Project 2075

🔄 TRANSITION PROVISIONS

How the "in-betweens" are handled—fair treatment for every generation

Core Transition Principle

No one is left worse off. Everyone currently in or approaching the existing system receives equivalent or better treatment. The transition is gradual, voluntary where possible, and designed to build coalition support rather than create losers.

The 65-year timeline means full benefits only reach those born after implementation. But partial benefits begin immediately, and existing programs are honored until natural phase-out.

Transition by Age Group

At Year 1 implementation (assumed 2026), here's how each cohort is treated:

👶 Newborns (Year 1+)

Born 2026 and after
  • Full $25,000 Stability Account at birth
  • 65 years of compound growth
  • Full healthcare/education coverage
  • Expected outcome: ~$1.89M at age 65

This is the "design case" - full benefits as intended.

💒 Children (0-17)

Born 2009-2025 | Ages 1-17 at implementation
  • Pro-rated seed based on years remaining
  • Age 1: $24,000 | Age 10: $15,000 | Age 17: $5,000
  • Immediate healthcare/education coverage
  • Smaller but meaningful retirement benefit

Formula: $25,000 × (65 - current age) / 65

🎓 Young Adults (18-29)

Born 1997-2008 | Ages 18-29 at implementation
  • Partial seed: $3,000 - $12,000
  • Student debt relief: Existing debt credited to account
  • Immediate healthcare coverage
  • Can contribute additional funds (tax-advantaged)

Student debt forgiveness sweetens the deal for this cohort.

💼 Working Adults (30-49)

Born 1977-1996 | Ages 30-49 at implementation
  • Hybrid system: Keep existing 401k/IRA + small seed
  • Seed: $1,000 - $5,000 (symbolic but meaningful)
  • Immediate healthcare coverage (major benefit)
  • No more payroll tax (phased) = immediate raise

Healthcare + payroll tax elimination = significant immediate benefit.

⏳ Near-Retirement (50-64)

Born 1962-1976 | Ages 50-64 at implementation
  • Choice: Stay in current system OR opt into hybrid
  • Social Security benefits guaranteed as promised
  • Medicare eligibility unchanged
  • Optional: Small Stability Account top-up

No disruption to those counting on existing promises.

🏖️ Current Retirees (65+)

Born before 1962 | Age 65+ at implementation
  • No change to Social Security benefits
  • No change to Medicare coverage
  • Existing system runs until natural end
  • Potential bonus: Enhanced Medicare from efficiency gains

Sacred promise: Those already retired are not touched.

Transition Benefits by Cohort

Birth Year Age in 2026 Stability Seed Healthcare Education Retirement System
2026+ 0 $25,000 Full AIP Full AIP Full Stability Account
2016-2025 1-10 $15K-$24K Full AIP Full AIP Stability Account (reduced)
2006-2015 11-20 $5K-$15K Full AIP Full AIP + debt relief Stability + can contribute
1996-2005 21-30 $2K-$8K Full AIP Debt relief Hybrid (Stability + 401k)
1976-1995 31-50 $1K-$3K Full AIP N/A Hybrid (keep existing + small seed)
1962-1975 51-64 $0-$1K (optional) Choice: AIP or Medicare track N/A Choice: SS guaranteed or hybrid
Before 1962 65+ $0 Medicare (unchanged) N/A Social Security (unchanged)

Transition Mechanisms

1. Student Debt Resolution

Current debt: ~$1.7 trillion across ~45 million borrowers

Mechanism:

  • Existing debt forgiven over 10 years (phased)
  • Amount credited toward Stability Account recovery obligation
  • Those who already paid off debt: Tax credit equivalent

Cost: ~$170B/year for 10 years, declining as new system prevents future debt

2. Social Security Runout

Current trajectory: Trust fund depletion ~2034

AIP approach:

  • All current beneficiaries continue receiving full benefits
  • All workers 50+ can stay in current system if preferred
  • Payroll taxes phased out as Stability Account system matures
  • GRT revenue backfills any Social Security shortfall during transition

Timeline: ~40 years until last current-system beneficiary (natural phase-out)

3. Medicare Transition

Current trajectory: Hospital Insurance Fund depletion ~2031

AIP approach:

  • Current Medicare beneficiaries: No change
  • Near-retirees (55+): Choice to stay on Medicare track
  • Under 55: Transition to universal AIP healthcare
  • Medicare eventually absorbed into universal system (~2050+)

4. Existing Retirement Accounts

401(k), IRA, pension: Completely untouched

  • Stability Accounts are additional, not replacement
  • Existing savers keep everything they've accumulated
  • Future contributions still allowed (no forced transition)
  • This reduces opposition from those who've "played by the rules"

Transition Fiscal Impact

Year 1 Transition Costs

Newborn Stability Accounts (~4M × $25K) $100B
Children pro-rated accounts (~70M × avg $10K) $700B
Young adult accounts (~50M × avg $5K) $250B
Working adult accounts (~100M × avg $2K) $200B
Student debt relief (Year 1 tranche) $170B
Adult (25+) healthcare - no recovery expected $180B
Total Year 1 Transition Cost ~$1.60T

Result: Year 1 budget is balanced (revenue ≈ spending). No surplus in Year 1 due to transition costs. Surpluses begin ~Year 5 as one-time catch-up costs decline and only newborn accounts + ongoing healthcare remain.

⚠️ Transition Risk

The largest fiscal risk is the Year 1 catch-up cost for existing population. This can be managed through:

  • Phased rollout: Spread catch-up over 3-5 years instead of Year 1
  • Age prioritization: Children first, then young adults, then working adults
  • Reduced seeds for older cohorts: Focus resources on those with longest growth runway

Why Each Generation Supports This

Gen Z & Alpha (0-25)

They get:

  • Student debt eliminated
  • Largest Stability Account seeds
  • Healthcare from Day 1
  • No payroll tax burden

Coalition status: Strongest supporters

Millennials (26-42)

They get:

  • Student debt relief
  • Healthcare (huge for gig economy)
  • Partial Stability Account + keep 401k
  • Payroll tax elimination = raise

Coalition status: Strong supporters

Gen X (43-58)

They get:

  • Healthcare (approaching expensive years)
  • Keep all existing retirement savings
  • Small bonus Stability seed
  • Kids get full benefits

Coalition status: Supportive (for kids' sake)

Boomers (59-77)

They get:

  • Social Security guaranteed
  • Medicare unchanged
  • Grandkids get full benefits
  • National debt won't crush them

Coalition status: Neutral to supportive (if promises kept)

Silent Generation (78+)

They get:

  • Absolutely no change
  • Existing benefits continue
  • Great-grandkids secure future

Coalition status: Neutral (doesn't affect them)

The End of the Extraction Economy

Some industries exist only because the system is broken. Under AIP, consumers simply stop paying for extraction.

Tax Preparation

Exists because the code is 6,871 pages. GRT eliminates filing entirely. Accountants still account—just not for avoidance.

Insurance Administration

500K jobs exist to deny claims and process paperwork. Healthcare still needs admin—just 70% less of it.

Compliance Industry

Lawyers and consultants profit from complexity. Simpler systems need simpler compliance.

Worker Transition Support

~1 million affected workers receive:

  • 6-month severance at full salary
  • Retraining coverage for new career paths
  • Job placement in growing sectors (healthcare delivery, education, infrastructure)

Budget allocation: $45B Year 1 (severance + retraining)

The question isn't whether these workers deserve support—they do.
The question is whether entire industries should profit from dysfunction.

The Transition Promise

Everyone born before implementation gets a fair deal.
Retirees keep what they were promised. Workers get healthcare plus a bonus seed. Young people get debt relief plus larger seeds. Children get nearly full benefits. Newborns get the full system.

The transition takes 65 years to complete. But everyone benefits from Day 1.

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