I 

115TH CONGRESS 

2D SESSION H. R. 7195 

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

Social Security, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

NOVEMBER 29, 2018 

Ms. MOORE (for herself, Ms. SCHAKOWSKY, Mr. PAYNE, Mr. HASTINGS, and 

Ms. WILSON of Florida) introduced the following bill; which was referred 

to the Committee on Ways and Means 

A BILL 

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

reforms to Social Security, and for other purposes. 

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

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Social Security En5 hancement and Protection Act of 2017’’. 

6 SEC. 2. INCREASE IN SPECIAL MINIMUM BENEFIT FOR 

7 LIFETIME LOW EARNERS BASED ON YEARS IN 

8 THE WORKFORCE. 

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

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


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

3 or disability insurance benefits (or die before becoming so 

4 eligible) after 2018, no primary insurance amount com5 puted under subparagraph (A) may be less than the applicable percentage of 1 6 ⁄12 of the annual dollar amount deter7 mined under clause (iv) for the year in which the amount 

8 is determined. 

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

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

12 table: 

‘‘If the number of The applicable 

years of work is: percentage is: 

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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


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

3 fraction); and 

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

5 all of which the individual provided care for a child 

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

7 home. 

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

9 this clause is the poverty guideline for the calendar year 

10 preceding the calendar year in which the determination 

11 is made. 

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

13 guideline’ means the annual poverty guideline (as updated 

14 annually in the Federal Register by the Department of 

15 Health and Human Services under the authority of section 

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

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

18 SEC. 3. ESTABLISHMENT OF AN INCREASED BENEFIT FOR 

19 BENEFICIARIES ON ACCOUNT OF LONG-TERM 

20 ELIGIBILITY. 

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

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

23 following new subsection: 

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

25 OF LONG-TERM ELIGIBILITY.—(1) In the case of an indiVerDate Sep 11 2014 23:51 Nov 30, 2018 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H7195.IH H7195

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1 vidual who is a qualified beneficiary for a calendar year 

2 after 2018, the amount of any monthly insurance benefit 

3 of such qualified beneficiary under this section or section 

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

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

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

9 least 16 years after the applicable date of eligibility for 

10 such individual. 

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

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

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

17 insurance benefits under section 223. 

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

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

21 shall be equal to the applicable percentage (specified for 

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

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


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

2 monthly insurance benefit under this subparagraph for a 

3 calendar year is the percentage specified, in connection 

4 with the number of years ending after the applicable date 

5 of eligibility for such individual and before such calendar 

6 year, in the following table: 

The applicable 

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

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

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

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

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

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

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

9 calendar year in connection with the monthly insurance 

10 benefit of a qualified beneficiary is a dollar amount equal 

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

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

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

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

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

21 and 


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

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

6 to such calendar year. 

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

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

10 amount determined under clause (i); or 

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

12 subsection (d), (g), or (h), the full increase amount deter13 mined under this subparagraph shall be the percentage of 

14 the amount determined under clause (i) equal to the ratio 

15 which the amount of such benefit bears to the primary 

16 insurance amount (before the application of section 

17 203(a)) of the individual on whose wages and self-employ18 ment income the monthly insurance benefit is based. 

19 ‘‘(4) In the case of a qualified beneficiary who is enti20 tled to two or more monthly insurance benefits under this 

21 title for the same month— 

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

23 such beneficiary with respect to such benefits shall 

24 be treated as the applicable date of eligibility for 


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1 such beneficiary for the purposes of this subsection; 

2 and 

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

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

7 and any applicable reductions and deductions under this 

8 title. 

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

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

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

13 (b) CONFORMING AMENDMENTS.— 

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

15 amended— 

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

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

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

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

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


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

2 end the following: ‘‘This paragraph shall apply 

3 subject to subsection (aa).’’; 

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

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

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

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

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

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

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

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

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

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

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

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

18 ‘‘and subsection (aa)’’ after ‘‘subparagraphs 

19 (B) and (C)’’; and 

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

22 202(aa)’’. 

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

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

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


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

2 POST-SECONDARY STUDENTS UNDER AGE 22. 

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

5 read as follows: 

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

7 was unmarried and— 

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

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

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

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

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

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

17 attained the age of 22, and’’. 

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

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

21 by adding at the end the following: 

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

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

24 school student who is entitled to child’s insur25 ance benefits on the basis of the wages and self26 employment income of an individual who is enVerDate Sep 11 2014 23:51 Nov 30, 2018 Jkt 089200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H7195.IH H7195

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1 titled to disability insurance benefits, or who 

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

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

5 SCHOOL STUDENT.— 

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

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

8 (A) in subparagraph (A)— 

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

11 who is in full-time attendance as a student 

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

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

17 paid by his employer’’; 

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

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

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

23 purpose of this section’’; and 


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

3 deemed’’; and 

4 (B) in subparagraph (B)— 

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

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

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

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

12 third places in which such term appears 

13 and inserting ‘‘such a school’’. 

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

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

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

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

19 secondary school shall, during a succeeding period of 

20 nonattendance at such school, be deemed to be a 

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

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

23 shows to the satisfaction of the Commissioner that 

24 he intends to be in full-time attendance at a postVerDate Sep 11 2014 23:51 Nov 30, 2018 Jkt 089200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\H7195.IH H7195

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

3 (d) DEFINITION OF POST-SECONDARY EDUCATIONAL

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

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

6 following: 

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

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

10 and— 

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

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

15 ‘‘(II) has been approved by a 

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

19 ‘‘(III) whose credits are accepted, 

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

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

25 (e) CONFORMING AMENDMENTS.— 


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

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

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

4 after ‘‘student’’. 

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

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

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

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

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

10 which the child is a full-time elementary or 

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

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

15 is not an eligible full-time post-secondary 

16 school student during any part of such 

17 month, or 

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

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

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

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

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


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

2 which the child is a full-time elementary or 

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

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

7 is not an eligible full-time post-secondary 

8 school student during any part of such 

9 month, or 

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

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

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

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

16 age of 19, 

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

18 school student and has not attained the age of 

19 22, or 

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

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

22 22, or’’. 

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

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

25 ‘‘(D) the earlier of— 


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

2 which the child is a full-time elementary or 

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

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

7 is not an eligible full-time post-secondary 

8 school student during any part of such 

9 month, or 

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

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

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

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

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

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

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

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

19 which the child is a full-time elementary or 

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

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

24 is not an eligible full-time post-secondary 


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1 school student during any part of such 

2 month, or 

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

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

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

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

9 after 2018. 

10 SEC. 5. DETERMINATION OF TAXABLE WAGES AND SELF11 EMPLOYMENT INCOME ABOVE CONTRIBU12 TION AND BENEFIT BASE AFTER 2018. 

13 (a) DETERMINATION OF TAXABLE WAGES ABOVE

14 CONTRIBUTION AND BENEFIT BASE AFTER 2018.— 

15 (1) AMENDMENTS TO THE INTERNAL REVENUE

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

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

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

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


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

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

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

The applicable 

‘‘In the case of: percentage is: 

Calendar year 2019 ........................................................... 90 percent

Calendar year 2020 ........................................................... 80 percent

Calendar year 2021 ........................................................... 70 percent

Calendar year 2022 ........................................................... 60 percent

Calendar year 2023 ........................................................... 50 percent

Calendar year 2024 ........................................................... 40 percent

Calendar year 2025 ........................................................... 30 percent

Calendar year 2026 ........................................................... 20 percent

Calendar year 2027 ........................................................... 10 percent

Calendar years after 2028 ................................................ 0 percent. 

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

9 purposes of this chapter, if’’. 

10 (2) AMENDMENTS TO THE SOCIAL SECURITY

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

12 U.S.C. 409) is amended— 

13 (A) in subsection (a)(1)(I)— 

14 (i) by inserting ‘‘and before 2019’’ 

15 after ‘‘1974’’; and 

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

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

19 end the following new subparagraph: 


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

4 than remuneration referred to in the succeeding 

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

7 section 230) with respect to employment has 

8 been paid to an individual during any calendar 

9 year after 2018 with respect to which such con10 tribution and benefit base is effective, is paid to 

11 such individual during such calendar year;’’; 

12 and 

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

14 subsection: 

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

17 accordance with the following table: 

The applicable 

‘‘In the case of: percentage is: 

Calendar year 2019 ........................................................... 90 percent

Calendar year 2020 ........................................................... 80 percent

Calendar year 2021 ........................................................... 70 percent

Calendar year 2022 ........................................................... 60 percent

Calendar year 2023 ........................................................... 50 percent

Calendar year 2024 ........................................................... 40 percent

Calendar year 2025 ........................................................... 30 percent

Calendar year 2026 ........................................................... 20 percent

Calendar year 2027 ........................................................... 10 percent

Calendar years after 2028 ................................................ 0 percent.’’. 


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1 (3) EFFECTIVE DATE.—The amendments made 

2 by this subsection shall apply with respect to remu3 neration paid in calendar years after 2018. 

4 (b) DETERMINATION OF TAXABLE SELF-EMPLOY5 MENT INCOME ABOVE CONTRIBUTION AND BENEFIT

6 BASE AFTER 2018.— 

7 (1) AMENDMENTS TO THE INTERNAL REVENUE

8 CODE OF 1986.—Section 1402 of the Internal Rev9 enue Code of 1986 is amended— 

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

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

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

13 ‘‘an amount equal to the applicable percentage 

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

15 part of the net earnings from self-employment 

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

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

18 the contribution and benefit base (as deter19 mined under section 230 of the Social Security 

20 Act) which is effective for the calendar year in 

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

22 (B) in subsection (d)— 

23 (i) by striking ‘‘(d) EMPLOYEE AND

24 WAGES.—The term’’ and inserting the fol25 lowing: 


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1 ‘‘(d) RULES AND DEFINITIONS.— 

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

3 (ii) by adding at the end the fol4 lowing: 

5 ‘‘(2) APPLICABLE PERCENTAGE OF NET EARN6 INGS FROM SELF-EMPLOYMENT IN DETERMINING

7 TAXABLE SELF-EMPLOYMENT INCOME.—For pur8 poses of subsection (b)(1), the applicable percentage 

9 for a taxable year beginning in any calendar year re10 ferred to in such paragraph shall be determined in 

11 accordance with the following table: 

The applicable 

‘‘In the case of: percentage is: 

Calendar year 2019 ........................................................... 90 percent

Calendar year 2020 ........................................................... 80 percent

Calendar year 2021 ........................................................... 70 percent

Calendar year 2022 ........................................................... 60 percent

Calendar year 2023 ........................................................... 50 percent

Calendar year 2024 ........................................................... 40 percent

Calendar year 2025 ........................................................... 30 percent

Calendar year 2026 ........................................................... 20 percent

Calendar year 2027 ........................................................... 10 percent

Calendar years after 2028 ................................................ 0 percent.’’. 

12 (2) AMENDMENTS TO THE SOCIAL SECURITY

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

14 U.S.C. 411) is amended— 

15 (A) in subsection (b)— 

16 (i) in paragraph (1)(I)— 

17 (I) by striking ‘‘or’’ after the 

18 semicolon; and 


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1 (II) by inserting ‘‘and before 

2 2019’’ after ‘‘1974’’; 

3 (ii) by redesignating paragraph (2) as 

4 paragraph (3); and 

5 (iii) by inserting after paragraph (1) 

6 the following: 

7 ‘‘(2) For any taxable year beginning in any cal8 endar year after 2018, an amount equal to the appli9 cable percentage (as determined under subsection 

10 (l)) of that part of net earnings from self-employ11 ment which is in excess of the difference (not to be 

12 less than zero) between— 

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

14 and benefit base (as determined under section 

15 230) that is effective for such calendar year, 

16 and 

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

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

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

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

21 percentage for a taxable year beginning in any calendar 

22 year referred to in such paragraph shall be determined 

23 in accordance with the following table: 

The applicable 

‘‘In the case of: percentage is: 

Calendar year 2019 ........................................................... 90 percent

Calendar year 2020 ........................................................... 80 percent

Calendar year 2021 ........................................................... 70 percent


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The applicable 

‘‘In the case of: percentage is: 

Calendar year 2022 ........................................................... 60 percent

Calendar year 2023 ........................................................... 50 percent

Calendar year 2024 ........................................................... 40 percent

Calendar year 2025 ........................................................... 30 percent

Calendar year 2026 ........................................................... 20 percent

Calendar year 2027 ........................................................... 10 percent

Calendar years after 2028 ................................................ 0 percent.’’. 

1 (3) EFFECTIVE DATE.—The amendments made 

2 by this subsection shall apply with respect to taxable 

3 years beginning in calendar years after 2018. 

4 (c) COMPUTING AVERAGE INDEXED MONTHLY

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

6 U.S.C. 415(e)) is amended— 

7 (1) in paragraph (1)— 

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

9 1975,’’; 

10 (B) by inserting ‘‘and before 2019’’ after 

11 ‘‘after 1974’’; and 

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

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

16 calendar year after 2016 with respect to which 

17 such contribution and benefit base is effective,’’ 

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

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


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1 ‘‘(3) For purposes of paragraph (1), the appli2 cable percentage for a year shall be determined in 

3 accordance with the following table: 

The applicable 

‘‘In the case of: percentage is: 

Calendar year 2019 ........................................................... 90 percent

Calendar year 2020 ........................................................... 80 percent

Calendar year 2021 ........................................................... 70 percent

Calendar year 2022 ........................................................... 60 percent

Calendar year 2023 ........................................................... 50 percent

Calendar year 2024 ........................................................... 40 percent

Calendar year 2025 ........................................................... 30 percent

Calendar year 2026 ........................................................... 20 percent

Calendar year 2027 ........................................................... 10 percent

Calendar years after 2028 ................................................ 0 percent.’’. 

4 (d) CONFORMING AMENDMENT.—Section 

5 215(i)(2)(C)(i) of the Social Security Act (42 U.S.C. 

6 415(i)(2)(C)(i)) is amended by striking ‘‘the Commis7 sioner’s estimate of the extent to which the cost of such 

8 increase would be met by an increase in the contribution 

9 and benefit base under section 230 and the estimated 

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

11 SEC. 6. NEW BEND POINT FOR AMOUNTS ABOVE CONTRIBU12 TION AND BENEFIT BASE. 

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

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

15 (1) in subparagraph (A)— 

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

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

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


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1 not exceed the amount established for purposes 

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

3 (C) by inserting after clause (iii) the fol4 lowing: 

5 ‘‘(iv) 3 percent of the individual’s av6 erage indexed monthly earnings to the ex7 tent that such earnings exceed the amount 

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

9 and 

10 (2) in subparagraph (B)— 

11 (A) by inserting ‘‘and before 2019’’ after 

12 ‘‘1979’’ in clause (ii); 

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

14 (v); 

15 (C) by inserting after clause (ii) the fol16 lowing: 

17 ‘‘(iii) For individuals who initially be18 come eligible for old-age or disability insur19 ance benefits, or who die (before becoming 

20 eligible for such benefits), in the calendar 

21 year 2019— 

22 ‘‘(I) the amounts established for 

23 purposes of clauses (i) and (ii) of sub24 paragraph (A) shall be the amounts 

25 so established under clause (ii) of this 


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1 subparagraph for such calendar year; 

2 and 

3 ‘‘(II) the amount established for 

4 purposes of clause (iii) of subpara5 graph (A) shall be the amount of the 

6 contribution and benefit base with re7 spect to remuneration paid (and tax8 able years beginning) in calendar year 

9 2019. 

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

13 eligible for such benefits), in any calendar 

14 year after 2019, the amount so established 

15 shall equal the product of the cor16 responding amount established with re17 spect to the calendar year 2019 under 

18 clause (iii) of this subparagraph and the 

19 quotient obtained by dividing— 

20 ‘‘(I) the national average wage 

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

22 for the second calendar year preceding 

23 the calendar year for which the deter24 mination is made, by 


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1 ‘‘(II) the national average wage 

2 index (as so defined) for 2017.’’; and 

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

4 subparagraph (A) of this paragraph, by insert5 ing ‘‘and clause (iv)’’ after ‘‘clause (ii)’’. 

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

7 this section shall apply with respect to individuals who ini8 tially become eligible (within the meaning of section 

9 215(a)(3)(B)) for old-age or disability insurance benefits 

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

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

12 after 2018. 

13 SEC. 7. INCREASE IN EMPLOYMENT TAX RATE. 

14 (a) WAGES.— 

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

16 3101 of the Internal Revenue Code of 1986 is 

17 amended to read as follows: 

18 ‘‘(a) OLD-AGE, SURVIVORS, AND DISABILITY INSUR19 ANCE.— 

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

21 there is hereby imposed on the income of every indi22 vidual a tax equal to the applicable percentage of the 

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

24 him with respect to employment (as defined in sec25 tion 3121(b)). 


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

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

3 means the percentage determined under the fol4 lowing table: 

The applicable 

‘‘In case of wages received during: percentage 

shall be: 

2019 .................................................................................. 6.25 percent

2020 .................................................................................. 6.30 percent

2021 .................................................................................. 6.35 percent

2022 .................................................................................. 6.40 percent

2023 .................................................................................. 6.45 percent

2024 or thereafter ............................................................. 6.50 percent.’’. 

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

6 3111 of such Code is amended to read as follows: 

7 ‘‘(a) OLD-AGE, SURVIVORS, AND DISABILITY INSUR8 ANCE.— 

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

10 there is hereby imposed on every employer an excise 

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

12 equal to the applicable percentage of the wages (as 

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

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

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

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

17 means the percentage determined under the fol18 lowing table: 

The applicable 

‘‘In case of a taxable year 

beginning during calendar year: 

percentage 

shall be: 

2019 .................................................................................. 6.25 percent

2020 .................................................................................. 6.30 percent

2021 .................................................................................. 6.35 percent


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The applicable 

‘‘In case of a taxable year 

beginning during calendar year: 

percentage 

shall be: 

2022 .................................................................................. 6.40 percent

2023 .................................................................................. 6.45 percent

2024 or thereafter ............................................................. 6.50 percent.’’. 

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

2 1401 of such Code is amended to read as follows: 

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

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

6 imposed for each taxable year, on the self-employ7 ment income of every individual, a tax equal to the 

8 applicable percentage of the amount of the self-em9 ployment income for such taxable year. 

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

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

12 means the percentage determined under the fol13 lowing table: 

The applicable 

‘‘In case of a taxable year 

beginning during calendar year: 

percentage 

shall be: 

2019 .................................................................................. 12.5 percent

2020 .................................................................................. 12.6 percent

2021 .................................................................................. 12.7 percent

2022 .................................................................................. 12.8 percent

2023 .................................................................................. 12.9 percent

2024 or thereafter ............................................................. 13.0 percent.’’. 

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

15 this section shall apply with respect to remuneration re16 ceived, and taxable years beginning after, December 31, 

17 2018. 


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1 SEC. 8. NON-APPLICATION OF INCREASE IN SOCIAL SECU2 RITY BENEFITS FOR MEANS-TESTED PRO3 GRAMS. 

4 Any increase in monthly insurance benefits under 

5 title II of the Social Security Act as a result of the amend6 ments made by this Act shall not be regarded as income 

7 or resources for any month after December 2018, for pur8 poses of determining the eligibility of the recipient (or the 

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

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

11 Federal program or under any State or local program fi12 nanced in whole or in part with Federal funds. 

Æ 


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