Appendix Table 1: The Impact of Potential OASI Reforms on Lifetime Net Tax Rates Men (r=5%) Quintile of Lifetime Earnings: Lowest Middle Highest All Birth Cohort 1945-49 0 Current Rules 2.2 6.8 5.2 5.8 1 38% Tax Hike Beginning in Year 2000 2.8 7.1 5.5 6.2 2 25% Benefit Cut Beginning in Year 2000 4.4 7.5 5.6 6.4 3 Acclerated Increase in NRA 4.0 7.5 5.6 6.4 4 CPI Indexing of Covered Earnings 2.9 7.0 5.3 6.0 5 Indexing Benefits by CPI Minus 1% 3.0 7.0 5.4 6.0 6 Stabilize Real Per Capita Benefits 3.2 7.1 5.4 6.1 7 Freeze Bend Points in Real Terms 2.5 6.9 5.3 5.9 8 Eliminate Earnings Ceiling 2.1 6.8 5.5 6.0 9 Eliminate Earnings Ceiling w/o Benefit Change 2.2 6.8 5.6 6.1 10 Increase Computation Years from 35 to 40 2.9 6.9 5.3 5.9 Birth Cohort 1970-74 0 Current Rules 3.7 6.4 5.6 5.9 1 38% Tax Hike Beginning in Year 2000 6.3 9.3 7.5 8.2 2 25% Benefit Cut Beginning in Year 2000 5.4 7.4 6.0 6.5 3 Acclerated Increase in NRA 5.0 7.2 5.9 6.3 4 CPI Indexing of Covered Earnings 4.5 6.7 5.7 6.1 5 Indexing Benefits by CPI Minus 1% 4.3 6.8 5.7 6.1 6 Stabilize Real Per Capita Benefits 6.4 8.0 6.2 6.8 7 Freeze Bend Points in Real Terms 4.0 6.9 5.8 6.2 8 Eliminate Earnings Ceiling 3.6 6.4 7.9 7.5 9 Eliminate Earnings Ceiling w/o Benefit Change 3.7 6.4 8.3 7.8 10 Increase Computation Years from 35 to 40 4.3 6.5 5.6 6.0 Birth Cohort 1995-00 0 Current Rules 1.3 5.9 5.5 5.7 1 38% Tax Hike Beginning in Year 2000 5.1 9.8 8.1 8.7 2 25% Benefit Cut Beginning in Year 2000 3.5 7.0 5.9 6.3 3 Acclerated Increase in NRA 2.5 6.6 5.7 6.0 4 CPI Indexing of Covered Earnings 2.4 6.3 5.6 5.8 5 Indexing Benefits by CPI Minus 1% 2.1 6.3 5.6 5.9 6 Stabilize Real Per Capita Benefits 7.9 9.2 6.6 7.4 7 Freeze Bend Points in Real Terms 2.3 6.7 5.8 6.1 8 Eliminate Earnings Ceiling 1.3 5.9 8.3 7.6 9 Eliminate Earnings Ceiling w/o Benefit Change 1.3 5.9 8.7 7.9 10 Increase Computation Years from 35 to 40 2.0 6.1 5.5 5.7 ____________________________________________________________________________ Source: Author's calculations.