[Code of Federal Regulations]

[Title 20, Volume 1]

[Revised as of April 1, 2005]

From the U.S. Government Printing Office via GPO Access

[CITE: 20CFR229.50]



[Page 483]

 

                      TITLE 20--EMPLOYEES' BENEFITS

 

                  CHAPTER II--RAILROAD RETIREMENT BOARD

 

PART 229_SOCIAL SECURITY OVERALL MINIMUM GUARANTEE--Table of Contents

 

            Subpart F_Computation of the Overall Minimum Rate

 

Sec.  229.50  Age reduction in employee or spouse benefit.



    (a) When age reduction applies. The employee overall minimum benefit 

is reduced for each month the employee is under retirement age on the 

date the employee becomes eligible for an increase under the overall 

minimum, as shown in Sec.  229.22 of this part, unless the employee has 

a period of disability and Sec.  229.52 of this part does not apply, in 

which case no age reduction is applied. The spouse overall minimum 

benefit is reduced for each month a spouse, who is not a spouse with the 

employee's child under 16 years old or disabled before attaining age 22 

in his or her care, is under retirement age on the date the spouse is 

eligible for an increase under the overall minimum (see Sec.  229.21 of 

this part). If a spouse's overall minimum benefit is reduced for age and 

he or she later begins caring for an eligible child, no age reduction 

will apply for the months the child is in his or her care.

    (b) Employee age reduction. The Overall Minimum PIA plus any delayed 

retirement credits is reduced by \1/180\ for each month the employee is 

under retirement age on the date the employee becomes eligible for the 

overall minimum. When the PIA amount is increased, the amount of the 

increase is reduced by \1/180\ for the same number of months used to 

determine the initial age reduction.

    (c) Spouse age reduction. The amount of the spouse overall minimum 

benefit, after any adjustment for the family maximum, is reduced by \1/

144\ for each month the spouse is under retirement age on the date when 

he or she becomes eligible under the overall minimum. When the spouse 

benefit increases, the amount of the increase is reduced by \1/144\ for 

the same number of months used to compute the initial age reduction.

    (d) Age reduction after 1999. Beginning in the year 2000 the amount 

of age reduction shall be as specified in paragraphs (b) and (c) of this 

section for the first 36 months of the reduction period, as defined in 

paragraph (e) of this section, and \1/240\ for any additional months 

included in such period.

    (e) Reduction period defined. The reduction period is the number of 

months beginning with the first month for which the O/M is payable and 

ending with the month before the month the beneficiary attains 

retirement age.