pating individual with respect to 
whom determinations under this sub-
paragraph are made prior to the 
month described in clause (iv), the 
participating individual’s average in-
dexed monthly earnings (within the 
meaning of section 215(b)) for such 
month shall be projected, under regu-
lations which shall be prescribed by 
the Board, on the basis of reasonable 
actuarial assumptions, and the Board 
shall assume the survival through the 
end of such month of all other individ-
uals described in clause (iv). 
‘‘(II) PROJECTED
INVESTMENT 
RETURNS.—For purposes of making 
actuarial determinations relating to 
the amounts of annuities offered by 
the Authority under this section and 
the amounts necessary for the pur-
chase of such annuities, the Authority 
shall project returns from the invest-
ment, in accordance with paragraph 
(5)(A), of the reserves held in the An-
nuities Reserves Account. The projec-
tion by the Authority of such returns 
shall be made under assumptions of 
long-term average returns of equities 
and fixed income instruments which 
shall be issued annually by the Board 
of Trustees of the Federal Old-Age 
and Survivors Insurance Trust Fund 
and the Federal Disability Insurance 
Trust Fund, based on analysis of his-
torical market returns. 
‘‘(D) PURCHASE
OF
ANNUITIES
IN
THE 
EVENT OF INSUFFICIENT ASSETS.—If a partici-
pating individual desires, or is required under 
subsection (f), to purchase a personal social se-
curity savings annuity under subsection (b) on 
or after the date determined under subsection 
(a)(1) and the assets of the personal social se-
curity savings account of such individual are in-
sufficient to purchase a personal social security 
savings annuity that provides for a monthly 
payment that is at least equal to the minimum 
annuity payment amount (as defined in para-
graph (4)(C)(iii)), the participating individual 
shall purchase a personal social security savings 
annuity with a monthly payment equal to the
maximum amount that the participating indi-
vidual’s personal social security savings account 
can fund, as determined in accordance with reg-
ulations which shall be prescribed by the Au-
thority, and that otherwise meets the require-
ments of this subsection (including the cost-of- 
living protection requirement of subsection 
(c)(1)(C)), and the Authority shall provide for 
appropriate certification to the Secretary of the 
Treasury with respect to the participating indi-
vidual’s eligibility for guarantee payments 
under section 259. 
‘‘(5) MAINTENANCE
OF
RESERVES
FOR
PAY-
MENT OF ANNUITIES.— 
‘‘(A) INVESTMENT
OF
RESERVES.—For 
purposes of investment of reserves held in the 
Annuity Reserves Account, the Authority shall 
contract with appropriate investment managers, 
recordkeepers, and custodians selected by the 
Authority for investment of such reserves. Such 
reserves shall be invested under regulations 
which shall be prescribed by the Authority so as 
to ensure, to the maximum extent practicable, 
that, of the total balance of the reserves (after
payment of administrative expenses to such 
managers, recordkeepers, and custodians)— 
‘‘(i) 65 percent is invested in equities 
in the same manner and under the same 
standards as are provided in section 
256(c)(4), and 
‘‘(ii) 35 percent is invested in fixed in-
come instruments in the same manner and 
under the same standards as are provided 
in section 256(c)(5). 
‘‘(B) PROVISION FOR FULL PAYMENT OF 
ANNUITIES.—Payment of personal social secu-
rity savings annuities in accordance with the 
terms of such annuities shall be made, irrespec-
tive of the sufficiency of reserves in the Annuity 
Reserves Fund attributable to funds obtained 
from the purchase of such annuities. In the 
event of any impending insufficiency in the An-
nuity Reserves Account for the next fiscal year, 
the Authority shall certify to the Secretary of 
the Treasury the amount of such insufficiency, 
and the Secretary of the Treasury shall transfer 
from the Federal Old-Age and Survivors Insur-
ance Trust Fund to the Annuity Reserves Ac-
count the amount of the insufficiency, as so cer-
tified, in such installments, made prior to or 
during such fiscal year, as are necessary to 
eliminate in advance such insufficiency. 
‘‘(c) PERSONAL SOCIAL SECURITY SAVINGS ANNU-
ITY.— 
‘‘(1) IN GENERAL.—For purposes of this part, 
the term ‘personal social security savings annuity’ 
means an annuity that meets the following require-
ments: 
‘‘(A) The annuity starting date (as defined 
in section 72(c)(4) of the Internal Revenue 
Code of 1986) commences on the first day of 
the month beginning after the date of the pur-
chase of the annuity. 
‘‘(B) The terms of the annuity provide— 
‘‘(i) for a monthly payment to the 
participating individual during the life of 
the participating individual equal to at 
least 
the 
minimum 
annuity 
payment 
amount 
(as 
defined 
in 
subsection 
(b)(4)(C)(iii)), or 
‘‘(ii) in the case of an annuity pur-
chased under subparagraph (D) of sub-
section (b)(4), the maximum monthly pay-