TN 1 (07-97)

HI 01015.001 Purpose

All SMI premiums, whether deducted from monthly benefit payments or remitted by or on behalf of the beneficiary, are deposited to the FSMI Trust Fund for use in the payment of SMI benefits. A matching amount is also deposited in the FSMI Trust Fund from Federal general revenue funds. Therefore, one of our major responsibilities is to ensure that a proper accounting is made of all sums that should be deposited or withdrawn from the trust fund as a result of actions processed by Benefit Authorizers and Health Insurance and Inquiries Examiners.

Normally, trust fund accounting is accomplished automatically by the various processing programs such as Manual Adjustments, Credits and Awards Processes (MADCAP), Maturing Action Program (MAP), Post-Entitlement Premium Payment and Enrollment (PEPPER), Automatic Earnings Reappraisal Operation (AERO), etc. However, there will be instances when trust fund adjustments must be made manually. This subchapter is addressed to those situations and, in addition, provides a complete description of all trust funds and accounts from and to which funds may be transferred.


To Link to this section - Use this URL:
http://policy.ssa.gov/poms.nsf/lnx/0601015001
HI 01015.001 - Purpose - 08/13/1997
Batch run: 01/27/2009
Rev:08/13/1997