April 4, 2023
Social Security Administration publishes wage base projections for 2024 through 2032
For those responsible for employment tax budgets, or just curious what the future may hold, following are the estimated Social Security wage-base limits for employers and employees for calendar years 2024 through 2032 as recently published by the Social Security Administration (SSA). (2023 Social Security Board of Trustees, Press Release, 3-31-2023;The 2023 OASDI Trustees Report, Table V.C.1.)
In reviewing the following charts, keep in mind that the SSA provides three estimates — high, intermediate and low. For 2023, the actual wage base is $160,200, higher than the projected intermediate, high-cost and low-cost estimate of $155,100 in the June 2022 Annual Report of the Board of Trustees. (See EY Tax Alert 2022-0873.)
The March 2023 projections reflect an estimated increase in 2024 to $167,700 for intermediate, high-cost and low-cost.
Projections concerning length of trust funds' solvency
The Social Security Board of Trustees reported that the combined asset reserves of the Old-Age and Survivors Insurance and Disability Insurance (OASI and DI) Trust Funds are projected to be depleted in 2034, one year earlier than was estimated last year.
Projected Social Security wage base information as provided by the SSA in March 2023
Projected Social Security wage base information as provided by the SSA in June 2022
(See EY Tax Alert 2022-0873)
Published by NTD’s Tax Technical Knowledge Services group; Andrea Ben-Yosef, legal editor
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