I 
109TH CONGRESS 
1ST SESSION 
H. R. 750 
To amend the Social Security Act and the Internal Revenue Code of 1986 
to preserve and strengthen the Social Security program through the 
creation of personal Social Security guarantee accounts ensuring full 
benefits for all workers and their families, restoring long-term Social 
Security solvency, to make certain benefit improvements, and for other 
purposes. 
IN THE HOUSE OF REPRESENTATIVES 
FEBRUARY 10, 2005 
Mr. SHAW (for himself, Mr. LEWIS of Kentucky, and Mr. NORWOOD) intro-
duced the following bill; which was referred to the Committee on Ways 
and Means, and in addition to the Committees on Rules and Budget, for 
a period to be subsequently determined by the Speaker, in each case for 
consideration of such provisions as fall within the jurisdiction of the com-
mittee concerned 
A BILL 
To amend the Social Security Act and the Internal Revenue 
Code of 1986 to preserve and strengthen the Social 
Security program through the creation of personal Social 
Security guarantee accounts ensuring full benefits for 
all workers and their families, restoring long-term Social 
Security solvency, to make certain benefit improvements, 
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; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Social Security Guarantee Plus Act of 2005’’. 
(b) TABLE OF CONTENTS.—The table of contents is 
as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Findings and statement of purpose. 
TITLE I—SOCIAL SECURITY GUARANTEE PROGRAM 
Sec. 101. Social Security guarantee refundable credit. 
Sec. 102. Establishment of the Social Security Guarantee Program. 
‘‘PART B—SOCIAL SECURITY GUARANTEE PROGRAM 
‘‘Sec. 251. Definitions. 
‘‘Sec. 252. Establishment of Program. 
‘‘Sec. 253. Social Security guarantee accounts. 
‘‘Sec. 254. Investment of accounts. 
‘‘Sec. 255. Determination of monthly annuity amounts and use in deter-
mining account distribution supplements. 
‘‘Sec. 256. Disposition of account assets. 
‘‘Sec. 257. Administration of the Program. 
Sec. 103. Benefit increases. 
Sec. 104. Tax treatment. 
Sec. 105. Annual account Statements. 
Sec. 106. Protection of social security surpluses. 
TITLE II—BENEFIT UPDATES 
Sec. 201. Elimination of the Social Security earnings test for individuals who 
have attained age 62. 
Sec. 202. Increase in widow’s and widower’s insurance benefits. 
Sec. 203. Benefits for disabled widows and widowers without regard to age. 
Sec. 204. Repeal of 7–YEAR restriction on eligibility for widow’s and widower’s 
insurance benefits based on disability. 
Sec. 205. Exemption from two-year waiting period for divorced spouse’s bene-
fits upon other spouse’s remarriage. 
Sec. 206. Increase in amount of wages and self-employment income credited to 
years taken into account in determining average indexed 
monthly earnings for beneficiaries precluded from remunerative 
work by need to provide child care. 
Sec. 207. Government pension offset reduced from two-thirds to one-third of 
the Government pension. 
SEC. 2. FINDINGS AND STATEMENT OF PURPOSE. 
(a) FINDINGS.—The Congress finds as follows:
(1) The Social Security program provides essen-
tial income security for about 48 million Americans 
of all ages through its retirement, disability, and 
survivor benefits. 
(2) Social Security’s benefit structure is de-
signed to help lower-wage workers, and its family 
benefits are of particular importance to women. 
(3) The Board of Trustees of the Social Secu-
rity trust funds project that, because people are liv-
ing longer, families are having fewer children, and 
the baby boom generation is approaching retirement, 
the Social Security program’s benefit costs will ex-
ceed its tax revenues beginning in 2018. By 2042, 
the Social Security trust funds will be depleted and 
the program will be able to honor only 73 percent 
of benefit commitments, and even less thereafter. 
(4) Each payday, American workers send their 
hard-earned payroll taxes to Social Security and in 
return are promised protection for themselves and 
their families upon retirement, disability, or death. 
That commitment must be kept. 
(5) Reducing benefits will result in more seniors 
and individuals with disabilities living in poverty. 
(6) Workers who are more in need of early re-
tirement, such as police officers, firefighters, and
manual laborers, would be especially harmed by in-
creases in the age of eligibility for Social Security 
benefits. 
(7) Inasmuch as payroll taxes already con-
stitute the single largest tax burden for most Amer-
ican families, further tax increases would contribute 
to erosion in public support for Social Security and 
would not result in sustainable financing for the 
long term. 
(8) Allowing the Federal Government to invest 
workers’ payroll taxes in private financial assets 
risks political interference in investment decisions 
and may reduce economic efficiency. 
(9) Workers’ ability to save and invest for their 
own economic security in retirement will continue to 
be particularly important, especially for younger 
workers. 
(10) The creation of Social Security guarantee 
accounts as provided for in this Act is a critical goal 
in light of Social Security’s financial challenges, the 
options available to address these challenges, and 
the Nation’s interest in preserving and strength-
ening Social Security for the next 75 years and be-
yond.
(b) STATEMENT OF PURPOSE.—The purpose of this 
Act is to preserve and strengthen the Social Security pro-
gram through the creation of Social Security guarantee 
accounts that will— 
(1) ensure the payment of Social Security bene-
fits promised under current law, or greater benefits, 
to all eligible workers and their families; 
(2) provide for the long-run sustainability of the 
Social Security program; and 
(3) provide personal account assets to be used 
exclusively for the financial security of the account 
holder and his or her family that this and future 
Congresses cannot redirect for any other purpose. 
TITLE I—SOCIAL SECURITY 
GUARANTEE PROGRAM 
SEC. 101. SOCIAL SECURITY GUARANTEE REFUNDABLE 
CREDIT. 
(a) IN GENERAL.—Chapter 25 of the Internal Rev-
enue Code of 1986 (relating to general provisions relating 
to employment taxes) is amended by adding at the end 
the following new section: 
‘‘SEC. 3511. SOCIAL SECURITY GUARANTEE REFUNDABLE 
CREDIT. 
‘‘(a) IN GENERAL.—The Social Security guarantee 
account established under section 253 of the Social Secu-