BASIC (11-81)

NL 00711.090 International Operations Deductions and Nonpayment Paragraphs

3801. WORK DEDUCTIONS — 7 DAY TEST — GENERAL

Under the 7-day work test, benefits will be withheld for any month in which a beneficiary is employed on 7 or more days, regardless of how little he earns or how few hours he works during those days.

3803. OVER 72

(a) If, (b) Since you are over 72, no benefits will be withheld because of your work.

3804.A TO BENEFICIARY

If you do any work or engage in any business while outside the United States, you may not be eligible to receive a benefit payment for any calendar month during which you work on any part of 7 or more days. This is true regardless of how little you earn or how few hours you spend working during these 7 days.

3804.B CHECK TO BE RETURNED

Any check you receive for a month in which you work on 7 or more days or were otherwise not eligible for payment should be returned to the Treasury Department, Director, Disbursing Center, P.O. Box 7838, Philadelphia, PA 19101, U.S.A.

3805. U.S. CITIZENSWORKING OUTSIDE U.S. IN NONCOVERED REMUNERATIVE ACTIVITY EMPLOYEE

Your employment with (a) name and address of employer is not covered under the Social Security Act because you are working for a foreign employer and the wages you receive are not subject to United States social security taxes. Therefore, you are subject to the 7-day work test. (b) Add paragraph 3801 above .

3809. SOLE OWNER OF TRADE OR BUSINESS

Since you are the only individual engaged in the business you own, we must determine whether you were active in the business on a part of 7 or more days during a month. If not, we must determine whether you held yourself out to others as being available for such services on 7 or more days of the month. If you believe neither applies in your case, it will be necessary for you to specifically explain which month you were not performing services and why you were not available to perform such services on a part of 7 or more different days a month.

3811. ALIEN WORKING OUTSIDE U.S. — EMPLOYEE

Since you are not a citizen of the United States, your employment while outside of the United States is not covered under the Social Security Act even though you are working for an American employer. Therefore, you are subject to the 7-day work test.

3811.1 ALIEN WORKING OUTSIDE U.S. — DEDUCTIONS APPLY

Your employment is not covered under the Social Security Act (a) even though you are working for an American employer because, (b) because you are working for a foreign employer and the wages you receive are not subject to United States social security taxes. Therefore, you are subject to the 7-day work test. Accordingly, since you are working on a part of 7 or more days in a calendar month, work deductions must be made against your benefits. The amount of your earnings and the number of hours worked on any particular day do not matter.

3811.2 SELF-EMPLOYED OUTSIDE THE U.S. — ALIEN

While you are under age 72, self-employment outside the U.S. may make you ineligible to receive benefits for some months. If the earnings from your trade or business are not reportable to the Internal Revenue Service as being subject to U.S. social security taxes, a 7-day test applies. That is, you are not eligible to receive benefits for any month in which you are self-employed on 7 or more days.

The amount of earnings and number of hours you work on any particular day do not matter; the mere fact that you are (a) type of activity on 7 or more different calendar days or that you are available to (b) type of activity on 7 or more different calendar days during a month requires that we withhold your benefit payments for such month.

3815. W/E'S WORK DEDUCTIONS AGAINST AUXILIARY BENEFITS — FOREIGN

Benefits to your  wife, children, etc.   cannot be paid for any month in which your benefits are withheld because of your work.

3816. MAXIMUM BENEFIT CASE — BENEFICIARY SUBJECT TO DEDUCTIONS, BUT RECEIVES PARTIAL RATE

If a beneficiary does any work or carries on any business while outside the United States, he may not be eligible to a benefit payment for any calendar month during which he works on any part of 7 or more days. However, a beneficiary may, in some cases, continue to receive a portion of his benefits even though he is employed. This would occur where there are several beneficiaries in the family, and, to keep within the maximum amount payable to the family, benefits have been reduced in an amount which equals or exceeds the monthly benefits the working beneficiary ordinarily receives. In this case, the working person may receive $  (a)   as long as no other beneficiary in the family works or is otherwise subject to deduction or termination of benefits. You should notify us immediately if (b) or (c) stop(s) working on 7 or more days a month so that our records can be changed.

(a)

amount

(b)

you

(c)

name of beneficiary

3817. MAXIMUM BENEFIT CASE — BENEFICIARY SUBJECT TO DEDUCTION, BUT RECEIVES FULL RATE

In certain cases, a beneficiary may receive all of his benefits even though he is employed. This would occur where there are several beneficiaries in the family, and, to keep within the maximum amount payable to the family, benefits have been reduced in an amount which equals or exceeds the monthly benefits the working beneficiary ordinarily receives. This applies as long as no other beneficiary in the family works or is otherwise subject to deduction or termination of benefits. However, you should notify us immediately if (a) or (b) stop(s) working on 7 or more days in a month so that our records can be changed.

(a)

you

(b)

name of beneficiary

3818. WORK DEDUCTIONS — WAGE EARNER — NO PAYMENT DUE BECAUSE OF FULL WORK DEDUCTIONS

No benefits are payable at this time since you are working on 7 or more days each month. If you stop working, you should notify us immediately so that your benefits may be resumed.

3819. WORK DEDUCTIONS — AUXILIARY — PAST EMPLOYMENT

Since your spouse was employed from (a) month and year , through (b) month and year , no benefits were payable. Consequently, none can be paid to (c) you, your child, your children for that period.

3819.1 WORK DEDUCTIONS — AUXILIARY — PRESENT EMPLOYMENT

Since your spouse is not eligible to receive benefits now because of employment which began in (a) month and year , no benefits can be paid to (b) you, your child, your children beginning with that month.

3819.2 WORK DEDUCTIONS — AUXILIARY — GENERAL

Under the provisions of the Social Security Act, the (a) wife, (b) husband, (c) child, (d) children may not be paid benefits for any month in which the worker is not eligible to receive his benefits because of work.

3820. PAYMENT RESUMED — BASED ON STATEMENT NO LONGER WORKING ON 7 OR MORE DAYS A MONTH

Your benefit payment is being resumed based on your statement that you will not work on 7 or more days a month beginning      . If you do not stop work as planned, please notify us immediately.

3822. DEPORTATION — DEPORTED WORKER

Some deported workers may not be paid social security benefits unless lawfully readmitted to the United States for permanent residence. This nonpayment provision is effective if the worker was deported after September 1, 1954, under certain provisions of the Immigration and Nationality Act.

3822.1 DEPENDENTS OF DEPORTED WORKER

Dependents or survivors can receive monthly benefits even though the worker cannot be paid because of his deportation. However, if they are not U.S. citizens, no benefits will be paid to them for any month in which they are outside the United States.

3822.2 LSDP OF DEPORTED WORKER

No lump sum death payment can be paid on the social security record of a worker who was deported after September 1, 1954, under certain provisions of the Immigration and Nationality Act.

3824. ALIEN NONPAYMENT — GENERAL

A beneficiary who is not a United States citizen cannot be paid monthly benefits after he has been outside the United States for six full consecutive calendar months unless certain conditions are met. These conditions are explained in the enclosed publication. However, benefits can be started again if the beneficiary returns to the United States and lives here for one full calendar month. This, of course, means he must be in this country continuously from before midnight of the last day of one month until after midnight of the last day of the next month.

NOTE TO TYPIST: Enclose SSA Publication No. 77-10137 (or current revision)

3824.1 INQUIRY REGARDING PAYMENT OUTSIDE UNITED STATES BY UNITED STATES CITIZEN

The restriction on payments of social security benefits to persons absent from the United States for more than 6 months does not apply to citizens of the United States.

Therefore, as long as (a) or (b) a United States citizen, length of absence from the United States will not affect payment of (c), (d), or (e) benefits.

(a)

you are

(b)

a person is

(c)

your

(d)

his

(e)

her

3824.2 GENERAL INFORMATION REGARDING CITIZENS OF COUNTRIES WHERE 10 YEARS' RESIDENCE AND 40 QUARTERS OF COVERAGE EXCEPTIONS NO LONGER APPLY

Beginning July 1968, a worker's 10 years' residence in the United States or 40 calendar quarters of coverage under the United States social security system does not protect payment to citizens of countries having a social insurance or pension system of general application, which does not pay benefits at the full rate to qualified United States citizens outside that country. Once a citizen of such a country is outside the United States for more than six full consecutive calendar months, his benefits will be stopped unless he meets some other exception to the nonpayment provision.

The exceptions are explained in the enclosed publication.

NOTE TO TYPIST:Enclose SSA Publication No. 77-10137 (or current revision)

3824.3 EXPLANATION OF RETURNING TO THE UNITED STATES TO CONTINUE TO RECEIVE BENEFITS

If a person is not a United States citizen and meets none of the conditions which permit payment of benefits outside the United States, in order for us to continue payments he must:

  1. Return to the United States at least once every 30 days;or

  2. Return to the United States for 30 full consecutive days prior to the end of the 6-month period.

If neither of the above is done, benefits will be stopped after an absence of 6 months. Once benefits are stopped, the beneficiary must return to the United States for one full calendar month before benefits are resumed. This means he must be in the United States continuously from before midnight of the last day of one month until after midnight of the last day of the next month.

3824.4A. REPLY TO COMPLAINT-TYPE CORRESPONDENCE FROM CITIZENS OF COUNTRIES WHERE 10 YEARS' RESIDENCE AND 40 QUARTERS OF COVERAGE EXCEPTIONS NO LONGER APPLY — PUBLICATION ENCLOSED

Enclosed is a publication which fully explains the effects of the law on social security beneficiaries who are outside the United States.

NOTE TO TYPIST: Enclose SSA Publication No. 77-10137 (or current revision).

3824.4 B. COUNTRY OF CITIZENSHIP KNOWN

The information available to the Social Security Administration indicates that (a) name of country of citizenship has a social insurance or pension system which will not pay qualified United States citizens at the full rate outside of that country. The fact that (b) or (c) resided in the United States for 10 years or more or earned 40 quarters of coverage under the United States social security system will not protect payment of benefits on this earnings record.

Benefits will be stopped beginning     (d)     unless (b) or (c) returns to the United States before then.

(b)

you

(c)

the worker

3824.5 NOT YET ABSENT 6 MONTHS — CITIZENSHIP DETERMINED — SUSPENSION APPLICABLE

Your social security benefits will be stopped beginning      , unless you return to and remain in the United States for 30 days before that month. Since you are not a citizen of the United States, your benefits can be paid only for 6 months after you leave this country unless you return to the United States before the expiration of the 6-month period, as explained in the enclosed publication.

Benefits are not stopped if any of the conditions listed in the publication for permitting payment are met. We have determined, however, that none of these exceptions apply to your claim.

NOTE TO TYPIST: Enclose SSA Publication No. 77-10137 (or current revision).

3824.6 NOT YET ABSENT 6 MONTHS — CITIZENSHIP NOT DETERMINED

A beneficiary who is not a United States citizen cannot be paid monthly benefits after he has been outside the United States for 6 full consecutive months unless one of the conditions listed in the enclosed booklet is met. The conditions which might apply in your case are those which are dependent on your citizenship.

NOTE TO TYPIST: Enclose SSA Publication No. 77-10137 (or current revision).

Citizenship Undetermined

(A)

Since you have not submitted sufficient evidence to enable us to determine the country of which you are a citizen, your benefits will be stopped beginning   date    .

Alleges U.S. Citizenship

(B)

If you are a citizen of the United States, you should get in touch with the nearest United States Foreign Service post and obtain a formal statement or other evidence of your United States citizenship. Your benefits will be stopped beginning (a) date if proof of your United States citizenship is not received before then.

Alleges Citizenship of Country That Meets an Exception

(C)

If you are a citizen of (a) country,  please submit proof of your citizenship. This can be a formal statement issued by officials of your country of citizenship indicating that you are a citizen of that country. Your benefits will be stopped beginning (b) date   if proof of your citizenship is not received before that month.

3824.7 WHEN EVIDENCE OF BENEFICIARY'S ALLEGED UNITED STATES CITIZENSHIP MUST BE DEVELOPED

You should get in touch with the nearest United States Foreign Service post for a formal statement or other evidence of United States citizenship. This information should then be sent to this office as soon as possible.

3825. NONPAYMENT LUMP-SUM DEATH PAYMENT (LSDP) — OUTSIDE U.S. MORE THAN 6 MONTHS

No lump-sum death payment can be paid on the social security earnings record of a worker who is not a citizen of the United States and who could not have received a monthly benefit for the month prior to the month of his death because of his absence from the United States for a period of more than six full consecutive calendar months.

3825.1 NONPAYMENT LSDP — BENEFITS STOPPED

If a worker dies outside the United States while his benefits were stopped due to his absence from the United States, no lump-sum death payment is made on his social security earnings record.

3827. TREASURY RESTRICTIONS — GENERAL

Under Treasury Department regulations, we cannot make payments to residents of Cuba and North Korea.

(A)

While a beneficiary is in (a) or (b) , no benefit payments may be made to him, nor may payments be made to anyone else on his behalf under power of attorney or otherwise.

(B)

Benefits to a United States citizen which are withheld while he is in (a) or (b) can be paid if the prohibition against delivery of checks is lifted or he leaves the country.

(C)

In the event he leaves the country involved, it will be necessary for him to submit evidence that he is eligible to receive benefits.

(a)

one of the above named countries

(b)

name of country

3828. A. TREASURY RESTRICTIONS — RESIDENCE

Persons who are not citizens of the United States and reside in one of the countries where delivery of checks is prohibited by Treasury Department regulations are not eligible for benefits after June 1968.

3828. B. ACCRUAL PRIOR TO JUNE 1968

Payment of any benefits accrued prior to July 1, 1968, may not be in excess of the last 12 months benefits. Such payment may be made only to the entitled person, or if he is deceased, only to a person entitled to monthly benefits on the same earnings record as the deceased for the month in which he died. However, such payments can be made only when the beneficiary is in a country where payment is not restricted or the restriction is removed.

3829. LUMP-SUM DEATH PAYMENT OF RESIDENT AND CITIZEN OF RESTRICTED COUNTRY

No lump-sum death payment can be paid on the social security earnings record of a worker who is not a citizen of the United States and who, in the month before his death, was residing in a country where Treasury Department regulations prevent delivery of checks.

3831. CONDITIONS UPON WHICH PAYMENT MAY BE MADE TO RESIDENTS NOW IN BARRED COUNTRY

The Treasury Department restriction on the issuance of checks to (a) name of barred country has no effect on eligibility to benefits of a United States citizen under the social security law. If and when the Treasury Department restriction is removed or if the beneficiary moves or visits a country to which checks may be sent, all the withheld benefits to which he is otherwise entitled may be paid. However, this may be done only upon the satisfactory establishment of the beneficiary's identity and continued eligibility to the accrued monthly benefits.


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NL 00711.090 - International Operations Deductions and Nonpayment Paragraphs - 02/09/2015
Batch run: 02/09/2015
Rev:02/09/2015