The guaranteed minimum provision applies if a beneficiary is:
Receiving totalization benefits from both the United States and Italy; and
The sum of benefits received from both countries is less than the amount the beneficiary
would receive based on the regular minimum PIA; and
The beneficiary is residing in the United States.
Under the guaranteed minimum provision, a beneficiary's U.S. totalization benefit
is increased so that the total of the benefits that he receives from both countries
is equal to the amount of the benefit which would be payable to him based on the regular
U.S. minimum PIA in effect. This increased amount is only paid while the beneficiary
remains a U.S. resident.
A wage earner, who is a resident of the United States, files for and is awarded totalization
benefits from both the United States and Italy beginning 11/78. (His U.S. benefit
is not reduced for age.) The U.S. minimum PIA in effect at that time is $121.80. Based
on his earnings from both countries, his monthly totalization benefit is $68.50 from
the United States and $45.50 from Italy for a total of $114.00 a month. As long as
he is residing in the United States, his monthly U.S. totalization benefit is raised
to $76.30 (minimum U.S. PIA $121.80 - Italian totalization benefit $45.50) so that
the total he receives from both countries equals the U.S. benefit which would be payable
to him based on the minimum PIA.
This provision applies independently to each person receiving benefits on the record
based on his residence. For example, an entitled NH is residing in Canada, but his
wife and children are residing in the United States. The family is receiving totalization
benefits from both Italy and the United States. The sum of these benefits payable
to the wife and children is lower than the benefits which would be payable based on
the U.S. minimum PIA. Therefore, the wife and children would have their benefits raised
to the level which would be payable based on the minimum PIA. However, the wage earner,
a Canadian resident, would receive only the basic totalization benefits from each
When beneficiaries residing in the United States are entitled to guaranteed minimum
benefits, the case is listed under Listing Code 996 (Guaranteed Minimum - Resident
of U.S.) and a folder flash (SSA-1208) is prepared.