Individual Social Security Retirement Account Act of 1995

Individual Social Security Retirement Account Act of 1995 - Amends the Internal Revenue Code to reduce the social security taxes on employees and employers by the authorized tax reduction for any calendar year under this Act.

Defines the "authorized tax reduction" under the Code as half the sum of the excess of the total unadjusted Old Age and Survivors Insurance (OASI) tax rate over the adjusted cost rate, plus the value of certain projected receipts for such calendar year of the Federal Old Age and Survivors Insurance Trust Fund. Requires the Commissioner of Social Security to determine, according to specified formulae, and publish by November 1 of each calendar year, the total unadjusted OASI rate and the adjusted cost rate for the following calendar year.

Reduces the self-employment tax by the authorized tax reduction for such tax, defined as the full sum of the excess of the total unadjusted OASI tax rate over the adjusted cost rate, plus the value of certain projected receipts for such calendar year of the Federal Old Age and Survivors Insurance Trust Fund.

Amends title II (Old Age, Survivors and Disability Insurance) (OASDI) of the Social Security Act to reduce an individual's monthly OASDI benefit by the authorized benefit reduction, determined according to a specified formula.

Amends OASDI to require employers to have in effect a social security payroll deduction plan for employees. Requires such plan to provide for employers to deduct the prescribed social security employee contribution for transfer, together with the prescribed social security employer contribution, to an individual social security retirement account of the employee. Requires self-employed individuals to pay into such accounts the prescribed social security self-employment contribution.

Sets forth penalties for failure to establish deduction plans, make appropriate deductions, and pay deductions and contributions into social security retirement accounts.

Amends the Internal Revenue Code to require amounts deducted from employee wages to be shown on employee wage receipts (W-2 forms).

Amends the Employee Retirement Income Security Act of 1974 to exempt social security payroll deduction plans from provisions governing employee benefit plans.

Provides for the tax treatment of individual social security retirement accounts in a manner similar to individual retirement accounts.

Terminates the tax reduction provisions of this Act after the authorized tax reduction is zero percent for three consecutive calendar years commencing on or after January 1, 1997.