Social Security Solvency Act of 1999

Social Security Solvency Act of 1999 - Amends the Internal Revenue Code (IRC) to modify Federal Insurance Contributions Act (FICA) rates applicable to employees, employers, and the self-employed to provide for pay-as-you-go financing for the social security system and continued solvency of the social security trust funds under title II (Old Age, Survivors and Disability Insurance) (OASDI) of the Social Security Act (SSA). Prescribes: (1) reduced FICA rates for 2000 through 2029 for employees, and reduced FICA rates for 2002 through 2029 for employers; (2) return to the current rate (6.2 percent, or 12.4 for the self-employed) for 2030 through 2034; and (3) specified higher rates for ensuing decades, culminating with 6.85 percent (13.7 for the self-employed) for 2060 and thereafter.

(Sec. 2) Provides for: (1) the reallocation of employment taxes through 2059; and (2) adjustment of such taxes to keep the trust funds in actuarial balance. Makes conforming amendments to the Federal Employees Retirement System (FERS) to protect the FICA tax cut.

(Sec. 3) Amends SSA title II to add a new part B (Voluntary Investment Accounts) (VIA). Establishes in the Treasury the Voluntary Investment Fund, to be managed by the Voluntary Investment Fund Board. Requires electing employees of covered employers to designate a particular VIA (which includes a KidSave Account) to which contributions on their behalf (of up to two percent of wages) are to be deposited and invested in a manner similar to that under the FERS Thrift Savings Plan.

Mandates participation by self-employed individuals.

Amends IRC to impose: (1) on the income of an electing employee a VIA contribution of one percent of wages; (2) on such employee's employer a matching contribution equal to one percent of such employee's wages; and (3) on the income of a self-employed individual a VIA contribution of two percent of self-employment income.

(Sec. 4) Amends SSA title II to provide for a graduated increase in the social security wage base from $60,600 to $99,900.

(Sec. 5) Amends SSA title XI to add a new part D (Cost-of-Living Adjustments) to: (1) provide for a one-percent reduction in cost-of-living adjustments (COLAs) under IRC, OASDI, Medicare, Medicaid, and any other Federal program except the Supplemental Security Income (SSI) program (SSA title XVI); and (2) establish the Cost-of-Living Board to determine new reduced COLAs. Authorizes appropriations.

(Sec. 6) Amends IRC to provide for the inclusion of social security benefits in a taxpayer's gross income.

(Sec. 7) Amends SSA title II to: (1) provide for coverage of newly hired State and local employees; (2) increase the length of the computation period from 35 to 38 years; (3) provide for modification of primary insurance amount factors to reflect changes in life expectancy; (4) restoration of normal retirement age at age 65; (5) provide for elimination of the earnings test for individuals who have attained early retirement age (beginning in 2003); and (6) outline a new part C detailing KidSave Accounts which are to be established by the Commissioner of Social Security in the name of each individual born on or after January 1, 1995.

Directs the Commissioner to: (1) submit to the Congress a detailed study plan for evaluating the effects of increases in life expectancy on the expected level of retirement income from social security, pensions, and other sources; and (2) study and report to the Congress on the effect on their incentive to work of taking earnings into account in determining substantial gainful activity of individuals receiving disability insurance benefits.