A claimant initially filing for title II benefits who is working may benefit by a deduction of IRWE from earnings in a determination of SGA.

• •

  When reported earnings are already below the SGA level, no development of IRWE is necessary.

• •

  When reported earnings are at or above the SGA level, determine first whether the deduction of alleged IRWE would reduce earnings below the SGA level.

If alleged IRWE do not reduce earnings below the SGA level, no further development is necessary.

If alleged IRWE do reduce earnings below the SGA level, verify and document according to DI 10520.020 and DI 10520.025.

The guides for evaluating IRWE and applying such expenses in title II determinations of SGA are applicable to title II CDR case processing as well as initial and reconsideration case processing.

A claimant initially filing for title XVI payments on the basis of disability (but not blindness) who is working may benefit by a deduction of IRWE from earnings in a determination of SGA. For blind work expenses see SI 00820.535.

IRWE development is necessary in all cases when earned income is over the $65 per month earned income exclusion (or up to $85 per month if the $20 general exclusion has not been used up on unearned income) to determine if the SSI payment amount might be affected. IRWE should be developed and verified for exclusion from earnings in determining countable earned income and the SSI payment amount.