Citations:

Social Security Act — Section 1127

Regulations 20 CFR 404.408b and 20 CFR 416.1123(d)

TN 13 (09-95)

SI 02006.001 The Windfall Offset Provision

A. Definitions

1. Title II

A reduction of retroactive title II benefits by the amount of supplemental security income (SSI) benefits that would not have been due if we had paid the title II income on time.

2. Title XVI Offset

A reduction of SSI benefits by counting retroactive title II benefits as if we had paid them on time.

B. Policy Principle — The Title II Offset Computation

1. SSI Due

Includes federally administered State supplementary payment.

2. SSI Would Have Been Due

What would have been due if the retroactive title II income were paid in the months it was regularly due.

3. Formula

a. Step 1

  SSI due
- SSI would have been due
  Offset amount

b. Step 2

  Retroactive title II
- Offset amount
  Balance paid to recipient

C. Description of Retroactive Title II Benefits in the Title II Offset

The chart below describes the disposition of retroactive title II benefits in title II offset.

                 

 

                  

 

———————————————————-

 

Retroactive
Title II
Benefits

Offset Amount—
Federal SSI
Money

U.S.
Treasury

  

                  

  

                  

 

———————————————————-

 
 

Offset Amount—
Federally Administered
State Supplement
Money

State
Treasury

  

                  

  

                  

 

———————————————————-

SSI
Recipient

                  

Balance

 
  

                  

D. References

Basic Policies and Procedures, GN 0261