1.
Short title; table of contents
(a)
This Act may be cited as the
Saving Social Security Act of
2005
.
(b)
The table of contents for
this Act is as follows:
Sec. 1. Short title; table of contents.
TITLE I—Investment-based social security
Sec. 101. Establishment of an investment-based option for
social security benefits.
Part B—Investment-based social security
Sec. 250. Definitions.
Sec. 251. Election to waive eligibility.
Sec. 252. Social security savings accounts for employees (SAFE
accounts).
Sec. 253. SAFE Investment Fund.
Sec. 254. Distributions.
Sec. 255. Social Security Investment Board.
Sec. 102. Adjustments to primary insurance amounts under part
A of title II
of the Social Security Act for
investing workers with SAFE accounts.
Sec. 103. Tax treatment of investment-based social
security.
Sec. 104. Study on use of private annuities for SAFE account
distributions.
Sec. 105. Study regarding financial literacy.
TITLE II—Debt-based social security
Subtitle A—Adjustments
Sec. 201. Modification to retirement age.
Sec. 202. Modification of PIA factors to reflect changes in
life expectancy.
Sec. 203. Actuarial adjustment for retirements.
Subtitle B—Maintenance of social security trust
funds
Sec. 211. Maintenance of adequate balances in the social
security trust funds.
<enum>I</enum>
<header>Investment-based social security</header>
<section commented="no" display-inline="no-display-inline" id="ID8EC15759B7C94D19A0FDEEFF236EFB96" section-type="subsequent-section">
<enum>101.</enum>
<header>Establishment of an investment-based option for social security
benefits</header>
<subsection commented="no" display-inline="no-display-inline" id="ID4AC4A5AFA9794FCDADE2A5E248AE2CAD">
<enum>(a)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">Title II of the
<act-name parsable-cite="SSA">Social Security Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/42/401">42 U.S.C. 401</external-xref> et
seq.) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="ID16FF6F9B60AE4D65BA178B7C1554AD72">
<enum>(1)</enum>
<text display-inline="yes-display-inline">by inserting before section
201 the following:</text>
<quoted-block act-name="" display-inline="no-display-inline" id="IDC64EF84DA8D240FE87B29EF9A57361FB" style="OLC">
<part commented="no" id="ID5F27E16185384E3DBE4C86A366BB8619">
<enum>A<?LEXA-Enum A?></enum>
<header>Debt-based social security</header>
</part><after-quoted-block>;</after-quoted-block></quoted-block>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID32F4A8CC72604D75BB1C66D53757E94C">
<enum></enum><text display-inline="yes-display-inline">and</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID04B50D29A2CC4DD2B507B5C242D0D469">
<enum>(2)</enum>
<text display-inline="yes-display-inline">by adding at the end the
following:</text>
<quoted-block display-inline="no-display-inline" id="idD9A17989B1A048A9BA2AF01DC7668E72" style="OLC">
<part commented="no" id="IDF045C94B20554BE9A76988559E4BAD7E">
<enum>B<?LEXA-Enum B?></enum>
<header>Investment-based social security</header>
<section commented="no" display-inline="no-display-inline" id="ID910E42AF5EBA4C17AFDCDCB8FFA8653B" section-type="subsequent-section">
<enum>250.<?LEXA-Enum 250.?></enum>
<header>Definitions</header>
<text display-inline="no-display-inline">For purposes of this
part—</text>
<paragraph commented="no" display-inline="no-display-inline" id="ID3DE03C084C4C442BB7AB467785959F9C">
<enum>(1)</enum>
<header>Investing worker</header>
<text display-inline="yes-display-inline">The term <term>investing
worker</term> means any individual—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="IDA7EE6A45C1D6480F937220D4BCAD3863">
<enum>(A)</enum>
<text display-inline="yes-display-inline">who after the date of
enactment of this part—</text>
<clause commented="no" display-inline="no-display-inline" id="IDD74ED11FD0584D06A8481FFDDA91CA26">
<enum>(i)</enum>
<text display-inline="yes-display-inline">receives wages on which
there is imposed a tax under section 3101(a) of the Internal Revenue Code of
1986; or</text>
</clause><clause commented="no" display-inline="no-display-inline" id="ID23411BB97387401C00199D148D5662FA">
<enum>(ii)</enum>
<text display-inline="yes-display-inline">derives self-employment
income on which there is imposed a tax under section 1401(a) of the Internal
Revenue Code of 1986; and</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDF95D1B3BE1044A70948E04AF511FA81D">
<enum>(B)</enum>
<text display-inline="yes-display-inline">who was born on or after
January 1, 1961, and does not make an election to waive investment-based social
security under this part as provided under section 251(a).</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID0C1622C0E5D6478294CE9F122DEB1081">
<enum>(2)</enum>
<header>Social security savings accounts for employees (SAFE
Account)</header>
<text display-inline="yes-display-inline">The term <term>social
security savings accounts for employees</term> or <term>SAFE Account</term>
means an account established for an investing worker within the SAFE Investment
Fund under section 252.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID9D6B24D933344405A6D0E1599798D7E6">
<enum>(3)</enum>
<header>SAFE Investment Fund</header>
<text display-inline="yes-display-inline">The term <term>SAFE
Investment Fund</term> or <term>Fund</term> means the fund established under
section 253.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDA07AA8DC7E9E428898325C08C78958E8">
<enum>(4)</enum>
<header>Social Security Investment Board</header>
<text display-inline="yes-display-inline">The term <term>Social
Security Investment Board</term> or <term>Board</term> means the board
established under section 254.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDE069A33376C04896BB31E47E83C8A96D">
<enum>(5)</enum>
<header>Commissioner</header>
<text display-inline="yes-display-inline">The term
<term>Commissioner</term> means the Commissioner of Social Security.</text>
</paragraph></section><section commented="no" display-inline="no-display-inline" id="id16D6D799B10348B8B707421823B0B327" section-type="subsequent-section">
<enum>251.</enum>
<header>Election to waive eligibility</header>
<subsection commented="no" display-inline="no-display-inline" id="idF3D3AF4541E74025A5261C73EFF297CF">
<enum>(a)</enum>
<header>Election to waive eligibility for SAFE Accounts</header>
<paragraph commented="no" display-inline="no-display-inline" id="id5EA8CB1279EF431F9D57A7E7B0EE990A">
<enum>(1)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">Any individual may elect to
waive eligibility under this part in such form and manner as prescribed by the
Board at any time after such individual attains the age of 18 and before such
individual attains the age of 25. Such election shall be irrevocable.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="idA1C571C357AC48BAA688BDBDBF929A69">
<enum>(2)</enum>
<header>Individual born before January 1, 1981</header>
<text display-inline="yes-display-inline">Notwithstanding paragraph
(1), in the case of any individual born after December 31, 1960, and before
January 1, 1981, such individual may elect to waive eligibility under this part
in such form and manner as prescribed by the Board at any time before January
1, 2007. Such election shall be irrevocable.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idEDE0E9115D544D4B944824AFD756C70F">
<enum>(b)</enum>
<header>Disposition of SAFE Account</header>
<text display-inline="yes-display-inline">In the case of any
individual who makes an election under paragraph (1), any assets in such
individual's SAFE Account shall be paid to the Federal Old-Age and Survivors
Insurance Trust Fund, and such individual's eligibility for benefits under part
A shall be determined as if such Account had never been established.</text>
</subsection></section><section commented="no" display-inline="no-display-inline" id="IDCF30775D115C4FD6AD008BB48DA9C4EF" section-type="subsequent-section">
<enum>252.</enum>
<header>Social security savings accounts for employees (SAFE
accounts)</header>
<subsection commented="no" display-inline="no-display-inline" id="id167F8F3A184742ABB396EBA96A2014DC">
<enum>(a)</enum>
<header>Establishment of SAFE Accounts</header>
<text display-inline="yes-display-inline">Not later than 30 days
after the date on which an individual first becomes an investing worker, the
Social Security Investment Board shall establish a SAFE Account for such
individual in the SAFE Investment Fund.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="idA8ED7CD9595B408098A2997778C651C8">
<enum>(b)</enum>
<header>Contributions</header>
<paragraph commented="no" display-inline="no-display-inline" id="id6662D25634E3455E86EF82E6707F6318">
<enum>(1)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">The Secretary of the
Treasury shall transfer from the Federal Old-Age and Survivors Insurance Trust
Fund to the SAFE Investment Fund, for crediting by the Social Security
Investment Board to the SAFE Account of an investing worker, an amount equal to
the SAFE Account contribution amount with respect to each investing
worker.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="id9C07878848164B408D703BBE9261673D">
<enum>(2)</enum>
<header>SAFE Account contribution amount</header>
<text display-inline="yes-display-inline">For purposes of paragraph
(1), the term <term>SAFE Account contribution amount</term> means, with respect
to an investing worker for a calendar year, the product derived by
multiplying—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="IDD6D483E7CC7C4EBEA4DF749457E2813E">
<enum>(A)</enum>
<text display-inline="yes-display-inline">the sum of the total wages
paid to, and self-employment income derived by, such individual during such
calendar year; by</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDBD8E4132AA304D39BB4E6EB75E60A359">
<enum>(B)</enum>
<text display-inline="yes-display-inline">4 percent.</text>
</subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="idD025D03844004C81BE2914C9B1E85E8C">
<enum>(c)</enum>
<header>Designation of investments</header>
<paragraph commented="no" display-inline="no-display-inline" id="id99288CCF390E46C1957045203D36D58B">
<enum>(1)</enum>
<header>Initial designation</header>
<subparagraph commented="no" display-inline="no-display-inline" id="idCBF4E7F9EC154621A742B842C7139C77">
<enum>(A)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">Not later than 10 days
after an account is established for an investing worker under subsection (a),
the investing worker shall designate to which investment funds within the SAFE
Investment Fund contributions to such account under subsection (b) shall be
allocated.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id587E2A1E48024CBBA207171D52B7BFE4">
<enum>(B)</enum>
<header>Default allocation</header>
<clause commented="no" display-inline="no-display-inline" id="id9D4829D8080147588FD18F4312C06673">
<enum>(i)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">If no designation is made
pursuant to paragraph (1), the Board shall allocate such contributions in
accordance with the life-span investment option.</text>
</clause><clause commented="no" display-inline="no-display-inline" id="idB3F629F19D7A42B18E534B983B618BA7">
<enum>(ii)</enum>
<header>Life-span investment option</header>
<text display-inline="yes-display-inline">For purposes of this
section, the life-span investment option shall provide for the management and
investment of funds within an investing worker's SAFE account on the basis of
the age of the investing worker in accordance with regulations established by
the Board. In establishing regulations with respect to the life-span investment
option under this subparagraph, the Board shall consider—</text>
<subclause commented="no" display-inline="no-display-inline" id="idC50C885DE0DC4FCB880E1F6E24928D0D">
<enum>(I)</enum>
<text display-inline="yes-display-inline">with respect to the
youngest investing workers, investing 80 percent of such funds in stocks and 20
percent of such funds in bonds; and</text>
</subclause><subclause commented="no" display-inline="no-display-inline" id="id39EFE4710B304CD99F148CCF03B0C7B3">
<enum>(II)</enum>
<text display-inline="yes-display-inline">with respect to the oldest
investing workers, investing 35 percent of such funds in stocks and 65 percent
of such funds in bonds.</text>
</subclause></clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="id98647415D33640E2AEA35B85A2BB3C9C">
<enum>(2)</enum>
<header>Subsequent designations</header>
<text display-inline="yes-display-inline">At least twice each year,
an investing worker may redesignate the allocation of investments funds within
the SAFE Investment Fund to which contributions with respect to such investing
worker are allocated.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID9F82E4BA0859404F98CA6C1F913C825D">
<enum>(d)</enum>
<header>Time designation takes effect</header>
<text display-inline="yes-display-inline">A designation under
subsection (c) shall take effect with respect to contributions made beginning
more than 14 days after the date of the designation.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="IDD35C46036B1D4318A9E510232F83008D">
<enum>(e)</enum>
<header>Investing worker’s property right in the SAFE
Account</header>
<text display-inline="yes-display-inline">Each SAFE Account
designated by an investing worker is the sole property of the worker.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="IDE236BD2D4928408AA55DBB47A75B10C3">
<enum>(f)</enum>
<header>Form of designations</header>
<text display-inline="yes-display-inline">Designations under this
section shall be made—</text>
<paragraph commented="no" display-inline="no-display-inline" id="ID65908AAFCD41487EA8044B429F52B02D">
<enum>(1)</enum>
<text display-inline="yes-display-inline">on W–4 forms (or any
successor forms); or</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDC287D80481A94FE29CF1EC6185499F73">
<enum>(2)</enum>
<text display-inline="yes-display-inline">in such other manner as the
Social Security Investment Board may prescribe in order to ensure ease of
administration.</text>
</paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="IDB6F44720F2C94DE49158F66B641E92FF" section-type="subsequent-section">
<enum>253.</enum>
<header>SAFE Investment Fund</header>
<subsection commented="no" display-inline="no-display-inline" id="id43445180956047B0889AF2C895F40BB1">
<enum>(a)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">There shall be established
and maintained in the Treasury of the United States a SAFE Investment Fund in
the same manner as the Thrift Savings Fund under sections 8437 (excluding
paragraphs (4) and (5) of subsection (c) thereof), 8438, and 8439 of title 5,
United States Code, insofar as such sections are not inconsistent with the
provisions of this part.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="IDAD73193779A542BCB35FD5727CE9B314">
<enum>(b)</enum>
<header>Investment earnings report</header>
<paragraph commented="no" display-inline="no-display-inline" id="ID5C6FDD6AA3F749C1B12FFFDCE75213A8">
<enum>(1)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">At least annually, the SAFE
Investment Fund shall provide to each investing worker a SAFE Investment Status
Report. Such report may be transmitted electronically upon the agreement of the
investing worker under the terms and conditions established by the Social
Security Investment Board.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID99F0B3E75684493BBC0023AF7D5604CF">
<enum>(2)</enum>
<header>Contents of report</header>
<text display-inline="yes-display-inline">The SAFE Investment Status
Report, with respect to a SAFE Account, shall provide the following
information:</text>
<subparagraph commented="no" display-inline="no-display-inline" id="ID998CB99CB6A64F62BE87A58B3FB5CC9D">
<enum>(A)</enum>
<text display-inline="yes-display-inline">The total SAFE Account
contributions made in the last quarter, the last year, and since the Account
was established.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDACDED873AD234B529E92AB946BB59623">
<enum>(B)</enum>
<text display-inline="yes-display-inline">The amount and rate of
return earned for each period described in subparagraph (A).</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID2C60EB80568A4EBCAF33E85DD8DB6CAE">
<enum>(C)</enum>
<text display-inline="yes-display-inline">A projection of how much
the investing worker will have available on the date the worker attains normal
retirement age if such contributions and earnings continue at the same rate
during the remaining period ending with such date.</text>
</subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="IDCA40D08788FD4484B295299F1CD8A2BD">
<enum>(c)</enum>
<header>Maximum administrative fee</header>
<text display-inline="yes-display-inline">The SAFE Investment Fund
shall charge each investing worker in the Fund a single, uniform annual
administrative fee not to exceed 0.57 percent of the value of the assets
invested in the worker’s SAFE Account.</text>
</subsection></section><section commented="no" display-inline="no-display-inline" id="ID46CE6C14CC1F4ED5838C654461007F69" section-type="subsequent-section">
<enum>254.</enum>
<header>Distributions</header>
<subsection commented="no" display-inline="no-display-inline" id="id73984FE08307466098418FE4E93ABAE9">
<enum>(a)</enum>
<header>Date of initial distribution</header>
<text display-inline="yes-display-inline">Except as provided in
subsection (b)(4), distributions may only be made from a SAFE Account of an
investing worker on and after the earliest of—</text>
<paragraph commented="no" display-inline="no-display-inline" id="IDE5C31F44A1224F4487B491AFD7D2CF65">
<enum>(1)</enum>
<text display-inline="yes-display-inline">the date the investing
worker attains normal retirement age, as determined under section 216;
or</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDF30ED250FAEF4F90B28E7EF8B200E261">
<enum>(2)</enum>
<text display-inline="yes-display-inline">the date on which funds in
the investing worker’s SAFE Account are sufficient to transfer to the Federal
Old-Age and Survivors Insurance Trust Fund—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="idBAAA9B6D79DC4CD1ACFF7AF8A277E154">
<enum>(A)</enum>
<text display-inline="yes-display-inline">an amount equal to the
old-age insurance amount (as calculated under subsection (b)(1)(B)); and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idE62D0442FD814658B4288F98FC9EA22B">
<enum>(B)</enum>
<text display-inline="yes-display-inline">an amount equal to the
survivor's insurance amount (as calculated under subsection (b)(2)(B)).</text>
</subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="IDDF28717805084393982760AE78A318DA">
<enum>(b)</enum>
<header>Form of distribution</header>
<paragraph commented="no" display-inline="no-display-inline" id="ID122D8358F2434912B0DEEE27F5184E54">
<enum>(1)</enum>
<header>Federal annuity payment</header>
<subparagraph commented="no" display-inline="no-display-inline" id="IDB5711D3C93784677B011B9D8A33BF726">
<enum>(A)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">On the date determined
under subsection (a), so much of the balance in an investing worker's SAFE
Account as does not exceed the old-age insurance amount shall be transferred to
the Federal Old-Age and Survivors Insurance Trust Fund and the investing worker
shall be entitled to a Federal annuity payment.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID06C9F1A6F09A413681B7A52782C321A0">
<enum>(B)</enum>
<header>Old-age insurance amount</header>
<text display-inline="yes-display-inline">For purposes of this
section, the old-age insurance amount is an amount which is sufficient to
provide a Federal annuity payment which, when added to the investing worker’s
monthly benefit under part A, is equal to one-twelfth of 135 percent of the
poverty line (as defined in section 673(2) of the Community Services Block
Grant Act (<external-xref legal-doc="usc" parsable-cite="usc/42/9902(2)">42
U.S.C. 9902(2)</external-xref>)).</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id9CEDDD15CE074ACBB94DB7E63F39EB67">
<enum>(C)</enum>
<header>Federal annuity payment</header>
<text display-inline="yes-display-inline">For purposes of this
section, the term <term>Federal annuity payment</term> means a monthly payment
from the Federal Old-Age and Survivors Insurance Trust Fund in an amount
determined by the Social Security Investment Board based on the amount
transferred to the Federal Old-Age and Survivors Insurance Trust Fund under
subparagraph (A) and the life expectancy of the investing worker (determined
under reasonable actuarial assumptions).</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID347806642744449DA631D8027C46B320">
<enum>(2)</enum>
<header>Family or survivor benefits for related individuals</header>
<subparagraph commented="no" display-inline="no-display-inline" id="ID2E6DF31054FD4C98B0D4A71442CF71D8">
<enum>(A)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">On the date determined
under subsection (a), in the case of an investing worker whose SAFE Account has
funds in excess of the amount required to be transferred under paragraph
(1)(A), so much of such excess funds as does not exceed the survivor's
insurance amount shall be transferred to the Federal Old-Age and Survivors
Insurance Trust Fund and any related individual shall be entitled to a
survivor's payment at the time such related individual meets the applicable
requirements for a monthly payment under section 202.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID3A3CDD94EA1049D3A1F9DF4C54BD2F00">
<enum>(B)</enum>
<header>Survivor's insurance amount</header>
<text display-inline="yes-display-inline">For purposes of this
section, the survivor's insurance amount is an amount, determined by the Social
Security Investment Board under rules established by such Board, which is
sufficient to provide survivor's payments to all related individuals.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id697639279EFE498AAE1661EC632417DF">
<enum>(C)</enum>
<header>Survivor's payment</header>
<text display-inline="yes-display-inline">For purposes of this
section, the term <term>survivor's payment</term> means a monthly payment from
the Federal Old-Age and Survivors Insurance Trust Fund in an amount which, when
added to such related individual's monthly benefit (or projected monthly
benefit) under this title, is equal to the benefit such related individual
would be entitled to under section 202 if the investing worker had waived the
application of this part.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="idF10A7FBBAF41475AB625490DBD2A05D8">
<enum>(D)</enum>
<header>Related individual</header>
<text display-inline="yes-display-inline">For purposes of this
section, the term <term>related individual</term> means, with respect to an
investing worker, any individual entitled to benefits under section 202 based
on the wages or self-employment income of such worker.</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDBB3E17B4F98C4D7FB0C59E3C479FEE00">
<enum>(3)</enum>
<header>Payment of excess SAFE Account funds</header>
<text display-inline="yes-display-inline">To the extent funds remain
in an investing worker’s SAFE Account after the transfer required under
paragraphs (1) and (2), such excess assets shall be payable to the worker in
such manner and in such amounts as determined by the worker.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDE4D22BC6902444E4909D1E00625EE337">
<enum>(4)</enum>
<header>Distribution in the event of death</header>
<text display-inline="yes-display-inline">If the investing worker
dies before the date determined under subsection (a), the balance in the
worker’s SAFE Account shall be distributed in the following manner:</text>
<subparagraph commented="no" display-inline="no-display-inline" id="IDC579C8463AED4BE29142177C0017F833">
<enum>(A)</enum>
<text display-inline="yes-display-inline">Not more than an amount
equal to the survivor's insurance amount shall be transferred to the Federal
Old-Age and Survivors Insurance Trust Fund.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID1280E2A5A04841E3AFF3D8B3B5B7B4B3">
<enum>(B)</enum>
<text display-inline="yes-display-inline">The remainder (if any)
shall be distributed in a lump sum, under rules established by the Social
Security Investment Board, to the investing worker’s estate, subject to
applicable State laws.</text>
</subparagraph></paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="IDEF5B4693E15A4E3CA0101F002561A1D9" section-type="subsequent-section">
<enum>255.</enum>
<header>Social Security Investment Board</header>
<subsection commented="no" display-inline="no-display-inline" id="idAB9B5CCA70D84004A9A9181DF8001CEB">
<enum>(a)</enum>
<header>Establishment</header>
<text display-inline="yes-display-inline">There is established within
the Social Security Administration a Social Security Investment Board (in this
Act referred to as the <quote>Board</quote>).</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="ID26DBE13C8D6C4A93A28596706DFC5435">
<enum>(b)</enum>
<header>Composition</header>
<text display-inline="yes-display-inline">The Board shall be composed
of—</text>
<paragraph commented="no" display-inline="no-display-inline" id="ID0C97D2155CBD432A9393FFF34BCAA770">
<enum>(1)</enum>
<text display-inline="yes-display-inline">2 members from the private
sector appointed by the President, of whom 1 shall be designated by the
President as Chairman;</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDB94B4DF3E9E947FFB479F9A856E6BE28">
<enum>(2)</enum>
<text display-inline="yes-display-inline">the Secretary of the
Treasury;</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID9969DC78063B405CBA62986F4BD688C8">
<enum>(3)</enum>
<text display-inline="yes-display-inline">the Chairman of the Federal
Reserve Board; and</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID6551E26CD84F40BEA9255B3CD9A43348">
<enum>(4)</enum>
<text display-inline="yes-display-inline">the Chairman of the
Securities and Exchange Commission.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID368D33396F3849CD802C408E674DF0E6">
<enum>(c)</enum>
<header>Advice and consent</header>
<text display-inline="yes-display-inline">Appointments under
subsection (b)(1) shall be made by and with the advice and consent of the
Senate.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="IDA12E8C1751A14C74AA70D5A225CD1CB8">
<enum>(d)</enum>
<header>Membership requirements</header>
<text display-inline="yes-display-inline">Members of the Board
appointed under subsection (b)(1) shall have substantial experience, training,
and expertise in finance, investments, or insurance.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="IDE673EE31609C46B09DEAC0C5D456223E">
<enum>(e)</enum>
<header>Length of appointments</header>
<paragraph commented="no" display-inline="no-display-inline" id="ID51F460E986A14501A56FDC4D03BD003B">
<enum>(1)</enum>
<header>Terms</header>
<text display-inline="yes-display-inline">A member of the Board
appointed under subsection (b)(1) shall be appointed for a term of 6 years,
except that of the members first appointed under subsection (b)(1)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="IDF54F432CD067422CB0B57BC208E8BF2B">
<enum>(A)</enum>
<text display-inline="yes-display-inline">the Chairman shall be
appointed for a term of 6 years; and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDCEB5A4E019F14879A2001B2C816838CF">
<enum>(B)</enum>
<text display-inline="yes-display-inline">the remaining member shall
be appointed for a term of 3 years.</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID7ADFFD695E624E95BF625EAA74E4EB32">
<enum>(2)</enum>
<header>Vacancies</header>
<subparagraph commented="no" display-inline="no-display-inline" id="IDF99B44B052EA4101A6B95E1C8DC70901">
<enum>(A)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">A vacancy on the Board
shall be filled in the manner in which the original appointment was made and
shall be subject to any conditions that applied with respect to the original
appointment.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDB09500E7FFC14E45A2EBEC4C4F3676AE">
<enum>(B)</enum>
<header>Completion of term</header>
<text display-inline="yes-display-inline">An individual chosen to
fill a vacancy shall be appointed for the unexpired term of the member
replaced.</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDB3DBEAA2CC574E0BA39026CAD03993DB">
<enum>(3)</enum>
<header>Expiration</header>
<text display-inline="yes-display-inline">The term of any member
shall not expire before the earlier of—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="IDA9E6E0B6BA344CC3BDD185004E44FD6C">
<enum>(A)</enum>
<text display-inline="yes-display-inline">the date on which the
member’s successor takes office; or</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID093142F98C76437B87EFCA215287D555">
<enum>(B)</enum>
<text display-inline="yes-display-inline">1 year after the member’s
term is scheduled to expire.</text>
</subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID6D31EC7069564E95957DC881B13388A7">
<enum>(f)</enum>
<header>Duties</header>
<text display-inline="yes-display-inline">The Board shall—</text>
<paragraph commented="no" display-inline="no-display-inline" id="ID5ED1D2A243A8457BA254BEEAA966D171">
<enum>(1)</enum>
<text display-inline="yes-display-inline">maintain SAFE Accounts and
the SAFE Investment Fund in the same manner as the Thrift Savings Accounts and
the Thrift Savings Fund are maintained by the Thrift Savings Board;</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID7AFAE84649E540D8888F342B78F4249D">
<enum>(2)</enum>
<text display-inline="yes-display-inline">review and approve the
budget of the Board;</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="idB8C9E36357E3443CAAD3E15856AF1C05">
<enum>(3)</enum>
<text display-inline="yes-display-inline">establish policies for the
administration of this part; and</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDA26F061B6F4140CFAEDC15D0B14E483F">
<enum>(4)</enum>
<text display-inline="yes-display-inline">carry out any other duties
specified under this part.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID032F5259FD194AEF8B6EA1569F7D0628">
<enum>(g)</enum>
<header>Administrative provisions</header>
<paragraph commented="no" display-inline="no-display-inline" id="ID0B9F35856CBB43E7914E70816E5B96A9">
<enum>(1)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">The Board may—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="ID0CD6EDB7C24B46AD82D63B91EFD1C183">
<enum>(A)</enum>
<text display-inline="yes-display-inline">adopt, alter, and use a
seal;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID182D98B230774F01A3F3D4CF5283005F">
<enum>(B)</enum>
<text display-inline="yes-display-inline">direct the Executive
Director to take such action as the Board considers appropriate to carry out
the provisions of this part and the policies of the Board;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID4423545C55BB438383D517DE12B4A980">
<enum>(C)</enum>
<text display-inline="yes-display-inline">upon the concurring votes
of 4 members, remove the Executive Director from office for good cause shown;
and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDD3530144068C4F8D9D9E00338E529973">
<enum>(D)</enum>
<text display-inline="yes-display-inline">take such other actions as
may be necessary to carry out the functions of the Board.</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDD1203A8590F043A50010E7C666165199">
<enum>(2)</enum>
<header>Meetings</header>
<text display-inline="yes-display-inline">The Board shall
meet—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="IDEC306F305C604E7BB4C507875591B81B">
<enum>(A)</enum>
<text display-inline="yes-display-inline">not less than once each
month; and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID2E4589DCFC364B5FBA4085F13B75FD2B">
<enum>(B)</enum>
<text display-inline="yes-display-inline">at additional times at the
call of the Chairman.</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID5E07E15B95654BBEB6A949B0D66DFCC3">
<enum>(3)</enum>
<header>Exercise of powers</header>
<subparagraph commented="no" display-inline="no-display-inline" id="ID72884D8790DF49D8A9BD75A137F6105C">
<enum>(A)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">Except as provided in
paragraph (1)(C), the Board shall perform the functions and exercise the powers
of the Board on a majority vote of a quorum of the Board. Three members of the
Board shall constitute a quorum for the transaction of business.</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID55708745993B45CBA6367129974C1EC4">
<enum>(B)</enum>
<header>Vacancies</header>
<text display-inline="yes-display-inline">A vacancy on the Board
shall not impair the authority of a quorum of the Board to perform the
functions and exercise the powers of the Board.</text>
</subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID3957222A325A4207AFBC91B7D2A3C6E4">
<enum>(h)</enum>
<header>Compensation</header>
<paragraph commented="no" display-inline="no-display-inline" id="ID7881A598FCFB43B892D7FF00534E3500">
<enum>(1)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">Each member of the Board
who is not an officer or employee of the Federal Government shall be
compensated at the daily rate of basic pay for level IV of the Executive
Schedule for each day during which such member is engaged in performing a
function of the Board.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID7F085EE7F4F24033817C9784AA53F430">
<enum>(2)</enum>
<header>Expenses</header>
<text display-inline="yes-display-inline">A member of the Board shall
be paid travel, per diem, and other necessary expenses under subchapter I of
chapter 57 of title 5, United States Code, while traveling away from such
member’s home or regular place of business in the performance of the duties of
the Board.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="IDADC2FFA5BA9148C8A6D3798964331255">
<enum>(i)</enum>
<header>Appointment of Executive Director</header>
<paragraph commented="no" display-inline="no-display-inline" id="IDBC64B32DDEF44859A331D38B7FA8DE81">
<enum>(1)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">The Board shall appoint,
without regard to the provisions of law governing appointments in the
competitive service, an Executive Director by action agreed to by a majority of
the members of the Board.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID2DD84E6243694570B6F100C2F62F009B">
<enum>(2)</enum>
<header>Requirements</header>
<text display-inline="yes-display-inline">The Executive Director
shall have substantial experience, training, and expertise in finance,
investments, and insurance.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID3FA16D065FA0481BA42DFFD6227F4B00">
<enum>(3)</enum>
<header>Duties</header>
<text display-inline="yes-display-inline">The Executive Director
shall—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="ID44CF8062B1E94184B1333C8639BD085B">
<enum>(A)</enum>
<text display-inline="yes-display-inline">carry out the policies
established by the Board;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="id1BB946430FA7461B9A2FC0FAF4ED571D">
<enum>(B)</enum>
<text display-inline="yes-display-inline">invest and manage the SAFE
Investment Fund in accordance with the investment policies established by the
Board;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID4854F4619C784F129BBC363BDBCEA940">
<enum>(C)</enum>
<text display-inline="yes-display-inline">administer the provisions
this part; and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID70D5A6D24CA34D699B491443128FE79F">
<enum>(D)</enum>
<text display-inline="yes-display-inline">prescribe such regulations
(other than regulations relating to fiduciary responsibilities) as may be
necessary for the administration of this part.</text>
</subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID6117C3BF0C68478E8200D783CA5F0016">
<enum>(4)</enum>
<header>Administrative authority</header>
<text display-inline="yes-display-inline">The Executive Director
may—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="ID86D3DC09EC0F422CA78008B693FD00F5">
<enum>(A)</enum>
<text display-inline="yes-display-inline">appoint such personnel as
may be necessary to carry out the provisions of this part;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDD9C3DF771B034BF08CEBF82BCE6D49B1">
<enum>(B)</enum>
<text display-inline="yes-display-inline">subject to approval by the
Board, procure the services of experts and consultants under section 3109 of
title 5, United States Code;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDFF517F6238074D2CB442A66531668250">
<enum>(C)</enum>
<text display-inline="yes-display-inline">secure directly from an
executive agency, the United States Postal Service, or the Postal Rate
Commission any information necessary to carry out the provisions of such part
and the policies of the Board;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID06DB3E4EA65342A3949EC69E5CD25895">
<enum>(D)</enum>
<text display-inline="yes-display-inline">make such payments out of
sums described in subsection (l) as the Executive Director determines are
necessary to carry out the provisions of such part and the policies of the
Board;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID2C0B7D8350814D050074924CFE4CF593">
<enum>(E)</enum>
<text display-inline="yes-display-inline">accept and use the services
of individuals employed intermittently in the Government service and reimburse
such individuals for travel expenses, as authorized by section 5703 of title 5,
United States Code, including per diem as authorized by section 5702 of such
title;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID3B799A516AD447FF829100005E04CE74">
<enum>(F)</enum>
<text display-inline="yes-display-inline">except as otherwise
expressly prohibited by law or the policies of the Board, delegate any of the
Executive Director’s functions to such employees under the Board as the
Executive Director may designate and authorize such successive redelegations of
such functions to such employees under the Board as the Executive Director may
consider to be necessary or appropriate; and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID5C663FA1D3404EF1832C65BDF67060FE">
<enum>(G)</enum>
<text display-inline="yes-display-inline">take such other actions as
are appropriate to carry out the functions of the Executive Director.</text>
</subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID650A271DFE2149DF8BB788C0DD65CFF8">
<enum>(j)</enum>
<header>Discharge of responsibilities</header>
<text display-inline="yes-display-inline">The members of the Board
shall discharge their responsibilities solely in the interest of SAFE Account
holders and beneficiaries under this part.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="IDA6BA5FA3249A4DE384E92514D21950CF">
<enum>(k)</enum>
<header>Annual independent audit</header>
<text display-inline="yes-display-inline">The Board shall annually
engage an independent qualified public accountant to audit the activities of
the Board.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="ID7A8EA123DE0740DE8374F45D29745DC4">
<enum>(l)</enum>
<header>Source of Funds</header>
<text display-inline="yes-display-inline">Payments authorized under
this section shall be paid from administrative fees charged in accordance with
section 253(c).</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="IDFA766848B09F45BE90B3700000F71766">
<enum>(m)</enum>
<header>Submission of budget to Congress</header>
<text display-inline="yes-display-inline">The Board shall prepare and
submit to the President, and, at the same time, to the appropriate committees
of Congress, an annual budget of the expenses and other items relating to the
Board which shall be included as a separate item in the budget required to be
transmitted to Congress under section 1105 of title 31, United States
Code.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="ID2DCC73DAA7864693BF3911BC85F8C05F">
<enum>(n)</enum>
<header>Submission of legislative recommendations</header>
<text display-inline="yes-display-inline">The Board may submit to the
President, and, at the same time, shall submit to each House of Congress, any
legislative recommendations of the Board relating to any of its functions under
this part or any other provision of law.</text>
</subsection></section></part><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID2D46C1D2808E4034004F8B279B3495B6">
<enum>(b)</enum>
<header>Effective date and notice requirements</header>
<paragraph commented="no" display-inline="no-display-inline" id="ID7218793C81D4495BA778C8A932C2A198">
<enum>(1)</enum>
<header>Effective date</header>
<text display-inline="yes-display-inline">The amendments made by this
section shall apply to designations of accounts made with respect to payroll
periods beginning on or after January 1, 2007.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDA8FCEB6CBB3A4D2FA199666BF3FB6D4B">
<enum>(2)</enum>
<header>Notice requirements</header>
<subparagraph commented="no" display-inline="no-display-inline" id="IDB7610EED56C34FFBBA97E0D5BA72C493">
<enum>(A)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">Not later than January 1,
2007, the Commissioner of Social Security shall—</text>
<clause commented="no" display-inline="no-display-inline" id="ID869F93400B594531BBA613C277EA4DAF">
<enum>(i)</enum>
<text display-inline="yes-display-inline">send to the last known
address of each eligible individual a description of the program established by
the amendments made by this section, that shall be written in the form of a
pamphlet in language that may be readily understood by the average
worker;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="ID919475BEE8E942D8B8DF6D69E3750732">
<enum>(ii)</enum>
<text display-inline="yes-display-inline">provide for toll-free access
by telephone from all localities in the United States and access by the
Internet to the Social Security Administration through which individuals may
obtain information and answers to questions regarding such program; and</text>
</clause><clause commented="no" display-inline="no-display-inline" id="IDAF166CB771444942B673785DF10059B4">
<enum>(iii)</enum>
<text display-inline="yes-display-inline">provide information to the
media in all localities of the United States about such program and such
toll-free access by telephone and access by Internet.</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID207A864BD8914F68A645797FDAB27723">
<enum>(B)</enum>
<header>Eligible individual</header>
<text display-inline="yes-display-inline">For purposes of this
paragraph, the term <term>eligible individual</term> means an individual who,
as of the date of the pamphlet sent pursuant to subparagraph (A), is indicated
within the records of the Social Security Administration as being credited with
1 or more quarters of coverage under
<external-xref legal-doc="act" parsable-cite="SSA/213">section
213</external-xref> of the <act-name parsable-cite="SSA">Social Security
Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/42/413">42
U.S.C. 413</external-xref>).</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID16E3C5A1BA0A4DCEAD4870AD2D13C193">
<enum>(C)</enum>
<header>Matters to be included</header>
<text display-inline="yes-display-inline">The Commissioner of Social
Security shall include with the pamphlet sent to each eligible individual
pursuant to subparagraph (A)—</text>
<clause commented="no" display-inline="no-display-inline" id="ID1108415C3E744A5282D525AB8C30492F">
<enum>(i)</enum>
<text display-inline="yes-display-inline">a statement of the number of
quarters of coverage indicated in the records of the Social Security
Administration as of the date of the description as credited to such individual
under section 213 of such Act and the date as of which such records may be
considered accurate; and</text>
</clause><clause commented="no" display-inline="no-display-inline" id="IDCD59D173D1B847E08DE17C5FF7DCF2C0">
<enum>(ii)</enum>
<text display-inline="yes-display-inline">the number for toll-free
access by telephone established by the Commissioner pursuant to subparagraph
(A)(ii).</text>
</clause></subparagraph></paragraph></subsection></section><section commented="no" display-inline="no-display-inline" id="ID3871D3A693CD458FA0CDCB33A41C5730" section-type="subsequent-section">
<enum>102.</enum>
<header>Adjustments to primary insurance amounts under part
<enum-in-header>A</enum-in-header> of title <enum-in-header>II</enum-in-header>
of the <act-name parsable-cite="SSA">Social Security Act</act-name> for
investing workers with SAFE accounts</header>
<subsection commented="no" display-inline="no-display-inline" id="ID440E2F577641448AA08BCAE7D5E76C57">
<enum>(a)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">
<external-xref legal-doc="act" parsable-cite="SSA/215">Section
215</external-xref> of the <act-name parsable-cite="SSA">Social Security
Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/42/415">42
U.S.C. 415</external-xref>) is amended by adding at the end the
following:</text>
<quoted-block act-name="Social Security Act" display-inline="no-display-inline" id="ID51EACA387CED48DAB7E3448E3040F407" other-style="archaic" style="other">
<subsection commented="no" display-inline="no-display-inline" id="ID1DF7F00E702240699300269FDB9FEC97">
<enum>(j)</enum>
<header>Adjustment of primary
insurance amount in relation to deposits made to SAFE
Accounts</header><paragraph commented="no" display-inline="yes-display-inline" id="ID6B5E9A3A08DB40C39EA701D026948C3B"><enum>(1)</enum>
<text display-inline="yes-display-inline">Except as provided in
paragraph (2), an individual’s primary insurance amount as determined in
accordance with this section (before adjustments made under subsection (i))
shall be equal to—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="IDA87AECFA76BF44F200D396962B886DD2" indent="up1">
<enum>(A)</enum>
<text display-inline="yes-display-inline">the amount which would be
so determined without the application of this subsection, multiplied by</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDC74472DF8E1B453F98A02F6C007941ED" indent="up1">
<enum>(B)</enum>
<text display-inline="yes-display-inline">1 minus the ratio
of—</text>
<clause commented="no" display-inline="no-display-inline" id="IDC888D07DF79042F0AFC3D6A2009CFCCD">
<enum>(i)</enum>
<text display-inline="yes-display-inline">the sum of—</text>
<subclause commented="no" display-inline="no-display-inline" id="IDD5560FC1A9C2473CAB332CE1036D6124">
<enum>(I)</enum>
<text display-inline="yes-display-inline">the total of all amounts
which have been credited pursuant to section 252(b) to the SAFE Account held by
such individual; plus</text>
</subclause><subclause commented="no" display-inline="no-display-inline" id="ID530A9FA35E7148CBB2343D1D02EB7D90">
<enum>(II)</enum>
<text display-inline="yes-display-inline">accrued interest on such
amounts compounded annually up to the date of initial benefit entitlement based
on the earning of the individual’s SAFE Account, assuming an interest rate
equal to the projected interest rate of the Federal Old-Age and Survivors Trust
Fund; to</text>
</subclause></clause><clause commented="no" display-inline="no-display-inline" id="IDD8E001D98305480296F74BDA8B629637">
<enum>(ii)</enum>
<text display-inline="yes-display-inline">the expected present value
of all future benefits paid based on the individual’s earnings, as of the date
of initial benefit entitlement based on such earnings, assuming future
mortality and interest rates for the Federal Old-Age and Survivors Trust Fund
used in the intermediate projections of the most recent Board of Trustees
report under section 201.</text>
</clause></subparagraph></paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID14AAE17374164F38A893BF24A370BC29" indent="up1">
<enum>(2)</enum>
<text display-inline="yes-display-inline">In the case of an
individual who becomes entitled to disability insurance benefits under section
223, such individual’s primary insurance amount shall be determined without
regard to paragraph (1).</text>
</paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" display-inline="no-display-inline" id="IDAE176F390DE140DABB368F1F1C2FE8F5">
<enum>(b)</enum>
<header>Conforming amendment to Railroad Retirement Act of
1974</header>
<text display-inline="yes-display-inline">Section 1 of the Railroad
Retirement Act of 1974 (<external-xref legal-doc="usc" parsable-cite="usc/45/231">45 U.S.C. 231</external-xref>) is amended by adding
at the end the following:</text>
<quoted-block display-inline="no-display-inline" id="ID3F4A05E2E1A349FBA7CDA4D612B55B70" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="IDC21BABE3190A47A6A2BB88154C35341E">
<enum>(s)</enum>
<text display-inline="yes-display-inline">In applying applicable
provisions of the <act-name parsable-cite="SSA">Social Security Act</act-name>
for purposes of determining the amount of the annuity to which an individual is
entitled under this Act, section 215(j) of the <act-name parsable-cite="SSA">Social Security Act</act-name> and part B of title II of
such Act shall be disregarded.</text>
</subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" display-inline="no-display-inline" id="IDF542D4482911433FAE5480AC114ECD5C">
<enum>(c)</enum>
<header>Effective date</header>
<text display-inline="yes-display-inline">The amendments made by this
section shall apply with respect to computations and recomputations of primary
insurance amounts occurring after December 31, 2006.</text>
</subsection></section><section commented="no" display-inline="no-display-inline" id="idC1A65E886FBE4819AAB31FD69CD6997B" section-type="subsequent-section">
<enum>103.</enum>
<header>Tax treatment of investment-based social security</header>
<subsection commented="no" display-inline="no-display-inline" id="IDC86A49B02F4842B2BB24ADE8BE26971F">
<enum>(a)</enum>
<header>In general</header>
<paragraph commented="no" display-inline="no-display-inline" id="ID785C44FFA8B147B88950CA3780A2407F">
<enum>(1)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">Subchapter F of chapter 1 of
the Internal Revenue Code of 1986 (relating to exempt organizations) is amended
by adding at the end the following new part:</text>
<quoted-block display-inline="no-display-inline" id="idAC1D619CFE61426184EA386430080BAC" style="OLC">
<part commented="no" id="ID2BD54E92B18D4329B85683E538E297CD">
<enum>IX</enum>
<header>Investment-based social security </header>
<toc regeneration="no-regeneration">
<toc-entry bold="off" level="section">Sec. 530A. Investment-based
social security.</toc-entry>
</toc>
<section commented="no" display-inline="no-display-inline" id="IDDB08C98A2221464C86924B881BC65D06" section-type="subsequent-section">
<enum>530A.<?LEXA-Enum 530A.?></enum>
<header>Investment-based social security</header>
<subsection commented="no" display-inline="no-display-inline" id="ID57D7AA8A8BD44F51B2041F408B0D893C">
<enum>(a)</enum>
<header>General rule</header>
<text display-inline="yes-display-inline">The SAFE Investment Fund
and each SAFE Account are exempt from taxation under this subtitle.
Notwithstanding the preceding sentence, a personal social security savings
account is subject to the taxes imposed by section 511 (relating to imposition
of tax on unrelated business income of charitable, etc. organizations).</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="id9E48627A3C6345C1A554CE3650E38627">
<enum>(b)</enum>
<header>Distributions</header>
<paragraph commented="no" display-inline="no-display-inline" id="idED1FDEF7986443DEAABF3C73D4BE317A">
<enum>(1)</enum>
<header>Federal annuity payment</header>
<text display-inline="yes-display-inline">Any Federal annuity payment
(as defined under section 254(b)(1) of the Social Security Act) shall be
treated as a social security benefit for purposes of section 86.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="id811047DF7A344332AD8BA4B9391C6B4B">
<enum>(2)</enum>
<header>Distribution of excess assets</header>
<text display-inline="yes-display-inline">Any distribution from a
SAFE Account under section 254(b)(3) of the Social Security Act shall be
includible in gross income under rules under section 72.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID8F10A41DAEDD4786A6D3E6403254C81F">
<enum>(c)</enum>
<header>Definitions</header>
<text display-inline="yes-display-inline">For purposes of this
section—</text>
<paragraph commented="no" display-inline="no-display-inline" id="IDC680AF9648EA4DA2B68B6EDCD57A8EFE">
<enum>(1)</enum>
<header>SAFE Account</header>
<text display-inline="yes-display-inline">The term <term>SAFE
Account</term> means an account established under section 252(a) of the
<act-name parsable-cite="SSA">Social Security Act</act-name>.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDD99B0989CF6D4073874ADBB0DABD7461">
<enum>(2)</enum>
<header>SAFE Investment Fund</header>
<text display-inline="yes-display-inline">The term <term>SAFE
Investment Fund</term> means the fund established under section 253 of the
<act-name parsable-cite="SSA">Social Security Act</act-name>.</text>
</paragraph></subsection></section></part><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID02CA458EBA9A482F833B6FCCB22A38E9">
<enum>(2)</enum>
<header>Clerical amendment</header>
<text display-inline="yes-display-inline">The table of parts for
subchapter F of chapter 1 of such Code is amended by adding after the item
relating to part VIII the following new item:</text>
<quoted-block display-inline="no-display-inline" id="ID8AA5D9B4526048ADA06E0A70FE7FF310" style="USC">
<toc regeneration="no-regeneration">
<toc-entry bold="off" level="part">Part IX. Investment-based social
security.</toc-entry>
</toc>
<after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID689E59153A7B4C85BBA2B8E2FC63E9DB">
<enum>(b)</enum>
<header>Effective date</header>
<text display-inline="yes-display-inline">The amendments made by this
section shall apply to taxable years beginning after December 31, 2006.</text>
</subsection></section><section commented="no" display-inline="no-display-inline" id="id5C846D2D0064414C9EBFBA082E96414C" section-type="subsequent-section">
<enum>104.</enum>
<header>Study on use of private annuities for SAFE account
distributions</header>
<subsection commented="no" display-inline="no-display-inline" id="id89358D77430D4B799A8BF529514D74EC">
<enum>(a)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">The Social Security
Investment Board shall conduct a study on the use of annuities provided by
private-sector financial institutions for the distribution of SAFE account
funds under section 254 of the Social Security Act.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="id21CAF0A2BF3547C8BD38F3827AC07877">
<enum>(b)</enum>
<header>Report</header>
<text display-inline="yes-display-inline">Not later than 3 years after
the date of the enactment of this Act, the Social Security Investment Board
shall submit to the Committee on Finance of the Senate and the Committee on
Ways and Means of the House of Representatives a report describing the results
of the study under subsection (a).</text>
</subsection></section><section commented="no" display-inline="no-display-inline" id="idBAC8FC69B6F547CB8399D519BBF6A4DF" section-type="subsequent-section">
<enum>105.</enum>
<header>Study regarding financial literacy</header>
<subsection commented="no" display-inline="no-display-inline" id="IDCBC3E075D91842738CE9A02E1690F901">
<enum>(a)</enum>
<header>Study</header>
<paragraph commented="no" display-inline="no-display-inline" id="ID826A39ED0E984FF5875DD6002CE89D63">
<enum>(1)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">The Social Security
Investment Board shall conduct a thorough study of all matters relating to
programs to increase the financial literacy of Americans.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID688D8B60E6F549DDACBDA98FAD2BC885">
<enum>(2)</enum>
<header>Matters studied</header>
<text display-inline="yes-display-inline">The matters studied by the
Social Security Investment Board shall include—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="ID4AE9D34CE54E464295B8B9C4B136B476">
<enum>(A)</enum>
<text display-inline="yes-display-inline">existing Federal and
non-Federal financial literacy programs, including a review and performance
evaluation of such programs;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID11C4C8B40C3740CD8D831C7F7E841C2C">
<enum>(B)</enum>
<text display-inline="yes-display-inline">the coordination of existing
Federal and non-Federal financial education efforts; and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID9C69AF09130A4F09A8623BD38EEFA0AD">
<enum>(C)</enum>
<text display-inline="yes-display-inline">ideas for new public
initiatives to increase the financial literacy of all Americans.</text>
</subparagraph></paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID3C197E1D82AD499C8509A11D7EC3CE94">
<enum>(b)</enum>
<header>Recommendations</header>
<text display-inline="yes-display-inline">The Social Security
Investment Board shall develop recommendations on—</text>
<paragraph commented="no" display-inline="no-display-inline" id="ID330E1BF12A08429887D370F96FCF28D2">
<enum>(1)</enum>
<text display-inline="yes-display-inline">streamlining existing
financial literacy programs;</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="IDF3E83CE9A9D147AA89041800C33636A1">
<enum>(2)</enum>
<text display-inline="yes-display-inline">increasing financial literacy
for all Americans; and</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID02B3BC04C64044D29BEA912C70224300">
<enum>(3)</enum>
<text display-inline="yes-display-inline">new avenues for
public-private partnerships in financial literacy.</text>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="IDF60FAADE599C4F24887E906466066FB9">
<enum>(c)</enum>
<header>Report</header>
<text display-inline="yes-display-inline">Not later than 6 months after
the date of the enactment of this Act, the Social Security Investment Board
shall submit a report to the President and to Congress which shall contain a
detailed statement of the findings and conclusions of the Social Security
Investment Board, together with its recommendations for such legislation and
administrative actions as it considers appropriate.</text>
</subsection></section>
<enum>II</enum>
<header>Debt-based social security</header>
<subtitle commented="no" id="idCBBE34897C484963BA82851BFED5C5C3" style="OLC">
<enum>A</enum>
<header>Adjustments</header>
<section commented="no" display-inline="no-display-inline" id="idDD7206BEB5214568B4C8F95345D76675" section-type="subsequent-section">
<enum>201.</enum>
<header>Modification to retirement age</header>
<text display-inline="no-display-inline">Section 215(l)(1) of the
Social Security Act (42 U.S.C. 416(l)(1)) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="idD7AD4CBB1C3E458399EDC07252B7239F">
<enum>(1)</enum>
<text display-inline="yes-display-inline">by striking
<quote>and</quote> at the end of subparagraph (D);</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="idC432AD9B1FFC41C4AF5ADEE6BDD0D85D">
<enum>(2)</enum>
<text display-inline="yes-display-inline">by inserting <quote>and
before January 1, 2023,</quote> after <quote>December 31, 2021,</quote> in
subparagraph (E);</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="idF973D7271FB34E09B1A114E2983AF91E">
<enum>(3)</enum>
<text display-inline="yes-display-inline">by striking the period at the
end of subparagraph (E) and by inserting <quote>; and</quote>; and</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="id71860377D8604EE2A73B821290611724">
<enum>(4)</enum>
<text display-inline="yes-display-inline">by adding at the end the
following:</text>
<quoted-block display-inline="no-display-inline" id="id555112C8B9F94E7F80B6E5870B2289D8" style="OLC">
<subparagraph commented="no" display-inline="no-display-inline" id="idE5A218102F0B447C9F58DB7709619E9E">
<enum>(F)</enum>
<text display-inline="yes-display-inline">with respect to an
individual who attains early retirement age after December 31, 2022, 68 years
of age.</text>
</subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></section><section commented="no" display-inline="no-display-inline" id="id668B27849B064654A9478D8EBBDE4CF8" section-type="subsequent-section">
<enum>202.</enum>
<header>Modification of PIA factors to reflect changes in life
expectancy</header>
<text display-inline="no-display-inline">
<external-xref legal-doc="act" parsable-cite="SSA/215(a)(1)">Section
215(a)(1)</external-xref> of the <act-name parsable-cite="SSA">Social Security
Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/42/415(a)(1)(B)">42 U.S.C. 415(a)(1)(B)</external-xref>) is
amended by redesignating subparagraph (D) as subparagraph (F) and by inserting
after subparagraph (C) the following:</text>
<quoted-block act-name="Social Security Act" display-inline="no-display-inline" id="ID7AB5A768517C4FF38EB02362B014694F" style="OLC">
<subparagraph commented="no" display-inline="no-display-inline" id="IDFC47FE7761EB4EEF9F75945D00BB76DF" indent="up2">
<enum>(D)</enum>
<clause commented="no" display-inline="yes-display-inline" id="ID2EB17960F1D2488AAB9EC171FDA5AD29"><enum>(i)</enum>
<text display-inline="yes-display-inline">For individuals who
initially become eligible for old-age insurance benefits in any calendar year
after 2023, each of the percentages under clauses (i), (ii), and (iii) of
subparagraph (A) shall be multiplied by the applicable factor for such year
with respect to each year after 2023 and before the year following the year of
initial eligibility.</text>
</clause><clause commented="no" display-inline="no-display-inline" id="id07252B09514E49D8B4B137B35A8D4A4F" indent="up1">
<enum>(ii)</enum>
<text display-inline="yes-display-inline">For purposes of clause (i),
the term <term>applicable factor</term> means the actuarial number, expressed
as a percentage and determined by the Commissioner of Social Security after
taking into account the actuarial reduction under section 202(q) (without
regard to the amendments made by section 203 of the
<short-title>Saving Social Security Act of
2005</short-title>), representing the historical increase in longevity of life
for the most recent year.</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDB255775794E743FBAA8200AEFDD29CE5" indent="up2">
<enum>(E)</enum>
<text display-inline="yes-display-inline">For any individual who
initially becomes eligible for disability insurance benefits in any calendar
year after 2023, the primary insurance amount for such individual shall be
equal to the greater of—</text>
<clause commented="no" display-inline="no-display-inline" id="ID0CEAE8FFBF57482B84A06E2B3E2035C9">
<enum>(i)</enum>
<text display-inline="yes-display-inline">such amount as determined
under this paragraph, or</text>
</clause><clause commented="no" display-inline="no-display-inline" id="ID3F94B2ADB5364F8FA42561F79400B3A4">
<enum>(ii)</enum>
<text display-inline="yes-display-inline">such amount as determined
under this paragraph without regard to subparagraph (D) thereof.</text>
</clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</section><section commented="no" display-inline="no-display-inline" id="idE1D7D348171F4C10AC6153D4F0728FF7" section-type="subsequent-section">
<enum>203.</enum>
<header>Actuarial adjustment for retirements</header>
<subsection commented="no" display-inline="no-display-inline" id="ID656AC934C30B497180D4AEB2861BF303">
<enum>(a)</enum>
<header>In general</header>
<text display-inline="yes-display-inline">
<external-xref legal-doc="act" parsable-cite="SSA/202(q)">Section
202(q)</external-xref> of the <act-name parsable-cite="SSA">Social Security
Act</act-name> (<external-xref legal-doc="usc" parsable-cite="usc/42/402(q)">42
U.S.C. 402(q)</external-xref>) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="ID3FC2380E856C49BDAA99EAF2BD38E09B">
<enum>(1)</enum>
<text display-inline="yes-display-inline">in paragraph (1)(A), by
striking <quote><fraction>5/9</fraction></quote> and inserting <quote>the
applicable old-age benefit fraction (determined under paragraph
(12)(A))</quote>, and by striking <quote><fraction>25/36</fraction></quote> and
inserting <quote>the applicable spousal benefit fraction (determined under
paragraph (12)(B))</quote>; and</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID3684CB39E5604588ABF8DD88D23CB4A8">
<enum>(2)</enum>
<text display-inline="yes-display-inline">by adding at the end the
following:</text>
<quoted-block display-inline="no-display-inline" id="IDBDDABC3A9C824F378150DD004A85BE1D" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="IDB42FBC4FD58A47EFA39AD6AC91F76B06" indent="up1">
<enum>(12)</enum>
<text display-inline="yes-display-inline">For purposes of paragraph
(1)(A)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="ID47FD210B07C742B08838DFB2F391BB69">
<enum>(A)</enum>
<text display-inline="yes-display-inline">the <quote>applicable
old-age benefit fraction</quote> for an individual who attains the age of 62
in—</text>
<clause commented="no" display-inline="no-display-inline" id="ID8AA0DA3EDC454B33AED7C0C4AC0C729D">
<enum>(i)</enum>
<text display-inline="yes-display-inline">any year before 2024, is
<fraction>5/9</fraction>;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="ID754A3C83997F4C1D8DD8A91945FB544D">
<enum>(ii)</enum>
<text display-inline="yes-display-inline">2024, is
<fraction>7/12</fraction>;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="ID1EB0BD057AE44082B2E399CEEC7DFDEE">
<enum>(iii)</enum>
<text display-inline="yes-display-inline">2025, is
<fraction>11/18</fraction>;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="ID9482EC77142C4B92819E7AAC63E23586">
<enum>(iv)</enum>
<text display-inline="yes-display-inline">2026, is
<fraction>23/36</fraction>;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="ID1ACE31C98DBB4FFA85F1EAAA0C3FD813">
<enum>(v)</enum>
<text display-inline="yes-display-inline">2027, is
<fraction>2/3</fraction>; and</text>
</clause><clause commented="no" display-inline="no-display-inline" id="ID4408724F1A524435B8A2CE712CCFA66E">
<enum>(vi)</enum>
<text display-inline="yes-display-inline">2028 or any succeeding
year, is <fraction>25/36</fraction>; and</text>
</clause></subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDA8861E1C1F074162ACFC778A927227B1">
<enum>(B)</enum>
<text display-inline="yes-display-inline">the <quote>applicable
spousal benefit fraction</quote> for an individual who becomes eligible for
wife’s or husband’s insurance benefits in—</text>
<clause commented="no" display-inline="no-display-inline" id="ID43FEBBB5B1BB41ED9D0E40CA7B235093">
<enum>(i)</enum>
<text display-inline="yes-display-inline">any year before 2024, is
<fraction>25/36</fraction>;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="IDAE612C6904DF4011A39C005900EB5282">
<enum>(ii)</enum>
<text display-inline="yes-display-inline">2024, is
<fraction>13/18</fraction>;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="ID2AB2A2817798494EA46BAA12D3CAAD95">
<enum>(iii)</enum>
<text display-inline="yes-display-inline">2025, is
<fraction>27/36</fraction>;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="IDC1657F6DF81E47BF9EF77E0B118397B8">
<enum>(iv)</enum>
<text display-inline="yes-display-inline">2026, is
<fraction>7/9</fraction>;</text>
</clause><clause commented="no" display-inline="no-display-inline" id="ID188F1EE456004CB5926998CACE1FDEB0">
<enum>(v)</enum>
<text display-inline="yes-display-inline">2027, is
<fraction>29/36</fraction>; and</text>
</clause><clause commented="no" display-inline="no-display-inline" id="ID6E141EBCDA9849B588B96E97E50898E9">
<enum>(vi)</enum>
<text display-inline="yes-display-inline">2028 or any succeeding
year, is <fraction>5/6</fraction>.</text>
</clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="IDB763D8A53CCA4C03A15020E817BB8B42">
<enum>(b)</enum>
<header>Months beyond first 36 months</header>
<text display-inline="yes-display-inline">Section 202(q) of such Act
(<external-xref legal-doc="usc" parsable-cite="usc/42/402(q)(9)">42 U.S.C.
402(q)</external-xref>) (as amended by subsection (a)) is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="ID846AA62C7A60478A86DD1C72904C4CE5">
<enum>(1)</enum>
<text display-inline="yes-display-inline">in paragraph (9)(A), by
striking <quote>five-twelfths</quote> and inserting <quote>the applicable
fraction (determined under paragraph (13))</quote>; and</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="ID9A3096EFE84D49298CC58A66CAD3285E">
<enum>(2)</enum>
<text display-inline="yes-display-inline">by adding at the end the
following:</text>
<quoted-block display-inline="no-display-inline" id="ID745423D125BE4C4783D1B04556BC6EDC" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="ID08E4D944D4ED4513B5F0C5F9AA5A97DD" indent="up1">
<enum>(13)</enum>
<text display-inline="yes-display-inline">For purposes of paragraph
(9)(A), the <quote>applicable fraction</quote> for an individual who becomes
eligible for old-age, wife’s, or husband’s insurance benefits in—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="ID0FF668891FC8481A8D85CBD0D5877C8E">
<enum>(A)</enum>
<text display-inline="yes-display-inline">any year before 2024, is
<fraction>5/12</fraction>;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID608B11890C2F4D53AA47734C6E8C8101">
<enum>(B)</enum>
<text display-inline="yes-display-inline">2024, is
<fraction>16/36</fraction>;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDCA9AE0F0ACDF47D28E1594FEF0E4C9EA">
<enum>(C)</enum>
<text display-inline="yes-display-inline">2025, is
<fraction>16/36</fraction>;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID6C036F50B52C4C08905E7BBCF4486A12">
<enum>(D)</enum>
<text display-inline="yes-display-inline">2026, is
<fraction>17/36</fraction>;</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="IDFCD6C70852AE4468A1D8CD0932E10A9C">
<enum>(E)</enum>
<text display-inline="yes-display-inline">2027, is
<fraction>17/36</fraction>; and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="ID0764F8C4EE6248B18407947686729046">
<enum>(F)</enum>
<text display-inline="yes-display-inline">2028 or any succeeding
year, is <fraction>1/2</fraction>.</text>
</subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection commented="no" display-inline="no-display-inline" id="ID6B2CFA69C37F4A0EAEFBB6173FE70D84">
<enum>(c)</enum>
<header>Eligibility</header>
<text display-inline="yes-display-inline">Section 202(q) of such Act
(as amended by the preceding provisions of this section) is amended further by
adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="ID6356C71E7EE84040B71CC8F287BA0CEC" style="OLC">
<paragraph commented="no" display-inline="no-display-inline" id="ID5AC3B25DE5B342868CCB7FB5B0CED9FD" indent="up1">
<enum>(14)</enum>
<text display-inline="yes-display-inline">For purposes of this
subsection, an individual shall be deemed eligible for a benefit for a month
if, upon filing application therefor in such month, such individual would be
entitled to such benefit for such month.</text>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" display-inline="no-display-inline" id="ID5BC827B488714FE6B2485B187DD77231">
<enum>(d)</enum>
<header>Effective date</header>
<text display-inline="yes-display-inline">The amendments made by this
subsection shall apply to individuals who, in connection with old-age, wife’s,
and husband’s insurance benefits under title II of the
<act-name parsable-cite="SSA">Social Security Act</act-name>, become eligible
for such benefits (within the meaning of section 202(q)(14) of such Act (as
amended by this subsection)) in years after 2023.</text>
</subsection></section></subtitle><subtitle commented="no" id="id2AF8289DBE37479F87FAD298315845D6" style="OLC">
<enum>B</enum>
<header>Maintenance of social security trust funds</header>
<section commented="no" display-inline="no-display-inline" id="id2BD721D6CBEF4B8BAD0D586C8A395005" section-type="subsequent-section">
<enum>211.</enum>
<header>Maintenance of adequate balances in the social security trust
funds</header>
<subsection commented="no" display-inline="no-display-inline" id="ID474d34b9fc734b37b281756e90465311">
<enum>(a)</enum>
<header>In General</header>
<text display-inline="yes-display-inline">Section 201 of the Social
Security Act (42 U.S.C. 401) is amended by adding at the end the following new
subsection:</text>
<quoted-block display-inline="no-display-inline" id="idEEDCBCADE2554A328E5598E6C5D11326" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="ID7e2f13d7b4ab466bb02f9287db06775b">
<enum>(o)</enum>
<text display-inline="yes-display-inline">In addition to amounts
otherwise appropriated under the preceding provisions of this section to the
Trust Funds established under this section, there is hereby appropriated for
each fiscal year to each of such Trust Funds, from amounts in the general fund
of the Treasury not otherwise appropriated, such sums as may be necessary from
time to time to maintain the balance ratio (as defined in section 709(b)) of
such Trust Fund, for the calendar year commencing during such fiscal year, at
not less than 100 percent. The sums to be appropriated under the preceding
sentence shall be determined by the Commissioner of Social Security and
certified by the Commissioner to each House of the Congress not later than
October 1 of such fiscal year. In making such determination and certification,
the Commissioner shall use the intermediate actuarial assumptions used by the
Board of Trustees of the Trust Funds in its most recent annual report to the
Congress prepared pursuant to subsection (c)(2). The Commissioner shall also
transmit a copy of any such certification to the Secretary of the Treasury, and
upon receipt thereof, such Secretary shall promptly take appropriate actions in
accordance with the certification.</text>
</subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" display-inline="no-display-inline" id="ID2f1b111659644b0786f47f7ac53f5f6c">
<enum>(b)</enum>
<header>Effective Date</header>
<text display-inline="yes-display-inline">The amendment made by
subsection (a) shall apply with respect to fiscal years beginning after the
date of the enactment of this Act.</text>
</subsection></section></subtitle>