Effective Dates: 5/27/2025 - Present

Identification Number:
RS 01405 TN 10
Intended Audience:See Transmittal Sheet
Originating Office:ORDP OISP
Title:Wage Correction/IRS Coordination
Type:POMS Full Transmittals
Program:All Programs
Link To Reference:
 

PROGRAM OPERATIONS MANUAL SYSTEM

Part RS – Retirement and Survivors Insurance

Chapter 014 – Wages

Subchapter 05 – Wage Correction/IRS Coordination

Transmittal No. 10, 05/27/2025

Audience

PSC: CS, ICDS, IES, ISRA, RECONR, CTE, TSA, TST;
OCO-OEIO: CR, CTE, FCR, FDE, RECONE, RECONR;
OCO-ODO: CR, CST, CTE, CTE TE;
FO/TSC: CS, CS TII, CSR, CTE, DRT, FR, OA, OS, RR, TA, TSC-CSR;

Originating Component

OISP

Effective Date

Upon Receipt

Background

We are updating instructions for Listing Code 374 Earnings Record (ER) Discrepancy/Adjustment to provide additional clarity and expand on the usage of listing code 374. Additional clarification stemmed from Audit 22018001, OIG Review of Institutionalized Beneficiaries Who Have Earnings, Recommendation 3, Re-examine the controls to prevent the erroneous posting of earnings for individuals with previously removed or disclaimed earnings.    

Summary of Changes

RS 01405.090 Listing Code *374 (Earnings Record (ER) Discrepancy/Adjustment)

We added asterisk before "374" throughout this POMS section per MS 04905.010, E. 6-0, "National listing codes have an ( * ) in the first position."

Subsection A., added "SSA employee" to be more specific and added a reference and added in the NOTE "(see subsection C)."

Subsection B.1, added a second bullet for technicians to post message to MBR and added two more POMS references to bulleted list. Updated the NOTE for clarity to expand on the examples for using listing code *374 and clarifying language in the beginning of the NOTE “cases in PCACS under listing code *374”, “wages or” “both SEI and railroad compensation, individuals who are institutionalized” Also added two POMS references

Subsection B.3, removed POMS reference title consistent with other POMS sections.

Subsection C., in the title deleted "cancel" and replaced with "delete" per MS 04905.010 and expanded on the examples for using listing code *374 by adding in the parenthesis “wages or” “both SEI and railroad compensation, individuals who are institutionalized” and deleted "cancel the", replaced with "delete" and deleted "at issue" and replaced with "in question" to be specific. Also, made grammatical changes by adding "that" before "reflects" and deleted "at issue" and replaced with "in question" to be more specific.

Subsection D., clarified deletion of listing code *374 by adding "unless the issues are continuing (see subsection C)." Also, added new paragraph to explain if the listing code is not deleted the impact of future automation of AERO increases.

RS 01405.090 Listing Code *374 (Earnings Record (ER) Discrepancy/Adjustment)

A. Procedure for using listing code *374

When SSA authorizes an earnings adjustment (including any for military service) or if SSA is still processing the posting of earnings, an SSA employee lists cases involved in the Processing Center Action Control System (PCACS) under listing code *374. See RS 01405.005.

NOTE: Use listing code *374 for temporary and ongoing earnings inaccuracies and remove the code after resolving all earnings issues (see subsection C).

B. When to use listing code *374

1. Adjustments involved

When the Suspense Reinstate Daily Batch Adjustment and Reinstate System (SRDBAR) rejects an item correction (ICOR) adjustment and requires correction, an SSA employee:

  • •

    Lists cases that require correction in the PCACS under listing code *374; and

  • •

    Posts a special message to the beneficiary's Master Beneficiary Record (MBR) explaining the earnings discrepancy.

See Instructions:

  • •

    MS 01530.001, Item Correction Adjustment Rejects - Overview

NOTE: List cases in PCACS under listing code *374 for beneficiaries with a history of inaccurate earnings postings (ex: ID theft cases, ongoing issues with disclaimed wages or SEI, both SEI and railroad compensation, individuals who are institutionalized, etc.). See SM 04610.013 and RS 01804.030.

2. Earnings record posting is still in process

List cases in PCACS if the posting of reported earnings is delayed (e.g., there is a problem with an employer's report), see RS 01404.160.

3. Pre-lag development

If excluding a year from the computation of benefits, see RS 01404.110.

C. When to delete listing code *374

Unless the issues are continuing (ex: ID theft cases, ongoing issues with disclaimed wages or SEI, both SEI and railroad compensation, individuals who are institutionalized, etc.), delete listing code *374 when clearing an SRDBAR reject and/or any subsequent Automated Earnings Reappraisal Operation (AERO) output that reflects the corrected earnings, delayed posting, or military service periods for the year(s) in question.

D. Description of AERO action with listing code *374

Cases listed under listing code *374 will identify any AERO action for claims specialist's review in the Payment Center, see SM 04610.032.

This is to prevent automatic processing of PIA increases when processing any AERO action. This will ensure that the ER revision made, delayed posting, or military service is taken into account when processing any AERO action, see SM 04610.032. Once the ER has been corrected, delete listing code *374 unless the issues are continuing (see subsection C).

If listing code *374 is not deleted, future automation of AERO increases is prevented because AERO BYPASS file generates an alert to the PC for manual review by a technician for payment accuracy for the beneficiary. There should also be a special message on the MBR per subsection B.1 above explaining any earnings discrepancy.


RS 01405 TN 10 - Wage Correction/IRS Coordination - 5/27/2025