## Provisions Affecting Level of Monthly Benefits

- Office of the Chief Actuary
- Individual Provisions
- How we compute retirement benefits
- Illustrative examples

          These provisions modify the formula used for calculating the basic          Social Security monthly benefit called the Primary Insurance Amount          (PIA).  We provide a summary          list of all options           (printer-friendly PDF version)           in this category.  For each provision listed          below, we provide an estimate of the financial effect on the OASDI          program over the long-range period (the next 75 years) and for the          75th year. In addition, we provide graphs and detailed single year tables.          We base all estimates on the intermediate assumptions          described in the           2023 Trustees Report.         

          Choose the type of estimates (summary or detailed) from          the list of provisions.         
        -            B1: PIA bend point and factor changes, adjusting for           inflation.  These provisions reduce benefits for some           future beneficiaries. Future PIA bend points and formula           factors change so that the growth in benefits from           one cohort to the next reflect some degree of           inflation, rather than growth in average wages as specified           in current law.
        -            B2: PIA bend point and factor changes, adjusting for           longevity.  These provisions reduce benefits for some future           beneficiaries. Future PIA formula factors decrease as a result           of increased longevity (people living longer).
        -            B3: PIA bend point and factor changes, other adjustments.            These provisions specify other changes in future PIA bend points and           formula factors.
        -            B4: Computation year changes.            These provisions specify changes to the number of years used in           determining benefits.
        -            B5: Minimum benefits.            These provisions provide an increase in benefits to targeted           individuals, generally those with low earnings and full work           careers.
        -            B6: Benefit Increases for Older Beneficiaries.            These provisions provide an increase in benefits for beneficiaries           who have been on the rolls for at least 20 years.
        -            B7: Other benefit adjustments.

| Number | Table and graph selection                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
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| B1.1   | **Price indexing of PIA factors beginning with those newly eligible for OASDI        benefits in 2030:** Reduce factors so that initial benefits grow by inflation        rather than by the SSA average wage index.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Social Security Advisory Board 2005                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| B1.2   | **Progressive price indexing (30th percentile) of PIA factors beginning with         individuals newly eligible for OASDI benefits in 2030:** Create a new bend         point at the 30th percentile of the AIME distribution of newly retired workers.         Maintain current-law benefits for earners at the 30th percentile and below. Reduce         the 32 and 15 percent factors above the 30th percentile such that the initial         benefit for a worker with AIME equal to the taxable maximum grows by inflation         rather than the growth in the SSA average wage index.               Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Social Security Advisory Board 2005                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| B1.3   | **Progressive price indexing (40th percentile) of PIA factors beginning with         individuals newly eligible for OASDI benefits in 2030:** Create a new bend         point at the 40th percentile of the AIME distribution of newly retired workers.         Maintain current-law benefits for earners at the 40th percentile and below. Reduce         the 32 and 15 percent factors above the 40th percentile such that the initial         benefit for a worker with AIME equal to the taxable maximum grows by inflation         rather than the growth in the SSA average wage index.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Social Security Advisory Board 2005                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| B1.4   | **Progressive price indexing (50th percentile) of PIA factors beginning with         individuals newly eligible for OASDI benefits in 2030:** Create a new bend point         at the 50th percentile of the AIME distribution of newly retired workers. Maintain         current-law benefits for earners at the 50th percentile and below. Reduce the 32         and 15 percent factors above the 50th percentile such that the initial benefit for         a worker with AIME equal to the taxable maximum grows by inflation rather than         the growth in the SSA average wage index.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Social Security Advisory Board 2005                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| B1.5   | **Progressive price indexing (60th percentile) of PIA factors beginning with        individuals newly eligible for OASDI benefits in 2030:** Create a new bend point        at the 60th percentile of the AIME distribution of newly retired workers. Maintain        current-law benefits for earners at the 60th percentile and below. Reduce the 32        and 15 percent factors above the 60th percentile such that the initial benefit        for a worker with AIME equal to the taxable maximum grows by inflation rather        than the growth in the SSA average wage index.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Social Security Advisory Board 2005                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| B2.1   | Beginning with those newly eligible for OASI benefits in 2033, multiply the PIA        factors by the ratio of life expectancy at 67 for 2028 to the life expectancy at        age 67 for the 4th year prior to the year of benefit eligibility. Unisex life expectancies,        based on period life tables as computed by SSA's Office of the Chief Actuary, are        used to determine the ratio. Disabled workers are: (a) not affected prior to normal        retirement age; and (b) subject to a proportional reduction in benefits, based on        the worker's years of disability, upon conversion to retired-worker beneficiary status.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:-                 Bipartisan Policy Center 2010
- Bennett 2009                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| B3.8   | Beginning with those newly eligible for OASDI benefits in 2030, create a new bend         point at the 50th percentile of the AIME distribution of newly retired workers and         gradually reduce all PIA factors except for the 90 percent factor. By 2063: a) the         32 percent PIA factor below the new bend point reduces to 30 percent; b) the 32 percent         PIA factor above the new bend point reduces to 10 percent; and c) the 15 percent         PIA factor reduces to 5 percent.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Fiscal Commission 2010                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| B3.9   | Beginning with those newly eligible for OASDI benefits in 2036, gradually reduce         the 15 percent PIA factor in each year so that it reaches 10 percent for those         newly eligible in 2065 and later.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Bipartisan Policy Center 2010                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| B3.10  | Beginning with those newly eligible for OASDI benefits in 2030, gradually increase         the first PIA bend point in each year so that it is 15 percent higher for those newly         eligible in 2044 and later.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Sanders, DeFazio 2019
- Sanders, DeFazio 2017
- Sanchez 2016
- Sanders 2016
- Schatz 2015
- Sanders 2015
- Harkin 2013
- Harkin 2012                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| B3.11  | Increase the first PIA factor from 90 percent to 93 percent for all beneficiaries        eligible as of January 2025 and for those newly eligible for benefits after 2024.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Larson, Blumenthal, Van Hollen September 2019
- Larson, Blumenthal, Van Hollen January 2019
- Larson 2017
- Larson 2015
- Larson 2014                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| B3.12  | Use an annualized "mini-PIA" formula beginning with retired workers newly eligible         in 2030. For each indexed earnings year, compute an individual AIME and an individual         PIA. Sum these individual PIAs for the 40 highest years of indexed earnings and divide         that total amount by 37 to get the PIA for this provision. Phase-in over five years,         meaning that in 2030, 80 percent of the benefit would be based on the old 35-year         average PIA formula and 20 percent on the new mini-PIA formula, shifting by 20 percentage         points each year until 100 percent is based on the new mini-PIA formula for those         attaining age 62 in 2034. Disabled worker benefits are unchanged under this provision.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Johnson 2016
- Bipartisan Policy Center October 2016
- Bipartisan Policy Center June 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| B3.13  | For retired worker beneficiaries newly eligible in 2030 (excluding disabled workers),        add a new bend point at the wage-indexed equivalent of the 50th percentile of the AIME        distribution minus $100 (for 2015 eligibility) and change the PIA factors to 95/32/15/5.        Also move the current-law first bend point from the wage-indexed equivalent of $1,115        in 2023 to $1,417 in 2023. Phase this provision in over 10 years (2030-2039). The phase-in        would work on a weighted-average basis: 90% of CL formula + 10% of proposal formula for        2030, 80% of CL formula + 20% of proposal formula for 2031, and so on.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Bipartisan Policy Center October 2016
- Bipartisan Policy Center June 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| B3.14  | Beginning with those newly eligible for OASDI benefits in 2025, reduce the 15 percent         PIA factor by 2 percentage points per year so that it reaches 5 percent for those newly         eligible in 2029 and later.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Ribble 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| B3.15  | Increase the 90 percent PIA formula factor to 91 percent for beneficiaries newly        eligible in 2028, 92 percent for those newly eligible in 2029, ..., reaching 95        percent for those newly eligible in 2032 and later.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Sanchez 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| B3.16  | For retired worker and disabled worker beneficiaries becoming initially        eligible in January 2030 or later, phase in a new benefit formula (from        2030 to 2039). 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 2039.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Johnson 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| B3.17  | Increase the current-law first bend point by 22 percent and increase the 90        percent PIA factor to 95 percent for all beneficiaries eligible for benefits        as of January 2024 and for those newly eligible for benefits after 2023. This        provision will result in an approximate $257 increase in PIA for most workers        newly eligible for retirement or disability benefits in 2024.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Sanders 2023
- Sanders, DeFazio 2022                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| B4.1   | Increase the number of years used to calculate benefits for retirees and survivors         (but not for disabled workers) from 35 to 38, phased in over the years 2024-2028.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Social Security Advisory Board 2005                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |
| B4.2   | Increase the number of years used to calculate benefits for retirees and survivors        (but not for disabled workers) from 35 to 40, phased in over the years 2024-2032.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Chaffetz 2011
- Social Security Advisory Board 2005                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| B4.3   | For the OASI and DI computation of the PIA, gradually reduce the maximum number of        drop-out years from 5 to 0, phased in over the years 2025-2033.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memorandum containing this or a similar provision:- Warshawsky 2008                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| B4.4   | Reduce the number of computation years (increase dropout years) for parents having        a child in care under the age of 6. The parent must have no earnings (covered or non-covered)        for the year to be eligible for the credit. Only one parent can claim the childcare        added dropout year for a given earnings year. Each parent can earn at most 2 dropout        years per child, and a maximum of 5 dropout years in total. The years designated as        childcare years do not have to be the years that could otherwise be included in the        computation of the average indexed monthly earnings (AIME). The provision would be        effective for all benefits payable for entitlement in January 2025 and later (without        regard for when the beneficiary became initially eligible).              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memorandum containing this or a similar provision:- Murphy 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| B4.5   | For retired and disabled workers, reduce the maximum number of dropout years to 4 for        workers newly eligible in 2025, to 3 for workers newly eligible in 2026, and to 2 for        workers newly eligible in 2027 and later.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memorandum containing this or a similar provision:- Ribble 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| B5.1   | Increase the PIA to a level such that a worker with 30 years of earnings at the        minimum wage level receives an adjusted PIA equal to 120 percent of the Federal        poverty level for an aged individual. This provision takes full effect for all        newly eligible OASDI workers in 2041, and is phased in for new eligibles in 2032        through 2040. The percentage increase in PIA is lowered proportionately for those        with fewer than 30 years of earnings, down to no enhancement for workers with 20        or fewer years of earnings. (Year-of-work requirements are "scaled" for disabled        workers based on their years of potential work from age 22 to benefit eligibility).        The benefit enhancement percentage is reduced proportionately for workers with        higher average indexed monthly earnings (AIME), down to no enhancement for those        with AIME at least twice that of a 35-year steady minimum wage earner.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memorandum containing this or a similar provision:- Ryan 2010                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| B5.2   | Beginning for those newly eligible in 2024, reconfigure the special minimum benefit:         (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 $1,416 in 2022). For those with under 30 years of         coverage, the PIA per year of coverage over 10 years is $1,416/20 = $70.80. (c) Index         the initial PIA per year of coverage by wage growth for successive cohorts.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memoranda containing this or a similar provision:- Sanders 2023
- Sanders, DeFazio 2022
- Lawson 2021
- Larson, Blumenthal, Van Hollen September 2019
- Sanders, DeFazio 2019
- Larson, Blumenthal, Van Hollen January 2019
- Lawson 2017
- Larson 2017
- Sanders, DeFazio 2017
- Sanders 2016
-  Sanders 2015
-  Larson 2015
-  Larson 2014
- National Academy of Social Insurance 2009                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| B5.3   | Beginning for those newly eligible in 2024, reconfigure the special minimum benefit:         (a) A year of coverage is defined to be either a year in which 4 quarters of coverage         are earned or a child is in care. Childcare years are granted to parents who have a         child under 5, with a limit of 8 such years. (b) At implementation, set the PIA for         30 years of coverage equal to 125 percent of the monthly poverty level (about $1,416         in 2022). For those with under 30 years of coverage, the PIA per year of coverage over         10 years is $1,416/20 = $70.80. (c) Index the initial PIA per year of coverage by wage         growth for successive cohorts.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memorandum containing this or a similar provision:- National Academy of Social Insurance 2009                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| B5.4   | Beginning for those newly eligible in 2030, reconfigure the special minimum benefit:        (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 $1,416 in 2022). For those with under 30 years of        coverage, the PIA per year of coverage over 10 years is $1,416/20 = $70.80. (c) From        2022 to the year of implementation, 2030, index the PIA per year of coverage using the        chain-CPI index. Then, for later years, index the PIA per year of coverage by wage growth        for successive cohorts. (d) Scale work requirements for disabled workers, based on the        number of years of non-disabled potential work.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memorandum containing this or a similar provision:- Fiscal Commission 2010                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| B5.5   | Beginning for those newly eligible in 2025, reconfigure the special minimum benefit:        (a) A year of coverage is defined as a year in which either 20 percent of the "old law       maximum" is earned or a child is in care. Childcare years are granted to parents who        have a child under 6, with a limit of 8 such years. (b) At implementation, set the PIA        for 30 years of coverage equal to 133 percent of the Census monthly poverty level (about        $1,556 in 2022). For those with under 30 years of coverage, the PIA per year of coverage        over 19 years is $1,556/11 = $141.40. (c) Index the initial PIA per year of coverage        by wage growth for successive cohorts. (d) Scale work requirements for disabled workers,        based on the number of years of non-disabled potential work.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memorandum containing this or a similar provision:- Bipartisan Policy Center 2010                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              |
| B5.6   | Beginning for those newly eligible in 2024, reconfigure the special minimum benefit:        (a) A year of coverage is defined to be either a year in which 4 quarters of coverage        are earned or a child is in care. Childcare years are granted to parents who have a child        under 6, with a limit of 5 such years. (b) At implementation, set the PIA for 30 years        of coverage equal to 100 percent of the monthly poverty level (about $1,215 in 2023).        For those with under 30 years of coverage, the PIA per year of coverage over 10 years        is $1,215/20 = $60.75. (c) From 2023 to the year of implementation, 2024, index the PIA        per year of coverage using the CPI index. Then, for later years, index the PIA per year        of coverage by wage growth for successive cohorts. (d) Scale work requirements for disabled        workers, based on the number of years of non-disabled potential work.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memorandum containing this or a similar provision:- Chaffetz 2011                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| B5.7   | Beginning for those newly eligible in 2026, reconfigure the special minimum benefit:        (a) The number of years of work (YOWs) is determined as total quarters of coverage divided        by 4, ignoring any fraction. Childcare years are granted to parents who have a child        under 6, with a limit of 5 such years. (b) At implementation, set the PIA for 30+ YOWs        equal to 100 percent of the monthly HHS poverty level for the year prior to eligibility.        For workers between 11 and 29 YOWs, reduce the special minimum by 3 1/3 percentage points        per YOW so that at 29 YOWs the minimum would be 96 2/3% of poverty, ..., down to 11 YOWs        at 36 2/3% of poverty. No minimum for 10 or fewer YOWs.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memorandum containing this or a similar provision:- Moore 2013                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| B5.8   | Beginning in 2028, create a Basic Minimum Benefit (BMB) within Social Security (i.e.,        the cost of the BMB would be charged as a cost to the OASI Trust Fund), with the following        specifications: (1) Eligibility for the BMB would be limited to OASI beneficiaries who have        attained normal retirement age (NRA) or above. OASI beneficiaries under NRA would not        be eligible for the BMB. (2) The BMB would be calculated on a household basis and split        equally between members of the household. In the case of a married couple, both spouses        would need to claim any Social Security benefits for which they are eligible before they        could receive the BMB. If both spouses have claimed and one is NRA or above and the other        has not yet attained NRA, only the half of the BMB for the spouse over NRA would be payable.        (3) The BMB amount for single beneficiaries would be equal to either: 1) the BMB base        ($604 in 2015) - 0.70 * current monthly OASI benefit (not including any BMB), if positive;        or 2) zero. (4) The BMB amount for married beneficiaries would be equal to either: 1) the        BMB base ($906 in 2015) - 0.70 * total household monthly OASI benefits (not including any        BMB), if positive; or 2) zero. (5) The BMB bases for singles and couples would be updated        annually for changes in the average wage index (AWI). (6) Single filers with Adjusted Gross        Income (AGI) over $30,000 and joint filers with AGI (including taxable SS benefits) over        $45,000 would be subject to clawback of the BMB through the income tax system. Any BMB        would be reduced by one dollar for every dollar of income above the thresholds. (Thresholds,        in 2015 dollars, would be indexed to chained CPI-U.) Clawbacks would be credited back to        the OASI Trust Fund.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memoranda containing this or a similar provision:- Bipartisan Policy Center October 2016
- Bipartisan Policy Center June 2016                                                                                                                                                                                                                                     |
| B5.9   | Beginning for those newly eligible in 2025, reconfigure the special minimum benefit:        (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 40 years of coverage equal to 125 percent of        the monthly Aged Federal poverty level (about $1,462 in 2022). For those with 20 or        fewer years of coverage, phase up linearly from 0 percent of the poverty level for 10        years of coverage to 100 percent of the poverty level. For those having between 20 and        40 years of coverage, phase up linearly from 100 percent of the poverty level at 20        years of coverage to 125% of the poverty level for 40 or more years of coverage. (c)        For newly eligible workers in 2025 and 2026, index the applicable poverty level using        the CPI index, to the year prior to eligibility. Then, for newly eligible workers in        2027 and later, index the PIA per year of coverage by wage growth for successive cohorts.        (d) Disabled workers have a somewhat similar minimum benefit, with work requirements        scaled based on the number of years of non-disabled potential work.               Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memorandum containing this or a similar provision:- Ribble 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| B5.10  | Reconfigure the special minimum benefit, phased in for retired and disabled workers        newly eligible from 2030 through 2039: (a) A year of work (YOW) coverage is equal to        earnings at or above $10,875 in 2023 (reflecting a full-time worker earning the federal        minimum wage), adjusted thereafter for wage growth.  (b) At implementation, set the        minimum PIA at zero percent of AWI for those with 10 or fewer YOWs to 15 percent of        AWI for those with 15 YOWs, increasing linearly so that it reaches 19 percent for 19        YOWs.  Then the minimum PIA would jump up to 25 percent of AWI for those with 20 YOWs,        increasing linearly so that it equals 35 percent of AWI for those with 35 or more YOWs.        (c) Use the AWI for two years prior to the year of initial eligibility in the minimum        PIA calculation with COLA increase after the year of initial eligibility. (d) Scale the        YOW requirements for disabled workers, based on the number of years of non-disabled        potential work.               Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memorandum containing this or a similar provision:- Johnson 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| B5.11  | Beginning for those newly eligible in 2024, reconfigure the special minimum benefit:        (a) The number of years of work (YOWs) is determined as total quarters of coverage        divided by 4, ignoring any fraction. Childcare years are granted to parents who have        a child under 6, with a limit of 5 such years. (b) For beneficiaries becoming newly        eligible in 2024, set the initial special minimum benefit for 30+ YOWs equal to 100        percent of the monthly HHS poverty level for 2023. For beneficiaries becoming newly        eligible after 2024, the initial special minimum benefit is indexed by the AWI. For        workers between 11 and 29 YOWs, reduce the special minimum by 3 1/3 percentage points        per YOW so that at 29 YOWs the minimum would be 96 2/3% of poverty, ..., down to 11        YOWs at 36 2/3% of poverty. No minimum for 10 or fewer YOWs.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memoranda containing this or a similar provision:- Moore 2023
- Moore 2022
- Moore 2019                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                |
| B6.1   | Provide a 5 percent increase to the monthly benefit amount (MBA) of any beneficiary        who is 85 or older at the beginning of 2024 or who reaches their 85th birthday after        the beginning of 2024.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)        Memoranda containing this or a similar provision:- Chaffetz 2011
- National Academy of Social Insurance 2009                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| B6.2   | Provide the same dollar amount increase to the monthly benefit amount (MBA) of any         beneficiary who is 85 or older at the beginning of 2024 or who reaches their 85th         birthday after the beginning of 2024. The dollar amount of increase equals 5 percent         of the average retired-worker MBA in the prior year.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- National Academy of Social Insurance 2009                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |
| B6.3   | Provide an increase in the benefit level of any beneficiary who is 85 or older at the         beginning of 2025 or who reaches their 85th birthday after the beginning of 2025. Increase         the beneficiary's PIA based on an amount equal to the average retired-worker PIA at         the end of 2024, or at the end of the year age 80 if later. Increase the beneficiary's         PIA by 5 percent of this amount for those older than 85 at the beginning of 2025 and         by 5 percent of this amount at age 85 for others, phased in at 1 percent per year for         ages 81-85.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Bipartisan Policy Center 2010                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |
| B6.4   | Starting in 2024, provide a 5 percent uniform benefit increase 24 years after        initial benefit eligibility. Phase in the benefit increase at 1 percent per year        from the 20th through 24th years after eligibility. For disabled workers, the        eligibility age is the initial entitlement year to the benefit. The benefit increase        is equal to 5 percent of the PIA of a worker assumed to have career-average        earnings equal to SSA's average wage index.  Auxiliary beneficiaries receive        benefit enhancement based on the PIA of the governing worker.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Ribble 2016
- Fiscal Commission 2010                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| B6.5   | Starting in 2026, provide a 5 percent uniform PIA increase 20 years after benefit         eligibility. Phase in the PIA increase at 1 percent per year from the 16th through         20th years after eligibility. The full PIA increase is equal to 5 percent of the         PIA of a worker assumed to have career-average earnings equal to the SSA average         wage index.  Auxiliary beneficiaries receive benefit enhancement based on the PIA         of the governing worker.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Moore 2023
- Moore 2022
- Moore 2019
- Moore 2013                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 |
| B6.6   | Starting in 2030, provide a uniform PIA increase in the 24th year of benefit eligibility.         Phase in the PIA increase at 0.5 percent per year from the 15th through the 24th years of         eligibility. The full PIA increase is equal to 5 percent of the average retired worker PIA         in December of the 14th year of benefit eligibility. A similar additional PIA increase applies         in the 43rd year of benefit eligibility (age 104), phased in from the 34th through the 43rd         years of eligibility. For those past the 15th year of eligibility in 2029 (over age 76 for         retirees), phase in the PIA enhancement over 10 years starting in 2030. Auxiliary beneficiaries         receive benefit enhancement based on the PIA of the governing worker.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- FY 2014 Budget                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| B6.7   | Starting in January 2030, provide an addition to monthly benefits for all beneficiaries        who have been eligible for at least 20 years, with the following specifications:  (1)        Augment benefits (not the PIA) for those of qualifying age and eligibility duration with        a MAGI below about $29,400 if single and $58,800 if married. MAGI is set to equal the IRMAA        definition (AGI plus tax-exempt interest income). Index these thresholds after 2030 by        the increase in the C-CPI-U; (2) The full additional amount is applicable for those born        1963 and later, once 24 years elapse from initial eligibility. The basic additional amount        is calculated as 5 percent of the PIA for a hypothetical worker with earnings equal to        the AWI each year; (3) For those born prior to 1963, the full additional amount is multiplied        by the number of years they have been affected by the C-CPI-U, divided by 24; (4) Beneficiaries        will receive 20 percent of their additional amount in their 20th year after initial eligibility,        40 percent in their 21st year after initial eligibility,..., and 100 percent of their additional        amount in their 24th and later years after benefit eligibility; (5) Retired and disabled        worker beneficiaries, dually entitled spouse beneficiaries, and all survivor beneficiaries        received their addition as described above. Spousal beneficiaries (aged or with child in        care) and child beneficiaries of a living retired or disabled worker receive 50 percent        of the additional amount described above. Other beneficiary types (such as parents of deceased        workers) will receive the percentage of the flat benefit that equals the percentage of the        insured worker's PIA that they receive; (6) The AWI used is for the second year prior to the        beneficiary's initial eligibility year, with applicable COLAs applied up to the age when the        addition is received; and (7) The additional amount is added to the monthly benefit after        reductions for early claiming or increases for delayed claiming have been applied.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Johnson 2016 |
| B6.8   | Starting in 2025, provide an additional monthly benefit equal to 1/12th of 2 percent        of the AWI for the second prior year.  This additional benefit would be available to        those meeting any of the following four requirements:  (a) Social Security beneficiaries        who have attained age 82; (b) Social Security beneficiaries who have attained NRA and        have both AIME at or below the first PIA bend point ($1,115 for 2023 initial eligibility)        and at least 11 "years of coverage" as used for Windfall Elimination Provision purposes        (earnings above $29,700 for 2023); (c) Individuals who have received Social Security        benefits and/or SSI payments for at least 240 distinct months after attaining age 19;        or (d) SSI recipients who have attained the Social Security NRA.  This additional benefit        would be paid out of the applicable Social Security OASI or DI Trust Fund for any month        in which the individual is in receipt of a Social Security benefit; it would be paid out        of the General Fund of the Treasury for any month in which the individual is in receipt        of an SSI monthly payment but not a Social Security monthly benefit.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Wyden 2018                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
| B7.2   | Reduce benefits by 5 percent for those newly eligible for benefits in 2024 and later.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Social Security Advisory Board 2005                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| B7.3   | Give credit to parents with a child under 6 for earnings for up to five years.        The earnings credited for a childcare year equal one half of the SSA average        wage index (about $33,074 in 2023). The credits are available for all past years        to newly eligible retired-worker and disabled-worker beneficiaries starting in        2024. The 5 years are chosen to yield the largest increase in AIME.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- National Academy of Social Insurance 2009                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| B7.5   | Increase benefits by 5 percent for all beneficiaries as of the beginning of 2024        and for those newly eligible for benefits after the beginning of 2024.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- National Academy of Social Insurance 2009                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| B7.7   | Reduce individual Social Security benefits if modified adjusted gross income,         or MAGI (AGI less taxable Social Security benefits plus nontaxable interest         income) is above $60,000 for single taxpayers or $120,000 for taxpayers filing         jointly. This provision is effective for individuals newly eligible for benefits         in 2028 or later. The percentage reduction increases linearly up to 50 percent         for single/joint filers with MAGI of $180,000/$360,000 or above. Index the MAGI         thresholds for years after 2028, based on changes in the SSA average wage index.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Chaffetz 2011                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
| B7.8   | Replace the Windfall Elimination Provision (WEP) and Government Pension Offset         (GPO) with a revised reduction for most OASI benefits based on all earnings, beginning         with beneficiaries newly eligible in 2030.                Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Bipartisan Policy Center October 2016
- Bipartisan Policy Center June 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| B7.9   | Beginning for newly eligible retired workers and spouses in 2030, all claimants who         are married would receive a specified joint-and-survivor annuity benefit (i.e., surviving         spouses would receive 75 percent of the decedents' benefits, in addition to their own)         that would be payable if both were still alive. Initial benefits would be actuarially         adjusted to keep the expected value of benefits equivalent to what would otherwise         be current law.               Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Bipartisan Policy Center October 2016
- Bipartisan Policy Center June 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| B7.10  | Replace the current-law WEP with a new calculation for most OASI and DI benefits         based on covered and non-covered earnings, phased in for beneficiaries becoming         newly eligible in 2030 through 2039. For this new approach, compute a PIA based         on all past earnings (covered and non-covered), and multiply by the "non-covered         earnings ratio." This ratio is equal to the current-law concept of the average         indexed monthly earnings computed without non-covered earnings divided by a modified         average indexed monthly earnings that includes both covered and non-covered earnings         in agency records.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Johnson 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| B7.11  | Beginning in January 2026, eliminate the retirement earnings test for all beneficiaries         under normal retirement age, including retired workers, aged spouses, aged widow(er)s,         young spouses with a child in care, young surviving spouses with a child in care, and children.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Walorski 2019
- Johnson, Walorski 2017
- Johnson 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| B7.12  | Provide an option to split the 8-percent delayed retirement credit (DRC) to offer a lump         sum benefit at initial entitlement equal to 2 percent of the 8 percent DRC earned, and a         6 percent DRC on subsequent monthly benefits, effective for workers newly entitled to retired         worker benefits in 2026 and later.  Widows are held harmless from the lump-sum decision.              Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memoranda containing this or a similar provision:- Johnson, Smith 2017
- Johnson 2016                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| B7.13  | Eliminate the DI 5-month waiting period for disabled workers and disabled surviving         spouses, and eliminate the 24-month Medicare (HI) waiting period for individuals who         have become entitled to Social Security disability benefits.  Effective with 2024 applications.                  Summary measures and graphs         (PDF version)       Detailed single year tables         (PDF version)       Memorandum containing this or a similar provision:- Sanders 2018                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
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