TN 11 (09-87)

RM 03812.010 Only Lag Earnings Alleged

A. Current Calendar Year Earnings Questioned

  1. If no valid reason is given for questioning the earnings record, explain the lag period and ask the NH to request an earnings statement after the earnings should be posted. Form SSA-L1127 is often acceptable for this purpose.

  2. If the NH gives a valid reason for questioning the earnings record, explain the lag period and ask the NH to wait until February of the following year to determine if a Form W-2 is received. Further advise the NH that:

    1. If a Form W-2 is received, an earnings statement should be requested after the earnings should be posted.

    2. If Form W-2 is not received, the local Social Security office should be contacted and requested to provide a correction of the earnings record.

      NOTE: The following are examples of valid reasons for questioning lag earnings:

      1. The employer did not ask for the employee's SSN.

      2. The employer did not withhold Social Security contributions.

      3. The employer did not provide a Form W-2 or furnished a W-2 with incorrect information (only valid after January 31 of the year following the year being questioned).

B. Preceding Calendar Year Earnings Questioned

  1. If no valid reason is given for questioning the earnings record, explain the lag period and ask the NH to request an earnings statement after the earnings should be posted. Use Form SSA-L1127 or similar language in a dictated letter.

  2. If the earnings record is questioned because the Form W-2 showed an incorrect SSN, determine if sufficient Unsolicited Reinstating Information (URI) is furnished to prepare a lag reinstatement. If sufficient URI is:

    1. Furnished, take the following actions:

      1. Prepare an SSA-4582 CD, Wage Suspense/Reinstate Card.

      2. Release the SSA-4582 CD to EPB.

      3. Use the Form SSA-L1123 to reply to the NH or use similar language if a dictated letter is necessary.

    2. Not furnished, explain the lag period and ask the NH to request an earnings statement after the earnings should be posted. Use the Form SSA-L1127 or similar language in a dictated letter.

      NOTE: Sufficient URI consists of the EIN, the reported SSN, the reported surname, the year of earnings, the correct SSN and the correct surname.

  3. If the earnings are questioned because the NH does not believe the employer will report his/her earnings and the NH did not receive a Form W-2, establish an ED case and request development by the field office. The FO should secure primary and, if necessary, secondary evidence. The FO should also question the employer about why the NH believes earnings will not be reported (e.g., ask the employer why he/she did not furnish the NH a Form W-2). Upon receipt of the field office development:

    1. Review the case.

    2. Prepare an initial determination.

    3. Prepare any adjustment to the earnings record required by the determination.

    4. Notify the NH of the initial determination and include the reconsideration paragraph.


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0103812010
RM 03812.010 - Only Lag Earnings Alleged - 03/16/2012
Batch run: 03/16/2012
Rev:03/16/2012