TN 6 (12-93)

NL 00601.045 How Postentitlement Notices Are Processed

A. Process

Postentitlement notices are processed as follows:

1. Automated job stream-1 (AJS-1)

The AJS-1 system, also known as Automated Earnings Reappraisal Operation (AERO), primarily adjusts monthly benefit amounts based on changes in earnings. In addition to processing AERO increases, the system will consider other rate changes such as Delayed Retirement Credits (DRC) and Reduction Factor (ARF) adjustments.

The system generates the notice for most actions.

2. Automated job stream-3 (AJS-3)

The AJS-3 system primarily processes postentitlement events related to work. This includes work notices, annual reports, ARF/DRC adjustments, enforcement, penalties, and the attainment of age 70.

The system usually generates the notice to inform all beneficiaries affected by any changes in payment status, payment amount, or overpayments and underpayments.

3. Suspension and life terminations (SALT)

The SALT system processes:

  • Terminations for marriages, divorce, and claims withdrawal

  • Suspensions for no child-in-care, VR refusal, development of representative payee, deportation, failure to return Form SSA-7162, and living in a barred payment country.

The system generates the notice for most actions (See NL 00730.005).

4. Terminations, attainments, transfers and terminations (TATTER)

The TATTER system processes:

  • Death terminations

  • Full retirement age Disability transfers

  • Full retirement age entitlement conversions

  • Disability denials

  • Disability Cessations

The system usually generates an award notice when benefits are converted from B2 to E, B to D, and B6 to D6. The system now generates an SSA-L3926-EP notice when converting from DIB to RIB.

5. Terminations, attainments and student enforcement (TASTE)

The TASTE system is used to process actions related to student benefits. This includes actions based on school attendance, such as:

  • Terminations

  • Suspensions

  • Reinstatements

  • Student Awards

In addition, it is used to process related actions such as termination of mother's or father's benefits when the last child on the record attains age 16.

The system generates the notice.

6. Recovery of overpayment, accounting, reporting (ROAR)

The ROAR system is used to control the collection of overpayments.

The system generates an SSA-L3926-EP notice when the type of action is an adjustment, deferral, or current month adjustment (CMA).

7. Returned check action (REACT)

The REACT system is used to process returned benefit checks. Based on the reasons for the check return and account status, the system will take one of the following actions:

  • Suspend benefits

  • Reissue checks previously returned

  • Reinstate from LAF “S-6” (suspended for bad address) and “S-8” (suspended for rep-payee development)

An SSA-L3926-EP letter is generated when:

  • Reinstating from S-6 or S-8 status

  • Repaying a PMA check

8. Maturing actions (MAP)

Once a month MAP selects individuals:

  • Who are due to go into current payment status from deferred status

  • Who have advance filed and are ready to go into payment status

Two computer-generated notices are produced as a result of MAP processing:

  • Adjustments to the first check for Medicare premiums.

  • Redeferrals (because the premiums due exceed the amount of the payment.)

B. Description of other postentitlement notices

Other postentitlement notices are described below:

1. Manual adjustment, credits and award processes (MADCAP)

This is the means used to process an action that could not be processed through one of the object programs. However, the MADCAP system has the capability to produce an automated notice in many cases.

The BA is responsible for these notices. The content is based on input information from the SSA-2795-U2 and the MBR.

2. Exhibit and form letters

Occasionally neither the fully automated systems nor the MADCAP system can produce an appropriate or complete postentitlement notice. In these situations, the PC should either use a form letter in