H.R. 1700

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1700 Introduced in House (IH)]

<DOC>

119th CONGRESS
1st Session
H. R. 1700

To enhance Social Security benefits and ensure the long-term solvency 
of the Social Security program.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

February 27, 2025

Ms. Hoyle of Oregon (for herself, Ms. Schakowsky, Mr. Carter of 
Louisiana, Mr. Casar, Ms. Chu, Mr. Cohen, Mr. Deluzio, Ms. Lois Frankel 
of Florida, Ms. Jayapal, Mr. Khanna, Mr. McGovern, Ms. Moore of 
Wisconsin, Mr. Nadler, Ms. Norton, Ms. Pingree, Mr. Pocan, Mrs. 
Ramirez, Ms. Salinas, Ms. Tlaib, and Ms. Tokuda) introduced the 
following bill; which was referred to the Committee on Ways and Means, 
and in addition to the Committees on Education and Workforce, and 
Transportation and Infrastructure, 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 committee concerned

_______________________________________________________________________

A BILL

To enhance Social Security benefits and ensure the long-term solvency 
of the Social Security program.

Be it enacted by the Senate and House of Representatives 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 
Expansion Act''.
(b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Across-the-board benefit increase.
Sec. 3. Computation of cost-of-living increases.
Sec. 4. Increase in minimum benefit for lifetime low earners based on 
years in the workforce.
Sec. 5. Extended benefit eligibility for children who are full-time 
students.
Sec. 6. Payroll tax on remuneration up to contribution and benefit base 
and more than $250,000.
Sec. 7. Tax on net earnings from self-employment up to contribution and 
benefit base and more than $250,000.
Sec. 8. Tax on investment gain.
Sec. 9. Social Security Trust Fund established.

SEC. 2. ACROSS-THE-BOARD BENEFIT INCREASE.

(a) Increase of First Bend Point Percentage.--Section 
215(a)(1)(A)(i) of the Social Security Act (42 U.S.C. 415(a)(1)(A)(i)) 
is amended by striking ``90 percent'' and inserting ``95 percent''.
(b) Adjustment To Bend Point Amount.--
(1) In general.--Section 215(a)(1)(B) of the Social 
Security Act (42 U.S.C. 415(a)(1)(B)) is amended--
(A) by redesignating clause (iii) as clause (iv); 
and
(B) by inserting after clause (ii) the following 
new clause:
``(iii) For an individual who is eligible for an old-age or 
disability insurance benefit (or who dies before becoming 
eligible for such a benefit) in any calendar year after 2025, 
the amount determined for the individual under clause (ii) of 
this subparagraph for purposes of subparagraph (A)(i)(I) shall 
be increased by 18 percent.''.
(2) Conforming amendment.--Clause (iv) of section 
215(a)(1)(B) of the Social Security Act (42 U.S.C. 
415(a)(1)(B)), as redesignated by paragraph (1), is amended by 
inserting ``(after the application of clause (iii), when 
applicable)'' after ``clause (ii)''.
(c) Effective Date.--
(1) In general.--The amendments made by this section shall 
take effect on January 1, 2026, and shall apply with respect to 
monthly insurance benefits payable under title II of the Social 
Security Act (42 U.S.C. 401 et seq.) for months in calendar 
years beginning on or after such date.
(2) Recomputation of primary insurance amounts.--
(A) In general.--Notwithstanding section 215(f) of 
the Social Security Act (42 U.S.C. 415(f)), the 
Commissioner of Social Security shall recompute primary 
insurance amounts to the extent necessary to carry out 
the amendments to this section.
(B) Rule of application.--In recomputing the 
primary insurance amount of an individual who initially 
became eligible for old-age or disability insurance 
benefits before January 1, 2026, the Commissioner of 
Social Security shall apply the increase described in 
clause (iii) of section 215(a)(1)(B) of the Social 
Security Act (as added by subsection (b)(1)(B)) to the 
amount determined under clause (ii) of such section 
215(a)(1)(B) for the calendar year in which the 
individual initially became eligible for such benefits.

SEC. 3. COMPUTATION OF COST-OF-LIVING INCREASES.

(a) In General.--Section 215(i)(1) of the Social Security Act (42 
U.S.C. 415(i)(1)) is amended by adding at the end the following new 
subparagraph:
``(H) the term `Consumer Price Index' means the Consumer 
Price Index for Elderly Consumers (CPI-E, as published by the 
Bureau of Labor Statistics of the Department of Labor).''.
(b) Application to Pre-1979 Law.--
(1) In general.--Section 215(i)(1) of the Social Security 
Act as in effect in December 1978, and as applied in certain 
cases under the provisions of such Act as in effect after 
December 1978, is amended by adding at the end the following 
new subparagraph:
``(D) the term `Consumer Price Index' means the Consumer 
Price Index for Elderly Consumers (CPI-E, as published by the 
Bureau of Labor Statistics of the Department of Labor).''.
(2) Conforming change.--Section 215(i)(4) of the Social 
Security Act (42 U.S.C. 415(i)(4)) is amended--
(A) by striking ``and by section 9001'' and 
inserting ``, section 9001''; and
(B) by inserting ``and section 3 of the Social 
Security Expansion Act,'' after ``1986,''.
(c) No Effect on Adjustments Under Other Laws.--Section 215(i) of 
the Social Security Act (42 U.S.C. 415(i)) is amended by adding at the 
end the following:
``(6) Any provision of law (other than in this title, title VIII, 
or title XVI) which provides for adjustment of an amount based on a 
change in benefit amounts resulting from a determination made under 
this subsection shall be applied and administered without regard to the 
amendments made by section 3 of the Social Security Expansion Act, and, 
for purposes of making such an adjustment under such a provision, this 
subsection as in effect on the day before the date of enactment of such 
Act shall continue to apply.''.
(d) Publication of Consumer Price Index for Elderly Consumers.--The 
Bureau of Labor Statistics of the Department of Labor shall prepare and 
publish the index authorized by section 191 of the Older Americans 
Amendments Act of 1987 (29 U.S.C. 2 note) for each calendar month, 
beginning with July of the calendar year following the calendar year in 
which this Act is enacted, and such index shall be known as the 
``Consumer Price Index for Elderly Consumers''.
(e) Effective Date.--The amendments made by subsection (a) shall 
apply to determinations made with respect to cost-of-living computation 
quarters (as defined in section 215(i)(1)(B) of the Social Security Act 
(42 U.S.C. 415(i)(1)(B))) ending on or after September 30 of the second 
calendar year following the calendar year in which this Act is enacted.

SEC. 4. INCREASE IN MINIMUM BENEFIT FOR LIFETIME LOW EARNERS BASED ON 
YEARS IN THE WORKFORCE.

(a) In General.--Section 215(a)(1) of the Social Security Act (42 
U.S.C. 415(a)(1)) is amended--
(1) by redesignating subparagraph (D) as subparagraph (E); 
and
(2) by inserting after subparagraph (C) the following new 
subparagraph:
``(D)(i) Effective with respect to the benefits of individuals who 
become eligible for old-age insurance benefits or disability insurance 
benefits (or die before becoming so eligible) after 2025, no primary 
insurance amount computed under subparagraph (A) may be less than the 
greater of--
``(I) the minimum monthly amount computed under 
subparagraph (C); or
``(II) in the case of an individual who has more than 10 
years of work (as defined in clause (iv)(I)), the alternative 
minimum amount determined under clause (ii).
``(ii)(I) The alternative minimum amount determined under this 
clause is the applicable percentage of \1/12\ of the annual dollar 
amount determined under clause (iii) for the year in which the amount 
is determined.
``(II) For purposes of subclause (I), the applicable percentage is 
the percentage specified in connection with the number of years of 
work, as set forth in the following table:

``If the number of years The applicable
of work is: percentage is:
11........................................... 6.25 percent 
12........................................... 12.50 percent 
13........................................... 18.75 percent 
14........................................... 25.00 percent 
15........................................... 31.25 percent 
16........................................... 37.50 percent 
17........................................... 43.75 percent 
18........................................... 50.00 percent 
19........................................... 56.25 percent 
20........................................... 62.50 percent 
21........................................... 68.75 percent 
22........................................... 75.00 percent 
23........................................... 81.25 percent 
24........................................... 87.50 percent 
25........................................... 93.75 percent 
26........................................... 100.00 percent 
27........................................... 106.25 percent 
28........................................... 112.50 percent 
29........................................... 118.75 percent 
30 or more................................... 125.00 percent.

``(iii) The annual dollar amount determined under this clause is--
``(I) for calendar year 2026, the poverty guideline for 
2025; and
``(II) for any calendar year after 2026, the annual dollar 
amount for 2026 multiplied by the ratio of--
``(aa) the national average wage index (as defined 
in section 209(k)(1)) for the second calendar year 
preceding the calendar year for which the determination 
is made, to
``(bb) the national average wage index (as so 
defined) for 2024.
``(iv) For purposes of this subparagraph--
``(I) the term `year of work' means, with respect to an 
individual, a year to which 4 quarters of coverage have been 
credited based on such individual's wages and self-employment 
income; and
``(II) the term `poverty guideline for 2025' means the 
annual poverty guideline for 2025 (as updated annually in the 
Federal Register by the Department of Health and Human Services 
under the authority of section 673(2) of the Omnibus Budget 
Reconciliation Act of 1981) as applicable to a single 
individual.''.
(b) Recomputation.--Notwithstanding section 215(f)(1) of the Social 
Security Act, the Commissioner of Social Security shall recompute 
primary insurance amounts originally computed for months prior to 
November 2025 to the extent necessary to carry out the amendments made 
by this section.
(c) Conforming Amendment.--Section 209(k)(1) of such Act (42 U.S.C. 
409(k)(1)) is amended by inserting ``215(a)(1)(E),'' after 
``215(a)(1)(D),''.

SEC. 5. EXTENDED BENEFIT ELIGIBILITY FOR CHILDREN WHO ARE FULL-TIME 
STUDENTS.

(a) In General.--
(1) In general.--Section 202(d) of the Social Security Act 
(42 U.S.C. 402(d)) is amended--
(A) in paragraph (1)--
(i) in subparagraph (B)--
(I) by striking ``or (ii)'' and 
inserting ``(ii)''; and
(II) by inserting ``or (iii) was 
the child of an individual entitled to 
disability insurance benefits or of an 
individual who dies a fully or 
currently insured individual and was a 
full-time student at an educational 
institution and had not attained the 
age of 22,'' after ``22,'';
(ii) in subparagraph (E)--
(I) by striking ``and (ii)'' and 
inserting ``(ii)''; and
(II) by inserting ``and (iii) is 
not a full-time student at an 
educational institution during any part 
of such month (in the case of a child 
who is the child of an individual 
entitled to disability insurance 
benefits or of an individual who dies a 
fully or currently insured 
individual)'' before the comma at the 
end;
(iii) in subparagraph (F), by striking 
clauses (i) and (ii) and inserting the 
following:
``(i) in the case of a child who is the child of an 
individual entitled to old-age insurance benefits--
``(I) the first month during no part of 
which the child is a full-time elementary or 
secondary school student, or
``(II) the month in which the child attains 
the age of 19, and
``(ii) in the case of a child who is the child of 
an individual entitled to disability insurance benefits 
or of an individual who dies a fully or currently 
insured individual--
``(I) the first month during no part of 
which the child is a full-time student at an 
educational institution, or
``(II) the month in which the child attains 
the age of 22,''; and
(iv) in subparagraph (G), by striking 
clauses (ii) and (iii) and inserting the 
following:
``(ii) in the case of a child who is the child of 
an individual entitled to old-age insurance benefits--
``(I) the first month during no part of 
which the child is a full-time elementary or 
secondary school student, or
``(II) the month in which the child attains 
the age of 19, and
``(iii) in the case of a child who is the child of 
an individual entitled to disability insurance benefits 
or of an individual who dies a fully or currently 
insured individual--
``(I) the first month during no part of 
which the child is a full-time student at an 
educational institution, or
``(II) the month in which the child attains 
the age of 22,'';
(B) in paragraph (6)--
(i) in subparagraph (A)--
(I) by striking ``or (ii)'' and 
inserting ``(ii)''; and
(II) by inserting ``or (iii) is the 
child of an individual entitled to 
disability insurance benefits or of an 
individual who dies a fully or 
currently insured individual and is a 
full-time student at an educational 
institution and has not attained the 
age of 22,'' after ``22,''; and
(ii) by striking subparagraphs (D) and (E) 
and inserting the following:
``(D) the earlier of--
``(i) in the case of a child who is the child of an 
individual entitled to old-age insurance benefits--
``(I) the first month during no part of 
which the child is a full-time elementary or 
secondary school student; or
``(II) the month in which the child attains 
the age of 19; and
``(ii) in the case of a child who is the child of 
an individual entitled to disability insurance benefits 
or of an individual who dies a fully or currently 
insured individual--
``(I) the first month during no part of 
which the child is a full-time student at an 
educational institution; or
``(II) the month in which the child attains 
the age of 22,
but only if the child is not under a disability (as so 
defined) in such earlier month; or
``(E) if the child was under a disability (as so defined), 
the termination month (as defined in paragraph (1)(G)(i)), 
subject to section 223(e), or (if later) the earlier of--
``(i) in the case of a child who is the child of an 
individual entitled to old-age insurance benefits--
``(I) the first month during no part of 
which the child is a full-time elementary or 
secondary school student; or
``(II) the month in which the child attains 
the age of 19; and
``(ii) in the case of a child who is the child of 
an individual entitled to disability insurance benefits 
or of an individual who dies a fully or currently 
insured individual--
``(I) the first month during no part of 
which the child is a full-time student at an 
educational institution; or
``(II) the month in which the child attains 
the age of 22.''; and
(C) in paragraph (7), by adding at the end the 
following new paragraphs:
``(E) The term `full-time student at an educational 
institution' means an individual who is in full-time attendance 
as a student at an elementary school (but only in the case of 
an individual who has not attained the age of 19) or a 
secondary school or an institution described in section 102 of 
the Higher Education Act of 1965 (20 U.S.C. 1002), as 
determined by the Commissioner of Social Security (in 
accordance with regulations prescribed by the Commissioner) in 
the light of the standards and practices of the schools and 
institutions involved, except that no individual shall be 
considered a `full-time student at an educational institution' 
if the individual is paid by his employer while attending a 
school or institution at the request, or pursuant to a 
requirement, of his employer. An individual shall not be 
considered a `full-time student at an educational institution' 
for the purpose of this section while that individual is 
confined in a jail, prison, or other penal institution or 
correctional facility, pursuant to the individual's conviction 
of an offense (committed after the effective date of this 
sentence) which constituted a felony under applicable law. An 
individual who is determined to be a full-time student at an 
educational institution shall be deemed to be such a student 
throughout the month with respect to which such determination 
is made.
``(F) Except to the extent provided in such regulations, an 
individual shall be deemed to be a full-time student at a 
school or educational institution during any period of 
nonattendance at a school or institution at which he has been 
in full-time attendance if (i) such period is 4 calendar months 
or less, and (ii) the individual shows to the satisfaction of 
the Commissioner of Social Security that the individual intends 
to continue to be in full-time attendance at a secondary school 
or institution described in section 102 of the Higher Education 
Act of 1965 (20 U.S.C. 1002) immediately following such period. 
An individual who does not meet the requirement of clause (ii) 
with respect to such period of nonattendance shall be deemed to 
have met such requirement (as of the beginning of such period) 
if he is in full-time attendance at such a school or 
institution immediately following such period.
``(G) A child who attains age 22 at a time when the child 
is a full-time student of an educational institution (as 
defined in subparagraph (E) and without application of 
subparagraph (F)) but has not (at such time) completed the 
requirements for, or received, a diploma or equivalent 
certificate from a secondary school (as defined in subparagraph 
(C)(i)) or, if such child is a student at an educational 
institution described in section 102 of the Higher Education 
Act of 1965, a diploma, degree, or equivalent degree from such 
an institution, shall be deemed (for purposes of determining 
whether the child's entitlement to benefits under this 
subsection has terminated under paragraph (1)(F) and for 
purposes of determining his initial entitlement to such 
benefits under clause (iii) of paragraph (1)(B)) not to have 
attained such age until the first day of the first month 
following the end of the quarter or semester in which he is 
enrolled at such time (or, if the secondary school or 
educational institution in which he is enrolled is not operated 
on a quarter or semester system, until the first day of the 
first month following the completion of the course in which the 
child is so enrolled or until the first day of the third month 
beginning after such time, whichever first occurs).''.
(2) Effective date.--The amendments made by this subsection 
shall apply to child's insurance benefits that are payable for 
months beginning on or after January 1, 2026.
(b) Railroad Retirement Act.--
(1) Section 2(d) of the Railroad Retirement Act of 1974 (45 
U.S.C. 232(2)(d)) is amended--
(A) in clause (iii) of paragraph (1), by striking 
``will be less than nineteen years of age and a full-
time elementary or secondary school student'' and 
inserting ``will be less than 22 years of age and a 
full-time student at an educational institution (as 
defined in section 202(d)(7)(E) of the Social Security 
Act)''; and
(B) in paragraph (4)--
(i) by striking ``(defining the terms 
`full-time elementary or secondary school 
student' and `elementary or secondary 
school')'';
(ii) by striking ``nineteen'' and inserting 
``22'';
(iii) by striking ``full-time elementary or 
secondary school student'' and inserting 
``full-time student at an educational 
institution'';
(iv) by striking ``subparagraph (A) of 
paragraph (7) of section 202(d) of the Social 
Security Act and without the application of 
subparagraph (B)'' and inserting ``subparagraph 
(E) of section 202(d)(7) of the Social Security 
Act, without regard to subparagraph (F) of such 
section'';
(v) by striking ``a diploma or equivalent 
certificate from a secondary school (as defined 
in section 202(d)(7)(c)(i) of the Social 
Security Act)'' and inserting ``a diploma, 
degree, or equivalent certificate from a 
secondary school or educational institution 
described in section 202(d)(7)(E) of the Social 
Security Act''; and
(vi) by striking ``elementary or secondary 
school in which he is enrolled'' and inserting 
``school or institution in which the child is 
enrolled''.
(2) Section 5(c)(7) of the Railroad Retirement Act of 1974 
(45 U.S.C. 235(c)(7)) is amended--
(A) by striking ``full-time elementary or secondary 
school student'' and inserting ``full-time student at 
an educational institution''; and
(B) by striking ``19'' and inserting ``22''.
(3) The amendments made by this subsection shall apply to 
benefits under the Railroad Retirement Act of 1974 that are 
payable for months beginning on or after January 1, 2026.

SEC. 6. PAYROLL TAX ON REMUNERATION UP TO CONTRIBUTION AND BENEFIT BASE 
AND MORE THAN $250,000.

(a) In General.--Paragraph (1) of section 3121(a) of the Internal 
Revenue Code of 1986 is amended to read as follows:
``(1) in the case of taxes imposed by sections 3101(a) and 
3111(a), for any calendar year in which the contribution and 
benefit base (as determined under section 230 of the Social 
Security Act) is less than $250,000, so much of the 
remuneration (other than remuneration referred to in the 
succeeding paragraphs of this subsection) with respect to 
employment that has been paid to an individual by an employer 
during the calendar year as exceeds such contribution and 
benefit base but does not exceed $250,000;''.
(b) Conforming Amendments.--
(1) Successor employers.--Section 3121 of the Internal 
Revenue Code of 1986 is amended by adding at the end the 
following new subsection:
``(aa) Special Rules for Successor Employers.--For purposes of 
subsection (a)(1), if an employer (hereinafter referred to as successor 
employer) during any calendar year acquires substantially all the 
property used in a trade or business of another employer (hereinafter 
referred to as a predecessor), or used in a separate unit of a trade or 
business of a predecessor, and immediately after the acquisition 
employs in his trade or business an individual who immediately prior to 
the acquisition was employed in the trade or business of such 
predecessor, then, for the purpose of determining the amount of 
remuneration paid by the successor employer under such subsection, any 
remuneration (other than remuneration referred to in the paragraphs 
succeeding paragraph (1) of subsection (a)) with respect to employment 
paid (or considered under this subsection as having been paid) to such 
individual by such predecessor during such calendar year and prior to 
such acquisition shall be considered as having been paid by such 
successor employer.''.
(2) Application to railroad retirement taxes.--Clause (i) 
of section 3231(e)(2)(A) of such Code is amended to read as 
follows:
``(i) In general.--For any calendar year in 
which the applicable base is less than 
$250,000, the term `compensation' does not 
include so much of the remuneration paid during 
any calendar year to an individual by an 
employer for services rendered as an employee 
to such employer as exceeds the applicable base 
but does not exceed $250,000.''.
(c) Effective Date.--The amendments made by this section shall 
apply to remuneration paid on or after January 1 of the first calendar 
year that begins after the date of enactment of this Act.

SEC. 7. TAX ON NET EARNINGS FROM SELF-EMPLOYMENT UP TO CONTRIBUTION AND 
BENEFIT BASE AND MORE THAN $250,000.

(a) In General.--Paragraph (1) of section 1402(b) of the Internal 
Revenue Code of 1986 is amended to read as follows:
``(1) in the case of the tax imposed by section 1401(a) for 
any taxable year beginning in a calendar year in which the 
contribution and benefit base (as determined under section 230 
of the Social Security Act) is less than $250,000, the excess 
(if any) of--
``(A) so much of the net earnings from self-
employment which is in excess of--
``(i) an amount equal to the contribution 
and benefit base (as determined under section 
230 of the Social Security Act) which is 
effective for the calendar year in which such 
taxable year begins, minus
``(ii) the amount of the wages paid to such 
individual during such taxable years, over
``(B) the sum of--
``(i) the excess (if any) of--
``(I) the net earning from self-
employment reduced by the excess (if 
any) of subparagraph (A)(i) over 
subparagraph (A)(ii), over
``(II) $250,000, reduced by such 
contribution and benefit base, plus
``(ii) the amount of the wages paid to such 
individual during such taxable year in excess 
of such contribution and benefit base and not 
in excess of $250,000; or''.
(b) Effective Date.--The amendments made by this section shall 
apply to net earnings from self-employment derived, and remuneration 
paid, on or after January 1 of the first calendar year that begins 
after the date of enactment of this Act.

SEC. 8. TAX ON INVESTMENT GAIN.

(a) Increase in Tax.--
(1) In general.--Subsection (a) of section 1411 of the 
Internal Revenue Code of 1986 is amended by striking ``3.8 
percent'' each place it appears and inserting ``16.2 percent''.
(2) Conforming amendment.--The heading for chapter 2A of 
the Internal Revenue Code of 1986 is amended by striking 
``UNEARNED INCOME MEDICARE CONTRIBUTION'' and inserting 
``ADDITIONAL TAX ON UNEARNED INCOME IN LIEU OF SOCIAL SECURITY 
AND MEDICARE TAXES''.
(b) Inclusion of Active Trade or Business Income.--
(1) In general.--Section 1411(c)(1)(A) of the Internal 
Revenue Code of 1986 is amended--
(A) in clause (i), by striking ``, other than such 
income which is derived in the ordinary course of a 
trade or business not described in paragraph (2)'',
(B) in clause (ii), by striking ``described in 
paragraph (2)'' and inserting ``(determined under rules 
similar to the rules of paragraphs (5) and (6) of 
section 469(c))'', and
(C) in clause (iii), by striking ``other than 
property held in a trade or business not described in 
paragraph (2)''.
(2) Denial of deduction for net operating losses.--Section 
1411(c)(1)(B) of such Code is amended by inserting ``(other 
than the deduction for net operating losses provided in section 
172)'' after ``net gain''.
(3) Conforming amendments.--
(A) Section 1411(c) of such Code is amended by 
striking paragraphs (2), (3), and (4) and by 
redesignating paragraphs (5) and (6) as paragraphs (2) 
and (3), respectively.
(B) Section 1411(c)(3) of such Code, as 
redesignated by subparagraph (A), is amended to read as 
follows:
``(3) Special rule.--Net investment income shall not 
include--
``(A) any item taken into account in determining 
self-employment income for such taxable year on which a 
tax is imposed by section 1401, or
``(B) any item taken into account in determining 
wages received with respect to employment for such 
taxable year on which a tax is imposed by section 
3101.''.
(c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of enactment of this 
Act.

SEC. 9. SOCIAL SECURITY TRUST FUND ESTABLISHED.

(a) In General.--Section 201(a) of the Social Security Act (42 
U.S.C. 401(a)) is amended to read as follows:
``(a) There is hereby created on the books of the Treasury of the 
United States a trust fund to be known as the `Social Security Trust 
Fund'. The Social Security Trust Fund shall consist of the securities 
held by the Secretary of the Treasury for the Federal Old-Age and 
Survivors Insurance Trust Fund and the Federal Disability Insurance 
Trust Fund and the amount standing to the credit of the Federal Old-Age 
and Survivors Insurance Trust Fund and the Federal Disability Insurance 
Trust Fund on the books of the Treasury on January 1 of the first 
calendar year beginning after the date of the enactment of section 9 of 
the Social Security Expansion Act, which securities and amount the 
Secretary of the Treasury is authorized and directed to transfer to the 
Social Security Trust Fund, and, in addition, such gifts and bequests 
as may be made as provided in subsection (i)(1), and such amounts as 
may be appropriated to, or deposited in, the Social Security Trust Fund 
as hereinafter provided. There is hereby appropriated to the Social 
Security Trust Fund for the first fiscal year that begins after the 
date of the enactment of section 9 of the Social Security Expansion 
Act, and for each fiscal year thereafter, out of any moneys in the 
Treasury not otherwise appropriated, amounts equivalent to 100 percent 
of--
``(1) the taxes imposed by chapter 21 (other than sections 
3101(b) and 3111(b)) of the Internal Revenue Code of 1986 with 
respect to wages (as defined in section 3121 of such Code) 
reported to the Secretary of the Treasury pursuant to subtitle 
F of the Internal Revenue Code of 1986, as determined by the 
Secretary of the Treasury by applying the applicable rates of 
tax under such chapter (other than sections 3101(b) and 
3111(b)) to such wages, which wages shall be certified by the 
Commissioner of Social Security on the basis of the records of 
wages established and maintained by such Commissioner in 
accordance with such reports;
``(2) the taxes imposed by chapter 2 (other than section 
1401(b)) of the Internal Revenue Code of 1986 with respect to 
self-employment income (as defined in section 1402 of such 
Code) reported to the Secretary of the Treasury on tax returns 
under subtitle F of such Code, as determined by the Secretary 
of the Treasury by applying the applicable rate of tax under 
such chapter (other than section 1401(b)) to such self-
employment income, which self-employment income shall be 
certified by the Commissioner of Social Security on the basis 
of the records of self-employment income established and 
maintained by the Commissioner of Social Security in accordance 
with such returns; and
``(3) 62 percent of the taxes imposed under section 1411 of 
the Internal Revenue Code of 1986.
The amounts appropriated by paragraphs (1), (2), and (3) shall be 
transferred from time to time from the general fund in the Treasury to 
the Social Security Trust Fund, such amounts to be determined on the 
basis of estimates by the Secretary of the Treasury of the taxes, 
specified in paragraphs (1), (2), and (3), paid to or deposited into 
the Treasury; and proper adjustments shall be made in amounts 
subsequently transferred to the extent prior estimates were in excess 
of or were less than the taxes specified in such paragraphs. All 
amounts transferred to the Social Security Trust Fund under the 
preceding sentence shall be invested by the Managing Trustee in the 
same manner and to the same extent as the other assets of the Trust 
Fund. Notwithstanding the preceding sentence, in any case in which the 
Secretary of the Treasury determines that the assets of the Trust Fund 
would otherwise be inadequate to meet the Trust Fund's obligations for 
any month, the Secretary of the Treasury shall transfer to the Trust 
Fund on the first day of such month the total amount which would have 
been transferred to the Trust Fund under this section as in effect on 
October 1, 1990; and the Trust Fund shall pay interest to the general 
fund on the amount so transferred on the first day of any month at a 
rate (calculated on a daily basis, and applied against the difference 
between the amount so transferred on such first day and the amount 
which would have been transferred to the Trust Fund up to that day 
under the procedures in effect on January 1, 1983) equal to the rate 
earned by the investments of the Trust Fund in the same month under 
subsection (d).''.
(b) Required Actuarial Analysis.--Section 201(c) of the Social 
Security Act is amended by striking the fourth sentence in the matter 
following paragraph (5) and inserting the following: ``Such report 
shall also include actuarial analysis of the benefit cost with respect 
to disabled beneficiaries and their auxiliaries, to retired 
beneficiaries and their auxiliaries, and to survivor beneficiaries.''.
(c) Board of Trustees.--
(1) Board of trustees of social security trust fund.--
Section 201(c) of the Social Security Act, as amended by 
subsection (b) of this section, is further amended in the 
matter preceding paragraph (1) by striking ``the Federal Old-
Age and Survivors Insurance Trust Fund and the Federal 
Disability Insurance Trust Fund (hereinafter in this title 
called the `Trust Funds')'' and inserting ``the Social Security 
Trust Fund (in this title referred to as the `Trust Fund')''.
(2) Continuity of board of trustees.--The Board of Trustees 
of the Social Security Trust Fund created by the amendment made 
by subsection (a) shall be a continuous body with the Board of 
Trustees of the Federal Old-Age and Survivors Insurance Trust 
Fund and the Federal Disability Insurance Trust Fund in 
operation prior to the effective date of such amendment. 
Individuals serving as members of the Board of Trustees of the 
Federal Old-Age and Survivors Insurance Trust Fund and the 
Federal Disability Insurance Trust Fund as of the effective 
date of such amendment shall serve the remainder of their term 
as members of the Board of Trustees of the Social Security 
Trust Fund.
(d) Conforming Amendments Related to Social Security Trust Fund.--
(1) Amendment to section heading.--The section heading for 
section 201 of the Social Security Act is amended to read as 
follows: ``social security trust fund''.
(2) Board of trustees.--Section 201(c) of such Act, as 
amended by subsections (b) and (c)(1), is further amended--
(A) in the matter preceding paragraph (1), by 
striking ``Board of Trustees of the Trust Funds'' and 
inserting ``Board of Trustees of the Trust Fund'';
(B) in paragraph (1), by striking ``Trust Funds'' 
and inserting ``Trust Fund'';
(C) in paragraph (2)--
(i) by striking ``Trust Funds'' and 
inserting ``Trust Fund''; and
(ii) by striking ``their'' and inserting 
``its'';
(D) in paragraph (3), by striking ``either of the 
Trust Funds'' and inserting ``the Trust Fund'';
(E) in paragraph (5)--
(i) by striking ``managing the Trust 
Funds'' and inserting ``managing the Trust 
Fund''; and
(ii) by striking ``Trust Funds are'' and 
inserting ``Trust Fund is'';
(F) in the matter following paragraph (5), by 
striking ``Trust Funds'' each place it appears and 
inserting ``Trust Fund''; and
(G) in the second sentence in the matter following 
paragraph (5), by striking ``whether the Federal Old-
Age and Survivors Insurance Trust Fund and the Federal 
Disability Insurance Trust Fund, individually and 
collectively, are'' and inserting ``whether the Social 
Security Trust Fund is''.
(3) Investments.--Section 201 of such Act is amended in 
subsections (d) and (e) by striking ``Trust Funds'' each place 
it appears and inserting ``Trust Fund''.
(4) Crediting of interest and proceeds to trust funds.--
Section 201(f) of such Act is amended--
(A) by striking ``the Federal Old-Age and Survivors 
Insurance Trust Fund and the Federal Disability 
Insurance Trust Fund shall be credited to and form a 
part of the Federal Old-Age and Survivors Insurance 
Trust Fund and the Disability Insurance Trust Fund, 
respectively'' and inserting ``the Social Security 
Trust Fund shall be credited to and form a part of the 
Social Security Trust Fund'';
(B) by striking ``either of the Trust Funds'' and 
inserting ``the Trust Fund''; and
(C) by striking ``such Trust Fund'' and inserting 
``the Trust Fund''.
(5) Administrative costs.--Section 201(g) of such Act is 
amended--
(A) in paragraph (1)--
(i) in subparagraph (A), by striking ``Of 
the amounts authorized to be made available out 
of the Federal Old-Age and Survivors Insurance 
Trust Fund and the Federal Disability Insurance 
Trust Fund under the preceding sentence'' and 
all that follows through ``(Public Law 103-
296).''; and
(ii) in subparagraph (B)(i)--
(I) by striking subclauses (II) and 
(III) and inserting the following:
``(II) the portion of such costs which should have 
been borne by the Social Security Trust Fund,''; and
(II) by redesignating subclauses 
(IV) and (V) as subclauses (III) and 
(IV);
(B) in paragraph (2)--
(i) by striking ``Trust Funds'' and 
inserting ``Trust Fund''; and
(ii) by striking the last sentence; and
(C) in paragraph (4), by striking ``Trust Funds'' 
each place it appears and inserting ``Trust Fund''.
(6) Benefit payments.--Section 201(h) of such Act is 
amended to read as follows:
``(h) All benefit payments required to be made under this title 
shall be made only from the Social Security Trust Fund.''.
(7) Gifts.--Section 201(i) of such Act is amended--
(A) in paragraph (1), by striking ``the Federal 
Old-Age and Survivors Insurance Trust Fund, the Federal 
Disability Insurance Trust Fund'' and inserting ``the 
Social Security Trust Fund''; and
(B) in paragraph (2)(B), by striking ``the Federal 
Old-Age and Survivors Insurance Trust Fund'' and 
inserting ``the Social Security Trust Fund''.
(8) Travel expenses.--Section 201(j) of such Act is amended 
by striking ``the Federal Old-Age and Survivors Insurance Trust 
Fund, or the Federal Disability Insurance Trust Fund (as 
determined appropriate by the Commissioner of Social 
Security)'' and inserting ``the Social Security Trust Fund''.
(9) Demonstration projects.--Section 201(k) of such Act is 
amended by striking ``the Federal Disability Insurance Trust 
Fund and the Federal Old-Age and Survivors Insurance Trust 
Fund, as determined appropriate by the Commissioner of Social 
Security'' and inserting ``the Social Security Trust Fund''.
(10) Benefit checks.--Section 201(m) of such Act is 
amended--
(A) in paragraph (2), by striking ``each of the 
Trust Funds'' and inserting ``the Social Security Trust 
Fund'';
(B) in paragraph (3), by striking ``one of the 
Trust Funds'' and inserting ``the Trust Fund''; and
(C) by striking ``such Trust Fund'' each place it 
appears and inserting ``the Trust Fund''.
(11) Conforming repeals.--
(A) In general.--Section 201 of such Act is amended 
by striking subsections (b), (l), and (n).
(B) Redesignations.--Section 201 of such Act is 
further amended--
(i) by redesignating subsections (c) 
through (j) as subsections (b) through (i), 
respectively;
(ii) by redesignating subsection (k) as 
subsection (j); and
(iii) by redesignating subsection (m) as 
subsection (k).
(C) References to redesignated sections.--
(i) Section 201(a) of such Act, as amended 
by subsection (a) of this section, is further 
amended--
(I) by striking ``subsection 
(i)(1)'' and inserting ``subsection 
(h)(1)''; and
(II) by striking ``subsection (d)'' 
and inserting ``subsection (c)''.
(ii) Section 1131(b)(1) of such Act is 
amended by striking ``section 201(g)(1)'' and 
inserting ``section 201(f)(1)''.
(e) Other Conforming Amendments to Social Security Act.--
(1) Title ii.--Title II of the Social Security Act (42 
U.S.C. 401 et seq.) is amended--
(A) in section 202(x)(3)(B)(iii), by striking ``the 
Federal Old-Age and Survivors Insurance Trust Fund and 
the Federal Disability Insurance Trust Fund, as 
appropriate,'' and inserting ``the Social Security 
Trust Fund'';
(B) in section 206(d)(5), by striking ``the Federal 
Old-Age and Survivors Insurance Trust Fund and the 
Federal Disability Insurance Trust Fund, as 
appropriate'' and inserting ``the Social Security Trust 
Fund'';
(C) in section 206(e)(3)(B), by striking ``the 
Federal Old-Age and Survivors Insurance Trust Fund and 
the Federal Disability Insurance Trust Fund'' and 
inserting ``the Social Security Trust Fund'';
(D) in section 208(b)(5)(A), by striking ``the 
Federal Old-Age and Survivors Insurance Trust Fund, or 
the Federal Disability Insurance Trust Fund, as 
appropriate'' and inserting ``the Social Security Trust 
Fund'';
(E) in section 215(i)(1)(F)--
(i) in clause (i)--
(I) by striking ``the combined 
balance in the Federal Old-Age and 
Survivors Insurance Trust Fund and the 
Federal Disability Insurance Trust 
Fund'' and inserting ``the balance in 
the Social Security Trust Fund''; and
(II) by striking ``and reduced by 
the outstanding amount of any loan 
(including interest thereon) 
theretofore made to either such Fund 
from the Federal Hospital Insurance 
Trust Fund under section 201(l)''; and
(ii) in clause (ii)--
(I) by striking ``the Federal Old-
Age and Survivors Insurance Trust Fund 
and the Federal Disability Insurance 
Trust Fund'' and inserting ``the Social 
Security Trust Fund''; and
(II) by striking ``(other than 
payments'' and all that follows through 
``from that Account'';
(F) in section 217(g)(2), by inserting after the 
first sentence the following: ``For purposes of any 
such revision of the amount determined under paragraph 
(1) that occurs in a year that begins after the year in 
which the Social Security Expansion Act is enacted, any 
reference in such paragraph to the Federal Old-Age and 
Survivors Insurance Trust Fund or the Federal 
Disability Insurance Trust Fund shall be deemed to be a 
reference to the Social Security Trust Fund.'';
(G) in section 221(e)--
(i) by striking ``Trust Funds'' each place 
it appears and inserting ``Trust Fund''; and
(ii) by striking the last sentence;
(H) in section 221(f), by striking ``Trust Funds'' 
and inserting ``Trust Fund'';
(I) in section 222(d)--
(i) in the section heading, by striking 
``Trust Funds'' and inserting ``Trust Fund'';
(ii) in paragraph (1), by striking ``to the 
end that savings will accrue to the Trust Funds 
as a result of rehabilitating such individuals, 
there are authorized to be transferred from the 
Federal Old-Age and Survivors Insurance Trust 
Fund and the Federal Disability Insurance Trust 
Fund'' and inserting ``to the end that savings 
will accrue to the Trust Fund as a result of 
rehabilitating such individuals, there are 
authorized to be transferred from the Social 
Security Trust Fund''; and
(iii) by amending paragraph (4) to read as 
follows:
``(4) The Commissioner of Social Security shall determine according 
to such methods and procedures as the Commissioner may deem appropriate 
the total amount to be reimbursed for the cost of services under this 
subsection.'';
(J) in section 228(g)--
(i) in the section heading, by striking 
``Federal Old-Age and Survivors Insurance Trust 
Fund'' and inserting ``Social Security Trust 
Fund''; and
(ii) in the matter preceding paragraph (1), 
by striking ``Federal Old-Age and Survivors 
Insurance Trust Fund'' and inserting ``Social 
Security Trust Fund'';
(K) in section 231(c), by striking ``Trust Funds'' 
each place it appears and inserting ``Trust Fund''; and
(L) in section 234(a)(1), by striking ``Trust 
Funds'' and inserting ``Trust Fund''.
(2) Title vii.--Title VII of the Social Security Act (42 
U.S.C. 901 et seq.) is amended--
(A) in section 703(j), by striking ``Federal 
Disability Insurance Trust Fund, the Federal Old-Age 
and Survivors Insurance Trust Fund,'' and inserting 
``Social Security Trust Fund'';
(B) in section 708(c), by striking ``the `OASDI 
trust fund ratio' under section 201(l),'' after 
``computing'';
(C) in section 709--
(i) in subsection (a), by striking 
``Federal Old-Age and Survivors Insurance Trust 
Fund and the Federal Disability Insurance Trust 
Fund'' and inserting ``Social Security Trust 
Fund''; and
(ii) in subsection (b)--
(I) in paragraph (1), by striking 
``section 201(l) or''; and
(II) in paragraph (2), by striking 
``Federal Old-Age and Survivors 
Insurance Trust Fund and the Federal 
Disability Insurance Trust Fund'' and 
inserting ``Social Security Trust 
Fund''; and
(D) in section 710--
(i) in subsection (a), by striking 
``Federal Old-Age and Survivors Insurance Trust 
Fund and the Federal Disability Insurance Trust 
Fund'' and inserting ``Social Security Trust 
Fund''; and
(ii) in subsection (b)--
(I) by striking ``any Trust Fund 
specified in subsection (a)'' and 
inserting ``the Social Security Trust 
Fund''; and
(II) by striking ``payments from 
any such Trust Fund'' and inserting 
``payments from the Social Security 
Trust Fund''.
(3) Title xi.--Title XI of the Social Security Act (42 
U.S.C. 1301 et seq.) is amended--
(A) in section 1106(b), by striking ``the Federal 
Old-Age and Survivors Insurance Trust Fund, the Federal 
Disability Insurance Trust Fund'' and inserting ``the 
Social Security Trust Fund'';
(B) in section 1129(e)(2)(A), by striking ``the 
Federal Old-Age and Survivors Insurance Trust Fund or 
the Federal Disability Insurance Trust Fund, as 
determined appropriate by the Secretary'' and inserting 
``the Social Security Trust Fund'';
(C) in sections 1131(b)(2) and 1140(c)(2), by 
striking ``the Federal Old-Age and Survivors Insurance 
Trust Fund'' and inserting ``the Social Security Trust 
Fund'';
(D) in section 1145(c)--
(i) by striking paragraphs (1) and (2) and 
inserting the following:
``(1) the Social Security Trust Fund;''; and
(ii) by redesignating paragraphs (3) and 
(4) as paragraphs (2) and (3), respectively; 
and
(E) in section 1148(j)(1)(A)--
(i) in the first sentence, by striking 
``the Federal Old-Age and Survivors Insurance 
Trust Fund and the Federal Disability Insurance 
Trust Fund'' and inserting ``the Social 
Security Trust Fund''; and
(ii) by striking the second sentence.
(4) Title xviii.--Title XVIII of the Social Security Act 
(42 U.S.C. 1395) is amended--
(A) in section 1817(g), by striking ``Federal Old-
Age and Survivors Insurance Trust Fund and from the 
Federal Disability Insurance Trust Fund'' and inserting 
``Social Security Trust Fund'';
(B) in section 1840(a)(2), by striking ``Federal 
Old-Age and Survivors Insurance Trust Fund or the 
Federal Disability Insurance Trust Fund'' and inserting 
``Social Security Trust Fund''; and
(C) in section 1841(f), by striking ``Federal Old-
Age and Survivors Insurance Trust Fund and from the 
Federal Disability Insurance Trust Fund'' and inserting 
``Social Security Trust Fund''.
(f) Conforming Amendments Outside of Social Security Act.--
(1) Budget.--
(A) Off-budget exemption.--Section 405(a) of the 
Congressional Budget Act of 1974 (2 U.S.C. 655(a)) is 
amended by striking ``Federal Old-Age and Survivors 
Insurance and Federal Disability Insurance Trust 
Funds'' and inserting ``Social Security Trust Fund''.
(B) Sequestration exemption.--Section 255(g)(1)(A) 
of the Balanced Budget and Emergency Deficit Control 
Act of 1985 (2 U.S.C. 905(g)(1)(A)) is amended by 
striking ``Payments to Social Security Trust Funds'' 
and inserting ``Payments to the Social Security Trust 
Fund''.
(2) Tax.--
(A) Taxable wages.--Section 3121(l)(4) of the 
Internal Revenue Code of 1986 is amended by striking 
``Federal Old-Age and Survivors Insurance Trust Fund 
and the Federal Disability Insurance Trust Fund'' and 
inserting ``Social Security Trust Fund''.
(B) Overpayments.--
(i) Section 6402(d)(3)(C) of the Internal 
Revenue Code of 1986 is amended by striking 
``Federal Old-Age and Survivors Insurance Trust 
Fund or the Federal Disability Insurance Trust 
Fund, whichever is certified to the Secretary 
as appropriate by the Commissioner of Social 
Security'' and inserting ``Social Security 
Trust Fund''.
(ii) Subsection (f)(2)(B) of section 3720A 
of title 31, United States Code, is amended by 
striking ``Federal Old-Age and Survivors 
Insurance Trust Fund or the Federal Disability 
Insurance Trust Fund, whichever is certified to 
the Secretary of the Treasury as appropriate by 
the Commissioner of Social Security'' and 
inserting ``Social Security Trust Fund''.
(3) False claims penalties.--Subsection (g)(2) of section 
3806 of title 31, United States Code, is amended--
(A) in subparagraph (B)--
(i) by striking ``Secretary of Health and 
Human Services'' and inserting ``Commissioner 
of Social Security''; and
(ii) by striking ``Federal Old-Age and 
Survivors Insurance Trust Fund'' and inserting 
``Social Security Trust Fund''; and
(B) in subparagraph (C)--
(i) by striking ``Secretary of Health and 
Human Services'' and inserting ``Commissioner 
of Social Security''; and
(ii) by striking ``Federal Disability 
Insurance Trust Fund'' and inserting ``Social 
Security Trust Fund''.
(4) Railroad retirement board.--Section 7 of the Railroad 
Retirement Act of 1974 (45 U.S.C. 231f) is amended--
(A) in subsection (b)(2), by striking ``Federal 
Old-Age and Survivors Insurance Trust Fund and the 
Federal Disability Insurance Trust Fund'' and inserting 
``Social Security Trust Fund'';
(B) in subsection (c)(2)--
(i) by striking ``Secretary of Health, 
Education, and Welfare'' each time it appears 
and inserting ``Commissioner of Social 
Security''; and
(ii) by striking ``Federal Old-Age and 
Survivors Insurance Trust Fund, the Federal 
Disability Insurance Trust Fund,'' each time it 
appears and inserting ``Social Security Trust 
Fund''; and
(C) in subsection (c)(4), by striking ``Federal 
Old-Age and Survivors Insurance Trust Fund, the Federal 
Disability Insurance Trust Fund,'' and inserting 
``Social Security Trust Fund''.
(g) Rule of Construction.--Effective beginning on January 1 of the 
first calendar year beginning after the date of the enactment of this 
section, any reference in law to the ``Federal Old-Age and Survivors 
Insurance Trust Fund'' or the ``Federal Disability Insurance Trust 
Fund'' is deemed to be a reference to the Social Security Trust Fund.
(h) Effective Date.--The amendments made by this section shall take 
effect on January 1 of the first calendar year beginning after the date 
of the enactment of this section.
<all>