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| Solvency Provisions | Provisions Affecting Level of Monthly BenefitsUpdated May 3, 2006   |
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| Number | Table and graph selection                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |
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| B1     | Increase the number of years used to calculate benefits for retirees         and survivors (but not for disabled workers) from 35 to 38, phased in         2006-2010. (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    |
| B2     | Increase the number of years used to calculate benefits for retirees        and survivors (but not for disabled workers) from 35 to 40, phased in        2006-2014. (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| B3     | For each year from 2006-2036, multiply the 32 and 15 percent        formula factors by 0.987, reducing the factors to 21 percent        and 10 percent respectively,        for new eligibles in 2036 and later.        (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |
| B4     | Reduce benefits by 3 percent for those newly eligible        for benefits in 2006 and later.        (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| B5     | Reduce benefits by 5 percent for those newly eligible        for benefits in 2006 and later.        (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
| B6     | Beginning with those newly eligible for OASDI benefits in 2012 and        later, reduce PIA formula factors so that benefits grow by inflation        rather than by increases in real wages.        (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| B7     | Progressive price indexing of PIA formula factors beginning with        individuals newly eligible for OASDI benefits in 2012.  Create new bend        point at the 30th percentile of earners.  Maintain current-law benefits        for earners at the 30th percentile and below and reduce upper 2 formula        factors (32% and 15%) such that maximum worker benefit grows by        inflation rather than the growth in average wages.        (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)                                                                                                                                                                                                                                                                    |
| B8     | Progressive price indexing of PIA formula factors beginning with        individuals newly eligible for OASDI benefits in 2012.  Create new bend        point at the 40th percentile of earners.  Maintain current-law benefits        for earners at the 40th percentile and below and reduce upper 2 formula        factors (32% and 15%) such that maximum worker benefit grows by        inflation rather than the growth in average wages.        (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)                                                                                                                                                                                                                                                                    |
| B9     | Progressive price indexing of PIA formula factors beginning with        individuals newly eligible for OASDI benefits in 2012.  Create new bend        point at the 50th percentile of earners.  Maintain current-law benefits        for earners at the 50th percentile and below and reduce upper 2 formula        factors (32% and 15%) such that maximum worker benefit grows by        inflation rather than the growth in average wages.        (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)                                                                                                                                                                                                                                                                    |
| B10    | Progressive price indexing of PIA formula factors beginning with        individuals newly eligible for OASDI benefits in 2012.  Create new bend        point at the 60th percentile of earners.  Maintain current-law benefits        for earners at the 60th percentile and below and reduce upper 2 formula        factors (32% and 15%) such that maximum worker benefit grows by        inflation rather than the growth in average wages.        (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)                                                                                                                                                                                                                                                                    |
| B11    | Beginning with those newly eligible in 2013, multiply the 90 and 32        PIA factors each year by 0.9925 and 0.982, respectively.        Stop reductions in        2050.  Beginning with those newly eligible in 2008, multiply the 15        factor by 0.982.  Stop reduction of the 15 factor in 2045.  DI will        have present law scheduled benefit and proportional reduction at        conversion to retired worker benefits at normal retirement age, based        on years of disability.        (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)Related memorandum                                                                                                                                                                                         |
| B12    | Progressive price indexing of PIA formula factors beginning with       individuals newly eligible for OASI benefits in 2012.  Create new       bend point at the 30th percentile of earners.  Maintain current-law       benefits for earners at the 30th percentile and below and reduce       upper 2 formula factors (32% and 15%) such that maximum worker       benefit grows by inflation rather than the growth in average wages.       Disability benefits are not affected by the proposal.  Disabled       worker beneficiaries, upon attaining normal retirement age, would       be subject to a proportional reduction in benefits based on the       worker's years of disability.       (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)Related memorandum |
| B13    | For OASI beneficiaries becoming eligible for benefits in 2018 and       later, multiply the PIA factors by the ratio of life expectancy at       67 for 2013 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, would be used as projected by SSA's Office       of the Chief Actuary.  Disability benefits are not affected by the       proposal.  Disabled worker beneficiaries, upon attaining normal       retirement age, would be subject to a proportional reduction in       benefits based on the worker's years of disability.       (2005 Trustees Report)              Summary measures and graphs         (PDF Version)       Detailed Single Year Tables         (PDF Version)Related memorandum                                           |
|        | Above provisions        Summary measures                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |

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