When an individual is receiving a foreign pension that must be included in the SVB benefit computation as other benefit income, convert the foreign pension amount to US dollars. Use the currency exchange rate in effect on the first day of the month in which the qualification notice is prepared, or if no qualification notice was sent, the first day of the month in which the award letter is prepared.

Generally, the US dollar-to-foreign currency exchange rates can be obtained from any large metropolitan newspaper or by calling a bank or financial institution. Foreign currency amounts can also be converted to U.S. dollars by using the link on the title VIII intranet home site. Any problems with converting the foreign currency to U.S. dollars should be faxed to OIP, attention SVB at (410) 966-7025. Include your name, location, phone number, E-mail address and fax number for response.

Document the file with a Form SSA-5002, Report of Contact, a printout of the internet screen or other form showing the exchange rate used, the exchange rate date and the source of the information.

Once a foreign pension has been converted to U.S. dollars, that exchange rate will remain the exchange rate of record; i.e., the dollar value of the pension will not be refigured on a monthly or other basis to account for fluctuations in the dollar-to-foreign currency exchange rate.

A different exchange rate can be used only when the foreign pension amount changes (e.g., for a cost-of-living increase). Use the exchange rate in effect on the first day of the month in which the change in the foreign pension amount was first paid or the month of input whichever is earlier. Absent information to the contrary, assume that the change was paid in the month for which the change was made.

For example, in August the beneficiary advises us that his monthly foreign social insurance benefits were increased effective June. Since there is no information to the contrary, assume that the new amount was first paid in June and use the exchange rate in effect on June 1. If the beneficiary had advised us in May of the June change and we had input the information to his SSR in May, the May 1 exchange rate would have been used.

Document the file with a Form SSA-5002, Report of Contact, a printout of the internet screen or other form showing the exchange rate used, the exchange rate date and the source of the information.