I 
117TH CONGRESS 
1ST SESSION H. R. 2304 
To amend title II of the Social Security Act and the Internal Revenue 
Code of 1986 to modify the portion of wages and self-employment income 
subject to payroll taxes, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 1, 2021 
Mr. CRIST 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 and the Internal 
Revenue Code of 1986 to modify the portion of wages 
and self-employment income subject to payroll taxes, and 
for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Save Social Security 
Act of 2021’’. 
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SEC. 2. DETERMINATION OF WAGES AND SELF-EMPLOY-
MENT INCOME ABOVE CONTRIBUTION AND 
BENEFIT BASE AFTER 2021. 
(a) DETERMINATION OF WAGES ABOVE CONTRIBU-
TION AND BENEFIT BASE AFTER 2021.— 
(1) AMENDMENTS TO THE INTERNAL REVENUE 
CODE.— 
(A) IN GENERAL.—Section 3121(a)(1) of 
the Internal Revenue Code of 1986 is amended 
by inserting after ‘‘such calendar year.’’ the fol-
lowing: ‘‘The preceding sentence shall apply 
only to calendar years for which the contribu-
tion and benefit base (as so determined) is less 
than $400,000, and, for such calendar years, 
only to so much of the remuneration paid to 
such employee by such employer with respect to 
employment as does not exceed $400,000.’’. 
(B) CONFORMING
AMENDMENT.—Section 
3121(a)(1) of such Code is amended by striking 
‘‘Act) to’’ and inserting ‘‘Act), or in excess of 
$400,000, to’’. 
(2) AMENDMENT
TO
THE
SOCIAL
SECURITY 
ACT.—Section 209(a)(1)(I) of the Social Security 
Act (42 U.S.C. 409(a)(1)(I)) is amended by insert-
ing before the semicolon at the end the following: 
‘‘except that this subparagraph shall apply only to 
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calendar years for which the contribution and ben-
efit base (as so determined) is less than $400,000, 
and, for such calendar years, only to the extent re-
muneration paid to such employee by such employer 
with respect to employment does not exceed 
$400,000’’. 
(3) EFFECTIVE DATE.—The amendments made 
by this subsection shall apply with respect to remu-
neration paid in calendar years after 2021. 
(b) DETERMINATION
OF SELF-EMPLOYMENT IN-
COME ABOVE CONTRIBUTION AND BENEFIT BASE AFTER 
2021.— 
(1) AMENDMENTS TO THE INTERNAL REVENUE 
CODE.— 
(A) IN GENERAL.—Section 1402(b)(1) of 
the Internal Revenue Code of 1986 is amended 
to read as follows: 
‘‘(1) in the case of the tax imposed by section 
1401(a)— 
‘‘(A) in the case of a taxpayer with wages 
(as determined under section 3121(a) without 
regard to paragraph (1) of such section) less 
than $400,000 and more than the contribution 
and benefit base (as determined under section 
230 of the Social Security Act) which is effec-
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tive for the calendar year in which such taxable 
year begins, the lesser of— 
‘‘(i) the excess of $400,000 over the 
wages (as so determined) paid to such in-
dividual during such taxable year, or 
‘‘(ii) the net earnings from self-em-
ployment for the taxable year, and 
‘‘(B) in the case of a taxpayer with wages 
(as so determined) less than or equal to such 
contribution and benefit base and for whom the 
sum, for the taxable year, of net earnings from 
self-employment and wages (as so determined) 
paid to such individual is greater than such 
contribution and benefit base, the lesser of— 
‘‘(i) the excess of such sum over such 
contribution and benefit base, or 
‘‘(ii) the excess of $400,000 over such 
contribution and benefit base.’’. 
(B) PHASEOUT.—Section 1402(b) of such 
Code is amended by adding at the end the fol-
lowing: ‘‘Paragraph (1) shall apply only to tax-
able years beginning in calendar years for which 
the contribution and benefit base (as deter-
mined under section 230 of the Social Security 
Act) is less than $400,000.’’. 
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(2) AMENDMENTS
TO
THE
SOCIAL
SECURITY 
ACT.— 
(A) IN
GENERAL.—Section 211(b)(1) of 
the Social Security Act (42 U.S.C. 411(b)) is 
amended— 
(i) in subparagraph (I)— 
(I) by inserting ‘‘and before 
2022’’ after ‘‘1974’’; and 
(II) by striking ‘‘or’’ at the end; 
and 
(ii) by adding at the end the fol-
lowing: 
‘‘(J) For any taxable year beginning in any 
calendar year after 2021, an amount equal to— 
‘‘(i) in the case of an individual with 
wages (as determined under section 209(a) 
without regard to paragraph (1) of such 
section) less than $400,000 and more than 
the contribution and benefit base (as deter-
mined under section 230 of the Social Se-
curity Act) which is effective for the cal-
endar year in which such taxable year be-
gins, the lesser of— 
‘‘(I) the excess of $400,000 over 
the wages (as so determined) paid to 
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such individual during such taxable 
year, or 
‘‘(II) the net earnings from self- 
employment for the taxable year, and 
‘‘(ii) in the case of a taxpayer with 
wages (as so determined) less than or 
equal to such contribution and benefit base 
and for whom the sum, for the taxable 
year, of net earnings from self-employment 
and wages (as so determined) paid to such 
individual is greater than such contribution 
and benefit base, the lesser of— 
‘‘(I) the excess of such sum over 
such contribution and benefit base, or 
‘‘(II) the excess of $400,000 over 
such contribution and benefit base.’’. 
(B) PHASEOUT.—Section 211(b) of the 
Social Security Act (42 U.S.C. 411(b)) is 
amended by adding at the end the following: 
‘‘Paragraph (1) shall apply only to taxable 
years beginning in calendar years for which the 
contribution and benefit base (as determined 
under section 230) is less than $400,000.’’. 
(3) EFFECTIVE DATE.—The amendments made 
by this subsection shall apply to net earnings from 
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self-employment derived, and remuneration paid, in 
calendar years after 2021. 
SEC. 3. INCLUSION OF EARNINGS OVER $400,000 IN SOCIAL 
SECURITY BENEFIT FORMULA. 
(a) INCLUSION OF EARNINGS OVER $400,000 IN DE-
TERMINATION OF PRIMARY INSURANCE AMOUNTS.—Sec-
tion 215(a)(1)(A) of the Social Security Act (42 U.S.C. 
415(a)(1)(A)) is amended— 
(1) in clause (ii), by striking ‘‘and’’ at the end; 
(2) in clause (iii), by inserting ‘‘and’’ at the 
end; and 
(3) by inserting after clause (iii) the following: 
‘‘(iv) 3 percent of the individual’s excess aver-
age indexed monthly earnings (as defined in sub-
section (b)(5)(A)).’’. 
(b) DEFINITION
OF EXCESS AVERAGE INDEXED 
MONTHLY EARNINGS.—Section 215(b) of the Social Secu-
rity Act (42 U.S.C. 415(b)) is amended— 
(1) by striking ‘‘wages’’ and ‘‘self-employment 
income’’ each place such terms appear and inserting 
‘‘basic wages’’ and ‘‘basic self-employment income’’, 
respectively; and 
(2) by adding at the end the following: 
‘‘(5)(A) An individual’s excess average indexed 
monthly earnings shall be equal to the amount of the indi-
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vidual’s average indexed monthly earnings that would be 
determined under this subsection by substituting ‘excess 
wages’ for ‘basic wages’ and ‘excess self-employment in-
come’ for ‘basic self-employment income’ each place such 
terms appear in this subsection (except in this paragraph). 
‘‘(B) For purposes of this subsection— 
‘‘(i) the term ‘basic wages’ means that portion 
of the wages of an individual paid in a year that 
does not exceed the contribution and benefit base for 
the year; 
‘‘(ii) the term ‘basic self-employment income’ 
means that portion of the self-employment income of 
an individual credited to a year that does not exceed 
an amount equal to the contribution and benefit 
base for the year minus the amount of the wages 
paid to the individual in the year; 
‘‘(iii) the term ‘excess wages’ means that por-
tion of the wages of an individual paid in a year 
after 2021 in excess of the higher of $400,000 or 
the contribution and benefit base for the year; and 
‘‘(iv) the term ‘excess self-employment income’ 
means that portion of the self-employment income of 
an individual credited to a year after 2021 in excess 
of the higher of $400,000 or such contribution and 
benefit base.’’. 
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(c) CONFORMING AMENDMENT.—Section 215(e)(1) 
of the Social Security Act (42 U.S.C. 415(e)(1)) is amend-
ed by inserting ‘‘and before 2022’’ after ‘‘1974’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply with respect to individuals who ini-
tially become eligible (within the meaning of section 
215(a)(3)(B) of the Social Security Act) for old-age or dis-
ability insurance benefits under title II of the Social Secu-
rity Act, or who die (before becoming eligible for such ben-
efits), in any calendar year after 2021. 
SEC. 4. MODIFICATION OF AMOUNT OF SOCIAL SECURITY 
BENEFITS INCLUDED IN GROSS INCOME. 
(a) IN GENERAL.—Section 86 of the Internal Rev-
enue Code of 1986 is amended by striking subsections (a), 
(b), and (c) and inserting the following: 
‘‘(a) IN GENERAL.—Gross income for the taxable 
year of any taxpayer described in subsection (b) (notwith-
standing section 207 of the Social Security Act) includes 
social security benefits in an amount equal to the lesser 
of— 
‘‘(1) 85 percent of the social security benefits 
received during the taxable year, or 
‘‘(2) 85 percent of the excess described in sub-
section (b). 
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‘‘(b) TAXPAYERS TO WHOM SUBSECTION (a) AP-
PLIES.—A taxpayer is described in this subsection if— 
‘‘(1) the sum of— 
‘‘(A) the modified adjusted gross income of 
the taxpayer for the taxable year, plus 
‘‘(B) 85 percent of the social security bene-
fits received during the taxable year, exceeds 
‘‘(2) $100,000. 
‘‘(c) MODIFIED ADJUSTED GROSS INCOME.—For 
purposes of this section, the term ‘modified adjusted gross 
income’ means adjusted gross income— 
‘‘(1) determined without regard to this section 
and sections 135, 137, 199, 221, 222, 911, 931, and 
933, and 
‘‘(2) increased by the amount of interest re-
ceived or accrued by the taxpayer during the taxable 
year which is exempt from tax.’’. 
(b) SOCIAL SECURITY TRUST FUNDS HELD HARM-
LESS.—There are hereby appropriated (out of any money 
in the Treasury not otherwise appropriated) for each fiscal 
year to each fund under the Social Security Act or the 
Railroad Retirement Act of 1974 an amount equal to the 
reduction in the transfers to such fund for such fiscal year 
by reason of the amendments made by subsection (a). 
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(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years ending after the 
date of the enactment of this Act. 
Æ 
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