A bill to amend the Internal Revenue Code of 1954 to provide for the exclusion from gross income of certain retirement benefits received by individuals to the extent that such benefits do not exceed the maximum social security benefits payable to any individual.

Amends the Internal Revenue Code to replace the current ratio exclusion of part of an annuity from gross income with an exclusion of any qualified retirement benefit in an amount equal to the maximum social security benefit which could be paid to an individual under the old-age insurance benefit provisions of the Social Security Act. Specifies formula modifications of such exclusion for married individuals filing joint or separate returns.