[Code of Federal Regulations]
[Title 20, Volume 1]
[Revised as of April 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 20CFR234.40]

[Page 496]
 
                      TITLE 20--EMPLOYEES' BENEFITS
 
                  CHAPTER II--RAILROAD RETIREMENT BOARD
 
PART 234_LUMP-SUM PAYMENTS--Table of Contents
 
                   Subpart D_Residual Lump-Sum Payment
 
Sec.  234.40  General.


    The residual lump-sum (RLS) is the means by which railroad employees 
and their survivors are guaranteed to receive at least as much in 
benefits as the employee paid in railroad retirement taxes during the 
years 1937 through 1974. An RLS payment can be made only if it appears 
that no other benefits based at least in part on railroad service will 
be payable under either the Railroad Retirement Act or Social Security 
Act in the future. The residual is reduced for any retirement benefits 
that were paid on the basis of the employee's railroad service, and for 
any survivor benefits based on the employee's earnings already paid by 
either the Board or the Social Security Administration. A widow(er) or 
dependent parent can, before attaining age 60, elect to waive future 
rights to monthly benefits based on the employee's railroad service in 
order to receive the RLS.