Grant Community.com

Catalog of Federal Domestic Assistance

Program Descriptions

96.002:  Social Security: Retirement Insurance

Objectives:  To replace part of the earnings lost due to retirement.

PROGRAM AND AWARD	FINANCIAL AND INFORMATION CONTACTS
ELIGIBILITY REQUIREMENTS	FINANCIAL AND ADMINISTRATIVE INFO.
APPLICATION AND AWARD PROCESS	INFORMATION CONTACTS
RELATED PROGRAMS	ASSISTANCE CONSIDERATIONS
PROGRAM ACCOMPLISHMENTS	POST ASSISTANCE REQUIREMENTS

96.002 ELIGIBILITY REQUIREMENTS:

Applicant Eligibility:  Retired workers age 62 and over who have worked the required number of years under Social Security are eligible for monthly benefits. Section 503 of Public Law 104-208 amended Section 202(y) of the Social Security Act to provide that no monthly benefits under Section 202 are payable to an alien who is not lawfully present in the United States. Coverage credits under the social security systems of certain foreign countries with which the U.S. has reciprocal agreements may be taken into account to meet the requirements. If an eligible worker age 62 or over receives benefits before full retirement age (currently age 65 and 2 months for workers age 62 in 2000), the individual's retirement benefit will be permanently reduced. Also, certain family members can receive benefits including: (1) A wife or husband age 62 or over; (2) a spouse at any age, if a child who is under age 16 or is disabled is in his or her care and is entitled to benefits based on the worker's record; (3) unmarried children under age 18 (or under age 19 for students in elementary or secondary school); (4) unmarried adult offspring at any age if disabled before age 22; and (5) divorced wives or husbands age 62 or over who were married to the worker for at least 10 years. Beginning January 1985, spouses ages 62 or over who have been divorced for at least 2 years may become entitled to benefits regardless of whether the former spouse who is at least age 62 has applied for benefits. Effective January 1991, the 2-year waiting period for payment of divorced spouse's benefits without regard to the former spouse's earnings was waived if the former spouse was entitled to benefits prior to the divorce. All benefits, other than benefits to disabled beneficiaries, and beneficiaries age 70 and older, are subject to an earnings test. In 2000, benefits are reduced by $1 for each $2 of earnings over $10,800 for people under age 65 and $1 for each $3 of earnings over $17,000 for people ages 65 through 69. (NOTE: Legislation is pending to eliminate the earnings test for ages 65 through 69). For workers who are first eligible after 1985 for both (a) a pension based on non-covered employment; and (b) Social Security retirement (or disability) benefits, a different benefit formula applies which provides somewhat lower benefits. The Social Security benefit for a spouse of a retired worker is subject to a pension offset if the spouse receives a governmental pension based on his or her own work in non-covered employment. However, the offset does not apply if: (i) the person has received or became eligible to receive the pension before December 1, 1982, and met eligibility requirements for Social Security auxiliaries' benefits as they existed in January 1977; or (ii) if the person receives, or is eligible to receive, the pension before July 1, 1983, and the person was dependent on his or her spouse for at least one-half support at the time the spouse died, became disabled or became entitled to Social Security benefits. The amount of the public pension used for purposes of the offset against Social Security spouse's benefits is equal to two-thirds of the public pension. The benefit for the spouse of a retired worker is also offset dollar for dollar by the amount of any Social Security benefit the spouse receives based on his or her own work. A worker and spouse can get benefits only for the months throughout which all conditions of eligibility were met, effective for people who have reached age 62 since August 1981.

Beneficiary Eligibility:  Benefits are paid to retired workers age 62 and over who have worked the required number of years under Social Security, and to certain family members.

Credentials/Documentation:  Proof of age is required. If applying for benefits for auxiliaries, additional proofs of age, dependency, and relationship to the retired worker may be required.

96.002 APPLICATION AND AWARD PROCESS:

Preapplication Coordination:  None. This program is excluded from coverage under E.O. 12372.

Application Procedure:  Phone or visit the local Social Security Office.

Award Procedure:  After review of the application is completed, the applicant (or representative payee) will be notified by mail.

Deadlines:  It is to the worker's advantage to apply for benefits in the three months before he or she retires. Retroactivity is limited to 6 months if unreduced benefits are being awarded. No retroactivity is provided where reduced benefits are being awarded.

Range of Approval/Disapproval Time:  Not applicable.

Appeals:  Phone or visit the local Social Security Office. The appeal process ranges from a reconsideration to a review by the Federal courts.

Renewals:  Not applicable.

Criteria for Selecting Proposals:  Not applicable.

Examples of Funded Projects:  Not applicable.

Range and Average of Financial Assistance:  Monthly cash benefits for a worker retiring at age 65 in 2000 range up to $1,433, and to a maximum of $2,509.80 for a family of such a worker receiving benefits. As of December 31, 1999, the average benefit paid to a retired worker alone (no family members receiving benefits) was $790 and the average amount payable to a retired worker with an eligible spouse was $1,348.

96.002 RELATED PROGRAMS:

• 57.001 Social Insurance for Railroad Workers;
• 96.001 Social Security: Disability Insurance;
• 96.003 Social Security: Special Benefits for Persons Aged 72 and Over;
• 96.004 Social Security: Survivors Insurance;
• 96.005 Special Benefits for Disabled Coal Miners;
• 96.006 Supplemental Security Income (SSI).

96.002 PROGRAM ACCOMPLISHMENTS:

96.002 FINANCIAL AND ADMINISTRATIVE INFO:

Federal Agency:  SOCIAL SECURITY ADMINISTRATION

Type of Assistance:  Direct Payments with Unrestricted Use.

Obligations:  (Benefit Payments) FY 99 $257,220,000,000; FY 00 est $267,410,000,000; and FY 01 est $278,655,000,000.

Budget Account Number:  20-8006-0-7-651.

Authorization:  Social Security Act of 1935, Title II, as amended; 42 U.S.C. 401-433; Public Law 104-208.

Regulations, Guidelines, and Literature:  Code of Federal Regulations, Title 20, Parts 401, 404, and 422. "Your Social Security", "Thinking About Retiring", and many other publications are available from any Social Security office without charge.

96.002 INFO CONTACTS:

Regional or Local Office:  Consult Appendix IV of the Catalog.

Headquarters Office:  Office of Public Inquiries, Room 4100, Annex, Social Security Administration, Baltimore, MD 21235. Phone: (410) 965-2736. Use the same number for FTS.

(See Appendix IV for more contact info.)

96.002 ASSISTANCE CONSIDERATIONS:

Formula and Matching Requirements:  This program has no statutory formula or matching requirements.

Length and Time Phasing of Assistance:  Not applicable.

Uses and Use Restrictions:  Monthly cash benefits are paid to eligible retired workers and their eligible auxiliaries. There are no restrictions on use of benefits by a beneficiary, although the right to future benefits is not transferable or assignable.

96.002 POST ASSISTANCE REQUIREMENTS:

Reports:  Any change in address or eligibility requirements (such as work status, marital or family status, or school attendance) must be reported to the Social Security Office when it occurs.

Audits:  None.

Records:  None.