Family Maximum When Child is Entitled on More Than One Earnings Record

737. Family Maximum When Child is Entitled on More Than One Earnings Record

737.1 What happens to the family maximum on the earnings record(s) on which the child is paid?

The monthly family maximum payable on the earnings record on which the child is being paid is the total of the family maximums on each of the earnings records involved. This total is subject to a combined maximum limit.

737.2 What happens to the family maximum on the earnings record(s) on which the child is entitled, but not paid?

The family maximum on the other earnings record(s) on which the child is entitled (but not paid) is based solely on that PIA.

Note: The benefits payable to the persons entitled only on the other earnings record(s) are computed as though the child were not entitled on that earnings record.

Example: Mr. and Mrs. Jones had eight children in the family group, five of whom were their natural children. The other three were Mr. Jones' stepchildren by a former marriage. Mr. Jones died and all the children and the widow became entitled on his earnings record. Mrs. Jones died shortly thereafter and her five natural children became entitled on her earnings record since it yielded the larger benefit for each (and had the higher PIA). The benefits are determined as follows:


Mr. Jones: PIA $201.30; maximum, $302.00.

Original

Adjusted

Ann Day

$151.00

$100.60

Bob Day

151.00

100.60

Sid Day

151.00

100.60

Total

$301.80


Mrs. Jones: PIA, $214.00; maximum, $321.00, combined maximum, $623.00.

Original

Adjusted

Mary Jones

$160.50

$124.60

Peter Jones

160.50

124.60

Charles Jones

160.50

124.60

Marvel Jones

160.50

124.60

Ruth Jones

160.50

124.60

Total

$623.00

Last Revised: Sep. 22, 2003