TN 13 (08-23)

NL 00711.060 Earnings and Self-Employment Paragraphs

1100. MAXIMUM WAGES CREDITABLE IN A CALENDAR YEAR

The Social Security Act limits the amount of pay that may be credited as wages to wage earner's social security record. The chart below shows the maximum creditable as wages from (a) use applicable years :

**For current information, refer to applicable instructions.

1110. MAXIMUM EARNINGS FOR A YEAR

The maximum amount of earnings that an employer was required to report for an employee for social security purposes was $ (a) for 19 (b) .

1115. EXCESS EARNINGS ON RECORD

Although $ (a) has been credited to your earnings record for 19 (b) , only $ (c) can be used for that year in figuring benefit payments.

1120. MAXIMUM SELF-EMPLOYMENT INCOME FOR ALL YEARS

The maximum amount of net earnings from self-employment that a person was required to pay social security contributions on is shown below:

**For current information, refer to applicable sections.

1125. COMBINATION OF WAGES AND SELF-EMPLOYMENT

The maximum amount of earnings that can be counted for social security purposes in 19 (a) is $ (b) . This amount may consist of wages, self-employment income, or a combination of both. You were required to report only $ (c) of your net earnings from self-employment because your employer reported wages of $ (d) for you.

•  

  (For (a) and (b), see chart from paragraph 1120 for information.)

1126. EMPLOYEE WISHES TO REPORT OWN EARNINGS

An employee may not report their own earnings for social security purposes. The earnings of an employee in employment covered under the Social Security Act must be reported by their employer.

1130. REQUEST FOR SSA-7008 (STATEMENT OF EMPLOYMENT AND SELF-EMPLOYMENT)

We need additional information to check the accuracy of your earnings record. Please complete the enclosed (a) or (b) and return it to us in the enclosed envelope.

(a)

form

(b)

Form SSA-7008

1132. USE ONLY WHEN 1937 EARNINGS ARE ITEMIZED

Our records do not show the amount of earnings in each quarter of 1937 because employers were required to file reports only twice in that year.

1135. REQUEST FOR EVIDENCE OF WAGES

Before we attempt to conduct an investigation, we need some evidence that you were paid earnings by (a) in (b) . Such evidence may be your personal record books or pay envelopes or other statements given to you by your employer. If you do not have any evidence, ask the employer whether their records show the amounts of earnings paid to you and whether they are willing to give us the information.

(a)

name of employer

(b)

month, year

1140. REQUEST FOR EVIDENCE OF SELF-EMPLOYMENT

Before we investigate your claim for self-employment income for (a) , we need evidence that you reported these earnings to the District Director of Internal Revenue within the time limitation. The evidence may be a copy of a Form 1040 (Individual Income Tax Return (IRS) and (b) or (c) , a cancelled check made out to the Internal Revenue Service, money order receipt, cashier's receipt, or a receipt issued by the Internal Revenue Service.

(a)

year

(b)

Schedule C (Profit (or Loss) from Business or Profession)

USE IF INCOME IS DERIVED FROM FARMING

(c)

Schedule F (Schedule of Farm Income and Expenses)

Please send any evidence you are able to obtain to this office.

1160. CONTRIBUTION RATES

Information about social security contributions and the contribution rate may be found in the enclosed publication.

NOTE TO TYPIST: Enclose SSA Publication No. 78-10035 (or current revision).

1165. REQUEST FOR REFUND OF SOCIAL SECURITY CONTRIBUTIONS

There is no provision in the Social Security Act for refunds of contributions properly collected from a person's earnings.

1. A. 

   Social security contributions go into the United States Treasury, as all Federal taxes do. They are deposited in the trust funds out of which benefits and the administrative expenses of the program are paid.

2. B. 

   In most cases the worker received, during their working life, protection for their dependents of a value greater than the contributions made by them. If we were to refund the contributions, we would have provided a period of protection at no cost to the worker.

1166. ALL EARNINGS WERE REPORTED BY ONE EMPLOYER

You should notify your employer if social security contributions were withheld on earnings in excess of $ (a) for (b) .

(a)

maximum amount

(b)

year

1167. EARNINGS REPORTED BY MORE THAN ONE EMPLOYER

You should notify the District Director of Internal Revenue with whom you filed your income tax returns if social security contributions were withheld on earnings in excess of $ (a) because you worked for more than one employer and you did not claim credit for the excess contributions on your Federal income tax return for (b) . The request must be filed with the District Director by April 15, (c) , to receive a refund of excess contributions withheld for (b) .

(a)

maximum amount

(b)

year

(c)

year statute of limitations expires

1170. VOLUNTARY CONTRIBUTIONS

There is no provision in the Social Security Act which permits a person to:

1. A. 

   make voluntary contributions for the purpose of obtaining benefits under the social security program.

2. B. 

   continue their social security insurance protection by means of voluntary contributions.

3. C. 

   make voluntary contributions to qualify for social security benefits or to increase benefit amount.

1175. STATUTE OF LIMITATIONS—SELF-EMPLOYMENT INCLUDED

Under the law, the records of the Social Security Administration may not be corrected to include self-employment income, unless such income is reported on a tax return to the Internal Revenue Service within 3 years, 3 months, and 15 days after the close of the taxable year in which it was derived.

1175.1 EARNINGS RECORD CORRECTED

The earnings records of the Social Security Administration may not be corrected after the expiration of 3 years, 3 months, and 15 days following the year in which the income was derived unless the error was brought to our attention during the above period or such income was reported on a tax return to the Internal Revenue Service within such time limitation.

1175.2 SELF-EMPLOYMENT DELETED

The records of the Social Security Administration may not be corrected to delete an entry of self-employment income after 3 years, 3 months, and 15 days following the taxable year in which the income was derived, unless the error in reporting was brought to our attention within such time limitation, or a request for adjustment is approved by the Internal Revenue Service.

1180. STATUTE OF LIMITATIONS—EARNINGS

The earnings record of the Social Security Administration may not be corrected after the expiration of 3 years, 3 months, and 15 days following the year in which the earnings were paid, unless the error in these records was brought to our attention within such time limitation or the employer files a request for correction which is approved by the District Director of Internal Revenue.

1181. PROOF OF EARNINGS

However, if no earnings were reported by an employer for an employee requesting a revision of their earnings record for any calendar quarter after 1936, the omitted earnings may be credited to the employee's earnings record upon receipt of acceptable proof that such earnings were paid.