Example 1.
Edna Roberts was entitled to DIB from 10/79 through 11/80 based on an onset date of
4/23/79. Their PIA in 10/79 was $312.20. Edna’s PIA in 1/80 was recomputed to $314.30
by including their 1979 earnings. Their PIA in 11/80 was $359.30. In 7/81 they became
reentitled to DIB, based on an onset date of 6/15/81. Due to the recomputation, the
DIB guarantee PIA is larger than the PIA determined under any other method.
Since Edna was entitled to DIB in the 12-month period preceding their current eligibility
and their prior eligibility is after 1978, the bend point formula applicable to the
prior DIB eligibility year is used to compute the family maximum. The 1979 formula
is applied to the PIA applicable in the last month of prior DIB entitlement.
$359.30 - $332.00 = $27.30
$27.30 x 1.34 = $36.58
$36.58 + $622.44 = $659.02 rounded to $659.10
Edna is reentitled to benefits within the 12 months following their last month of
previous DIB entitlement. The 6/81 COL increase is applied to the basic maximum to
determine the family maximum in 7/81.
If Edna is insured in 7/81, without considering the prior period of disability, a
maximum must also be computed using the bend point formula applicable to the current
eligibility year. The 1981 formula is applicable to the PIA applicable in the last
month of prior DIB entitlement.
$359.30 - $270.00 = $89.30
$89.30 x 2.72 = $242.89
$242.89 + $405 = $647.89 rounded to $647.90
Because of Edna's reentitlement within the 12 months following their last month of
entitlement to the previous DIB, the 6/81 COL increase would be applied to the basic
maximum computed under the 1981 bend point formula. The family maximum in 7/81 is
$659.10 increased by the 6/81 COL increase, since it result in the larger family maximum.
Example 2.
Matthew Barrett, DOB 3/23/18, was entitled to DIB from 10/75 through 3/79. based
on an onset date of 4/15/75. Their DIB PIA was recomputed in 1/79 to include their
1978 earnings. Their DIB PIA in 3/79 was $341.10. On May 12, 1980, Matthew filed for
reduced RIB. Their RIB MOET is 5/80. Due to the recomputation the DIB guarantee PIA
is larger than the PIA determined under any other applicable method.
In determining the family maximum, the 1980 bend point formula is applied to the DIB
PIA in 3/79 (see RS 00615.736B.1.a.(1) .)
$341.10 - $248 = $93.10
$93.10 x 2.72 = $253.23 + 372 = $625.23 rounded to $625.30.
Since Matthew became entitled to RIB more than 12 months after their last month of
entitlement to DIB, the intervening COL increase for 6/79 is not added to the PIA
or family maximum. The RIB PIA in 5/80 is $341.10 and the family maximum is $625.30.
Example 3.Allen Snyder was last entitled to DIB in 10/79. They became entitled to
RIB at age 62 in 12/80. Their DIB PIA in 10/79 is $423.70. Since this prior DIB PIA
is higher than the PIA's computed by an other methods, their PIA in 12/80 is $423.70
(no intervening increases, i.e., 6/80, are applicable.) In determining the family
maximum the 1980 bend point formula is applied to the DIB PIA in the last month of
entitlement. The family maximum in 12/80 is $759.30 (no intervening increases, i.e.,
6/80 are applicable).
Be sure to round the final figure to the next higher multiple of $.10 if not an even
multiple of $.10.
Do not round at intermediate steps.