Preserving Social Security Act of 2005

H.R. 1123, the Preserving Social Security Act of 2005, proposed a change to how the Social Security trust funds earn interest on their investments. The bill would have set a fixed annual interest rate of 4.7 percent for the government bonds held by the Old-Age, Survivors, and Disability Insurance trust funds.

For the average citizen, this measure was intended to provide a more predictable and stable rate of return for the money held in the Social Security system. By establishing a permanent interest rate, the bill aimed to ensure a consistent growth of the funds used to pay out future retirement and disability benefits.