Term |
Explanation |
AIME
(Average Indexed Monthly Earnings) |
The
dollar amount used to calculate your Social Security benefit if
you attained age 62 or became disabled (or died) after 1978. To
arrive at your AIME, we adjust your actual past earnings using an
"average wage index," so you wont lose the value
of your past earnings (when money was worth more) in relation to
your more recent earnings. If you attained age 62 or became disabled
(or died) before 1978, we use Average Monthly Earnings (AME).
See: How
are the Average Monthly Earnings (AME) or the Average Indexed Monthly
Earnings (AIME) computed? |
AME
(Average Monthly Earnings) |
The
dollar amount used in calculating your monthly Social Security benefit
if you attained age 62 or became disabled (or died) before 1978.
The AME is determined by dividing the total earnings in the "computation
years" by the number of months in those same years. See Retirement
Insurance Benefits (RIB). |
Annual
Cost of Living Increase |
Social
Security benefits and Supplemental Security Income payments may
be automatically increased each year to keep pace with increases
in the cost-of-living (inflation). |
Appeal
(Appeal Rights) |
Whenever
Social Security makes a decision that affects your eligibility for
Social Security or Supplemental Security Income benefits, we send
you a letter explaining our decision. If you disagree with our decision,
you have the right to appeal it (ask us to review your case). If
our decision was wrong, we’ll change it.
|
Application
for Benefits |
To
receive Social Security or Black Lung benefits, Supplemental Security
Income payments, or Medicare, you must complete and sign an application.
You can apply for retirement benefits and spouse’s benefits online
at http://www.socialsecurity.gov/applytoretire,
in person, or by telephone at 1-800-772-1213. Our TTY number is
1-800-325-0778. Many other services now are available through the
Internet at http://www.socialsecurity.gov/
For more information see How To on our home page or go to http://www.ssa.gov/howto.htm.
|
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Baptismal
Certificate |
A
religious record of an your birth or baptism. In some situations
we can use a baptismal certificate to establish your age. See Birth
Certificate or Evidence
requirements. |
Base
Years |
A
worker's (wage earner) base years for computing Social Security
benefits are the years after 1950 up to the year of entitlement
to retirement or disability insurance benefits. For a survivor's
claim, the base years include the year of the worker's death. See
Retirement Insurance Benefits (RIB). |
Benefit
Verification Letter (BEVE) |
An
official letter from Social Security that provides information on
how much an individual receives in monthly Social Security benefits
and/or Supplemental Security Income payments. These letters are
normally issued following a request from a beneficiary or his/her
authorized representative. |
Benefits |
Social
Security provides five major categories of benefits:
- Retirement,
- Disability,
- Family (dependents),
- Survivors and
- Medicare.
The retirement, family (dependents), survivor,
and disability programs provide monthly cash benefits and Medicare
provides medical coverage. |
Benefits
– Reduced |
You
can get the following reduced monthly benefits before reaching full
retirement age:
-
Retirement insurance benefits at age
62 through the month before your reach Full
Retirement Age (FRA);
-
Husband’s or wife's insurance benefits
at age 62 through the month before you reach FRA, provided no
child of your spouse either under age 18 or disabled and entitled
to benefits is in your care;
-
Widow's or widower's insurance benefits
beginning at any time from age 50 through the month before you
reach FRA;
-
Widow's or widower's insurance benefits
after your spouse has received a retirement insurance benefit
reduced for age;
-
Disability insurance benefits received
after a reduced retirement insurance benefit; or
- Retirement or disability insurance benefit received after a
reduced widow's or widower's insurance benefit.
This applies only if you were born before
1928. |
Birth
Certificate (Original) |
The
record maintained by a governmental entity such as a state, county,
parish, city, or borough which documents your birth. For additional
information on obtaining a birth certificate see How
to Write for Vital Records or the NCHS
- Alphabetical List. |
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Child |
We
use the term "Child" to include your biological child or any other
child who can inherit your personal property under State law or
who meets certain specific requirements under the Social Security
Act; such as:
- A legally adopted child,
- An equitably adopted child,
- A stepchild, or
- A grandchild.
See Benefits
for additional information. |
COLA
(Cost of Living Adjustment) |
Social
Security benefits and Supplemental Security Income payments are
increased each year to keep pace with increases in the cost-of-living
(inflation).
|
Computation
Years |
Computation
years are the years with highest earnings selected from the "base
years.” We add total earnings in the computation years and divide
by the number of months in those years to get the AME
or the AIME. (We use your 35 highest years
of earnings to compute your retirement benefits) See RIB
(Retirement Insurance Benefits) http://www.ssa.gov/retirement/
|
CPI-W
(Consumer Price Index) |
An
index prepared by the U. S. Department of Labor that charts the
rise in costs for selected goods and services. This index is used
to compute COLA increases. |
Credits
(Social Security Credits) |
Previously
called "Quarters of Coverage."
As you work and pay taxes, you earn credits that count toward your
eligibility for future Social Security benefits. You can earn a
maximum of four credits each year. Most people need 40 credits to
qualify for benefits. Younger people need fewer credits to qualify
for disability or survivors’ benefits. For more information read:
How You Earn Credits (05-10072). |
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Decision
Notice (Award Letter or Denial Letter) |
When
you file for Social Security, we decide if you will receive benefits.
We send you an official letter explaining our decision and, if benefits
are payable, we tell you the amount you will get each month. |
Delayed
Retirement Credits (DRC) |
Social
Security benefits are increased (by a certain percentage depending
on a person's date of birth) if retirement is delayed beyond full
retirement age (FRA). Increases based on delaying retirement no
longer apply when people reach age 70, even if they continue to
delay taking benefits. |
Dependent
Benefits |
See
Family Benefits. |
Direct
Deposit |
The
standard way to receive Social Security benefits and Supplemental
Security Income payments. Your money is sent electronically to an
account in a financial institution (a bank, trust company, savings
and loan association, brokerage agency or credit union). For more
information see Social Security Direct Deposit, http://www.ssa.gov/deposit/
|
Disability
Benefits |
You
can get disability benefits if you:
- Are under full retirement age
- Have enough Social Security credits and
- Have a severe medical impairment
(physical or mental) that’s expected to prevent you from doing
"substantial" work for a year or more, or have a condition that
is expected to result in death.
For more information see: Disability
Programs. |
Documents
(Proofs) |
Forms
and papers such as birth certificates, marriage certificates, W2
forms, tax returns, deeds, etc., submitted by individuals applying
for benefits and services. We can accept only originals or copies
certified by the agency that has the original document. See Evidence. |
|
Early
Retirement |
You
can start getting Social Security retirement benefits as early as
age 62, but your benefit amount will be less than you would have
gotten at full retirement age. If you take retirement benefits early,
your benefit will be permanently reduced, based on the number of
months you received checks before you reached full retirement age.
See Retirement Insurance Benefits (RIB). |
Early
Retirement Age |
Age
62. See http://www.socialsecurity.gov/retirement/ |
Earnings
Record (lifetime record of earnings) |
A
chronological history of the amount you earn each year during your
working lifetime. The credits you earned remain on your Social
Security record even when you change jobs or have no earnings. |
Evidence (Proofs) |
"Proofs."
The documents you must submit to support a factor of entitlement
or payment amount. The people in your Social Security office can
explain what evidence is required to establish entitlement and help
you to get it. For more information see our How
To page. |
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Family
Benefits (Dependent Benefits) |
When
you’re eligible for retirement or disability benefits, the following
people may receive benefits on your record:
- Spouse if he or she is at least 62 years
old (or any age but caring for an entitled child under age 16)
- Children if they are unmarried and under
age 18, under age 19 and a full-time elementary or secondary student
- Children age 18 or older but disabled
- Divorced ex-spouse.
|
Family
Maximum |
The
maximum amount of benefits payable to an entire family on any one
worker’s record. |
FICA
Tax |
FICA
stands for "Federal Insurance Contributions Act." It’s
the tax withheld from your salary or self-employment income that
funds the Social Security and Medicare programs. |
Food
Stamps (Food Stamp Program) |
The
U. S. Department of Agriculture program that helps needy families
buy food. For more information see: Food Stamps And Other Nutrition Programs
(05-10100). |
FRA
(Full Retirement Age) |
The
age at which a person may first become entitled to unreduced retirement
benefits. Beginning with year 2000 for workers and spouses born
1938 or later and widows/widowers born 1940 or later, the retirement
age increases gradually from age 65 until it reaches age 67 in the
year 2022. This increase affects the amount of the reduction for
persons who begin receiving reduced benefits.
For more information see Full
retirement age. |
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Health
Insurance (Medicare) |
The
federal health insurance program for:
- People 65 years of age or older
- Certain younger people with disabilities
and
- People with permanent kidney failure
with dialysis or a transplant, sometimes called ESRD (End-Stage
Renal Disease).
For more information see Medicare or the Official U.S. Government Site for Medicare
Information. |
Insured
Status |
If
you earned enough Social Security credits to meet the eligibility
requirement for retirement or disability benefits or enable your
dependents to establish eligibility for benefits due to your retirement,
disability, or death, you have insured status. For more information
see How You Earn Credits (05-10072). |
Lawful
Alien Status |
People
admitted to the U.S. who are granted permanent authorization to
work by the Immigration and Nationalization Service (INS) or admitted
to the U.S. on a temporary basis with INS authorization to work. |
Lifetime
Earnings |
See
Earnings Record. |
Lump
Sum Death Payment |
A
one-time payment of $255 paid in addition to any monthly survivors
insurance benefits that are due. This benefit is paid only to your
widow/widower or minor children. |
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Maximum
Earnings |
The
maximum earnings we can count for any calendar year when computing
your Social Security benefit. |
Medicaid |
A
joint federal and state program that helps with medical costs for
people with low incomes and limited resources. Medicaid programs
vary from state to state, but most health care costs are covered
if you qualify for both Medicare and Medicaid. For more information
see the Official
U.S. Government Site for Medicare and Medicaid Information |
Medicare |
See
Health
Insurance. For more information read: Medicare
and the Official
U.S. Government Site for Medicare Information |
MOE
(Month of Election) |
This
usually applies to retirement claims. In certain situations, you
can choose the month in which your benefits will start. There are
many different factors that can affect when you want to begin receiving
your payments. Your local office can help you decide. For more information
on factors that can affect your payments see Break-even
points. |
NRA
(Normal Retirement Age) |
See FRA
(Full Retirement Age). |
Number
Holder(NH) |
See
Wage Earner. |
OASDI
(Old Age Survivors and Disability Insurance) |
The
Social Security programs that provide monthly cash benefits to you
and your dependents when you retire, to your surviving dependents,
and to disabled worker beneficiaries and their dependents. |
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Payment
Dates for Social Security Benefits |
If
you filed for Social Security benefits before May 1, 1997, your
payments usually are dated and delivered on the 3rd of
the month following the month for which the payment is due. For
example, payments for January are delivered on February 3rd.
If the 3rd of the month is a Saturday,
Sunday or Federal holiday, your payments are dated and delivered
on the first day before the 3rd of the month which is
not a Saturday, Sunday or Federal holiday. For example, if
the 3rd is a Saturday or Sunday, payments are delivered
on the preceding Friday.
If you filed for Social Security benefits
May 1, 1997, or later, you are assigned one of three new payment
days based on the date of birth of the insured person:
|
Your payment will be delivered on
the…
|
1st
through 10th of the month |
Second
Wednesday of the month |
11th
through 20th of the month |
Third
Wednesday of the month |
21st
through end of the month |
Fourth
Wednesday of the month |
If your scheduled Wednesday payment day is
a Federal holiday, we’ll send your payment on the preceding day
that is not a Federal legal holiday.
For a schedule of 2003 benefit payment dates,
see http://www.socialsecurity.gov/pubs/2003calendar.htm |
Payment
Dates for Supplemental Security Income (SSI) Payments |
SSI
payments are usually dated and delivered on the first day of the
month for which they are due. However, if the first falls on a Saturday,
Sunday or Federal holiday, they are dated and delivered on the first
day preceding the first of the month which is not a Saturday, Sunday
or Federal holiday.
For a schedule of 2003 benefit payment dates,
see http://www.socialsecurity.gov/pubs/2003calendar.htm |
PIA
(Primary Insurance Amount) |
The
monthly amount payable if you are a retired worker who begins receiving
benefits at full retirement age or if you're disabled and have never
received a retirement benefit reduced for age. |
Proofs |
See
Evidence or Evidence
Required to Establish Right to Benefits. |
Protective
Filing Date |
The
date you first contact us about filing for benefits. It may be used
to establish an earlier application date than when we receive your
signed application. |
QC
(Quarter of Coverage) |
Social
Security "credits." As you work and pay taxes, you earn
credits that count toward eligibility for future Social Security
benefits. You can earn a maximum of four credits each year. Most
people need 40 credits to qualify for benefits. Younger people need
fewer credits to qualify for disability or for their spouse or children
to qualify for survivors’ benefits. During their working lifetime
most workers earn more credits than needed to be eligible for Social
Security. These extra credits do not increase eventual Social Security
benefits. However, the income earned may increase the benefit amount.
See How You Earn Credits (05-10072)
and Credits, Social Security. |
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Record
of Earnings |
See
Earnings Record. |
Reduction
Months |
Months
beginning with the first month you're entitled to reduced benefits
up to, but not including, the month in which you reach full
retirement age. |
Representative
Payee |
If
you receive Social Security benefits or Supplemental Security Income
and become unable to handle your own financial affairs, after a
careful investigation, we appoint a relative, a friend, or an interested
party to handle your Social Security matters. Representative payees
are required to maintain complete accounting records and periodically
provide reports to Social Security. For additional information see
Representative Payment Program. |
Retirement
Age – Early |
Age
62 (See Retirement Age – Minimum) |
Retirement
Age – Full Benefits |
Full
retirement age was 65 for many years. However, beginning with the
year 2000 (for workers and spouses born 1938 or later, or widow
and widowers born 1940 or later), the retirement age increases gradually
from age 65 until it reaches age 67 in the year 2022. For additional
information see http://www.ssa.gov/retirechartred.htm.
|
Retirement
Age – Minimum |
The
minimum age for retirement—age 62 for workers, and age 60 for widows
or widowers. You can choose a reduced benefit anytime before you
reach full retirement age. |
Retirement
Earnings Test |
If
you get Social Security benefits, are under full retirement age,
and work, your earnings from wages and/or self-employment that exceed
a certain maximum will cause a deduction in your monthly benefits.
For more information see How Work
Affects Your Benefits (05-10069). |
Retroactive
Benefits (Back Pay) |
"Back
Pay." Monthly benefits that you may be entitled to before the
month you actually file an application, if you meet the entitlement
requirements. |
RIB
(Retirement Insurance Benefit) |
Money
that’s payable to you at full retirement age (you can get reduced
benefits as early as age 62) if you have enough Social Security
credits. For more information see http://www.ssa.gov/retirement/
or read Retirement Benefits
(05-10035) and How Your Retirement
Benefit is Figured (05-10070). |
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SEI
(Self-employment/Self-employment Income) |
You
are self-employed if you operate a trade, business or profession,
either individually or as a partner, and have net earnings of $400
or more in a taxable year. For more information see If
You’re Self-Employed (05-10022). |
Social
Security |
Social
Security is based on a simple concept: While you work, you pay taxes
into the Social Security system, and when you retire or become disabled;
you, your spouse and your dependent children receive monthly benefits
that are based on your reported earnings. Also, your survivors can
collect benefits if you die. For more information see A
Snapshot (05-10006). |
Social
Security Number
(Social Security Card) |
Your
first and continuous link with Social Security is your nine-digit
Social Security Number (SSN). Your SSN helps us to maintain an accurate
record of your wages or self-employment earnings that are covered
under the Social Security Act, and to monitor your record once you
start getting Social Security benefits. To get an SSN, contact your
local Social Security office or call us at 1-800-772-1213. Our TTY
number is 1-800-325- 0778. For more information see Your
Number and Card (05-10002). |
Social
Security Office |
Your
local Social Security office is the place where you can:
- Apply for a Social Security number
- Check on your earnings record
- Apply for Social Security benefits, black
lung benefits, Supplemental Security Income (SSI), and hospital
insurance (Medicare) protection
- Enroll for medical insurance
- Get help applying for food stamps and
- Learn everything you need to know about
your rights and obligations under the Social Security law.
There is no charge for any of our services.
You can also call our toll-free telephone number, 1-800-772-1213,
to receive all these services. This toll-free telephone number service
is available from 7 a.m. to 7 p.m. any business day. All calls are
confidential. In addition,
Many services are now available through the
Internet at http://www.socialsecurity.gov/
You can find the location of your local office
at http://www.socialsecurity.gov/locator/ |
Spouse |
You
are the spouse of the worker if, when he or she applied for benefits:
- You and the worker were validly married
or
- You would have the status of a husband
or a wife for that persons personal property if they had
no will or
- You went through a marriage ceremony in
good faith, which would have been valid except for a legal impediment.
|
SS-5 |
The
application form you need to get a Social Security number, a replacement
card, or a duplicate card. For more information see www.socialsecurity.gov/online/ss-5.html. |
SSN |
Social
Security number. See Social Security Number (Social
Security Card). |
Supplemental
Security Income (SSI) |
A
Federal supplemental income program funded by general tax revenues
(not Social Security taxes). It helps aged, blind, and disabled
people, who have little or no income by providing monthly cash payments
to meet basic needs for food, clothing, and shelter. For more information
see Supplemental Security Income. |
Survivor
(Survivor Benefits) |
Benefits
based on your record (if you should die) are paid to:
- Your widow/widower age 60 or older, 50
or older if disabled, or any age if caring for a child under age
16 or who became disabled before age 22
- Your children, if they are unmarried and
under age 18, under 19 but still in school, or 18 or older but
disabled before age 22
- Your parents if you provided at
least one-half of their support.
A special one-time lump sum payment of $255
may be made to your spouse or minor children. An ex-spouse could
also be eligible for a widow/widower's benefit on your record.
For more information see Survivors
Benefits. |
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Wage Earner |
A
person who earns Social Security credits while working for wages
or self-employment income. Sometimes referred to as the "Number
Holder" or "Worker." |
Wages |
All
payment for services performed for an employer. Wages do not have
to be cash. The cash value of all compensation paid to an employee
in any form other than cash is also considered wages (unless the
form of payment is specifically not covered under the Social Security
Act). |
Widow |
You
are the widow/widower of the insured person if, at the time the
insured person died:
- You and the insured person were validly
married or
- You would have the status of a husband
or a wife for that persons personal property if they had
no will or
- You went through a marriage ceremony in
good faith that would have been valid except for a legal impediment.
The minimum age for
- Disabled widows benefits is age 50.
- Retirement for widows is age 60.
|
Widower |
See
Widow. |
Work
Credits |
See
Credits or Quarters
of Coverage. |
Worker |
See
Wage Earner. |
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