If a number holder (NH) receiving a Totalization benefit continues working and later
earns additional U.S. quarters of coverage (QC), they may become insured based on
U.S. coverage alone. If so, we generally recompute the benefit and convert the NH
to a non-Totalization benefit because the non-Totalized benefit is generally greater
than the Totalization benefit.
However, if the NH also receives a pension based on non-covered employment, WEP may
apply to the non-Totalized benefit, because the NH no longer receives a Totalization
benefit. Therefore, in some situations the non-Totalization benefit with WEP would
be less than the Totalization benefit when WEP does not apply.
NOTE: WEP does not apply when the NH receives a pension based only on non-work-related
factors, such as residency and citizenship.