

15 title II of the Social Security Act as a result of the amend16 ments made by this Act shall not be regarded as income 

17 or resources for any month after December 2016, for pur18 poses of determining the eligibility of the recipient (or the 

19 recipient’s spouse or family) for benefits or assistance, or 

20 the amount or extent of benefits or assistance, under any 


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1 Federal program or under any State or local program fi2 nanced in whole or in part with Federal funds. 

Æ 


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