RS 00615: Computation of Monthly Benefits Amounts
TN 24 (09-02)
A. POLICY
When a person is entitled simultaneously to reduced RIB and a reduced spouse's benefit, first reduce the RIB PIA by the RIB reduction factor. Then subtract the RIB PIA from the unreduced spouse's benefit, and reduce the excess by the spouse's reduction factor. The reduced excess is the amount actually payable as a spouse. Add the reduced spouse's benefit to the reduced RIB to determine the full AB benefit.
There is no entitlement to a reduced wife's (husband's) benefit if the wife's (husband's) own PIA equals or exceeds one-half of the husband's (wife's) PIA.
B. PROCEDURE
|
STEP |
ACTION |
|---|---|
|
1 |
Determine the RIB MBA. |
|
2 |
Subtract the unreduced RIB PIA from the Unreduced spouse benefit. This is the excess spouse benefit. |
|
3 |
Reduce excess spouse benefit by the spouse's reduction factor:
(ARM = number of RF in excess of 36) |
|
4 |
Add the reduced B excess to the RIB MBA. |
|
5 |
At each COL increase the RIB and excess spouse's benefits are computed separately and added together to arrive at the full AB benefit. |
| Unreduced B | $1000.00 |
| unreduced A PIA | - 400.00 |
| $600.00 (unreduced B excess) |
Apply the appropriate reduction factor to each unreduced benefit separately, then add the reduced B excess to the reduced RIB PIA .
| (reduced A PIA) RIB MBA | $$380.00 |
| (B excess reduced) | + 540.00 |
| $920.00 reduced AB benefit |
C. REFERENCE
See RS 00615.005F. for subsequent adjustments.