,,ii  #aac? ,,congress  #b;d ,session   
,s4 #bdee  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,june #aj1 #bjad ,mr4  
,begi* 7= himself & ,mrs4 ,murray7      
introduc$ ! foll[+ bill2 :i* 0 read     
twice & ref]r$ to ! ,committee on       
,f9ance  ,a ,,bill  ,to enhance ,social 
,security b5efits = *ildr51 divorc$     
sp\ses1 & wid[s & wid[]s1 & = o!r       
purposes4  #a4 ,%ort title2 table (     
cont5ts  7a7 ,%ort title ,?is ,act may  
be cit$ z ! ,retirem5t & ,income        
,security ,enhancem5ts 7,,raise7 ,act4  
7b7 ,table ( cont5ts ,! table ( cont5ts 
= ?is ,act is z foll[s3 ,sec4 #a4 ,%ort 
title2 table ( cont5ts4 ,sec4 #b4       
,improv+ b5efits = divorc$ sp\ses1      
wid[s1 wid[]s1 & surviv+ divorc$ sp\ses4
 ,sec4 #c4 ,ext5d$ b5efit eligibility = 
*ildr5 :o are full-"t /ud5ts4 ,sec4 #d4 
,e/abli%m5t ( payroll surtax =          
high-income individuals4 ,sec4 #e4      
,inclusion ( surplus e>n+s 9 social     
security b5efit =mula4  #b4 ,improv+    
b5efits = divorc$ sp\ses1 wid[s1 wid[]s1

 & surviv+ divorc$ sp\ses  7a7          
,expansion ( b5efits = divorc$ sp\ses   
7#a7 ,wife's insurance b5efits ,section 
#bjb7;b7 ( ! ,social ,security ,act 7#db
 ,u4,s4,c4 #djb7;b77 is am5d$-- 7,a7 9  
p>agraph 7#a77;,g71 by /rik+ #aj ye>s & 
ins]t+ #e ye>s2 &  7,b7 by am5d+        
p>agraph 7#b7 to read z foll[s3  7#b7   
7,a7 ,except z provid$ 9 subsections    
7k77#e7 & 7q71 a wife's insurance b5efit
 = ea* mon? %all be equal to-- 7i7 9 !  
case ( a wife 7z def9$ 9 section        
#baf7;b771 "o-half ( ! prim>y insurance 
am\nt ( h] husb& = su* mon?2 or  7ii7 9 
! case ( a divorc$ wife 7z def9$ 9      
section #baf7;d771 ! applicable p]c5tage
 7z det]m9$ "u subp>agraph 7,b77 (      
"o-half ( ! prim>y insurance am\nt ( h] 
=m] husb& = su* mon?4  7,b7 ,= purposes 
( subp>agraph 7,a77ii71 ! applicable    
p]c5tage %all be equal to #ajj p]c5t    
r$uc$ by #aj p]c5tage po9ts = ea* ye> 9 
! p]iod imm$iately be=e ! date ! divorce
 became effective 9 :i* ! divorc$ wife 0
 m>ri$ to h] =m] husb& t is less ?an #aj

 ye>s4  4  7#b7 ,husb&'s insurance      
b5efits ,section #bjb7;c7 ( ! ,social   
,security ,act 7#db ,u4,s4,c4 #djb7;c77 
is am5d$-- 7,a7 9 p>agraph 7#a77;,g71 by
 /rik+ #aj ye>s & ins]t+ #e ye>s2 &     
7,b7 by am5d+ p>agraph 7#b7 to read z   
foll[s3  7#b7 7,a7 ,except z provid$ 9  
subsections 7k77#e7 & 7q71 a husb&'s    
insurance b5efit = ea* mon? %all be     
equal to-- 7i7 9 ! case ( a husb& 7z    
def9$ 9 section #baf7;f771 "o-half ( !  
prim>y insurance am\nt ( 8 wife = su*   
mon?2 or  7ii7 9 ! case ( a divorc$     
husb& 7z def9$ 9 section #baf7;d771 !   
applicable p]c5tage 7z det]m9$ "u       
subp>agraph 7,b77 ( "o-half ( ! prim>y  
insurance am\nt ( 8 =m] wife = su* mon?4
  7,b7 ,= purposes ( subp>agraph        
7,a77ii71 ! applicable p]c5tage %all be 
equal to #ajj p]c5t r$uc$ by #aj        
p]c5tage po9ts = ea* ye> 9 ! p]iod      
imm$iately be=e ! date ! divorce became 
effective 9 :i* ! divorc$ husb& 0 m>ri$ 
to 8 =m] wife t is less ?an #aj ye>s4  4
  7b7 ,improv+ social security b5efits =

 wid[s & wid[]s 9 two-,income h\seholds 
7#a7 ,wid[s ,section #bjb7;e7 ( !       
,social ,security ,act 7#db ,u4,s4,c4   
#djb7;e77 is am5d$-- 7,a7 9 p>agraph    
7#a7-- 7i7 9 subp>agraph 7,b71 by ins]t+
 & at ! end2  7ii7 9 subp>agraph        
7,c77iii71 by /rik+ & at ! end2  7iii7  
by /rik+ subp>agraph 7,d72  7iv7 by     
r$esignat+ subp>agraphs 7,e7 & 7,f7 z   
subp>agraphs 7,d7 & 7,e71 respectively2 
&  7v7 9 ! flu% matt] foll[+ subp>agraph
 7,e77ii71 z s r$esignat$1 by /rik+     
becomes entitl$ to an old-age insurance 
b5efit & all t foll[s ?r\gh su* deceas$ 
individual12  7,b7 by /rik+ subp>agraph 
7,a7 9 p>agraph 7#b7 & ins]t+ ! foll[+3 
7#b7 7,a7 ,except z provid$ 9 subsection
 7k77#e71 subsection 7q71 & subp>agraph 
7,d7 ( ?is p>agraph1 su* wid['s         
insurance b5efit = ea* mon? %all be     
equal to ! great] (-- 7i7 subject to    
p>agraph 7#i71 ! prim>y insurance am\nt 
7z det]m9$ = purposes ( ?is subsection  
aft] application ( subp>agraphs 7,b7 &  
7,c77 ( su* deceas$ individual2 or  7ii7

 subject to p>agraphs 7#i7 & 7#aj71 9 ! 
case ( a fully-insur$ wid[ or surviv+   
divorc$ wife1 #ge p]c5t ( ! sum ( any   
old-age or disability insurance b5efit =
 :i* ! wid[ or ! surviv+ divorc$ wife is
 entitl$ = su* mon? & ! prim>y insurance
 am\nt 7z det]m9$ = purposes ( ?is      
subsection aft] application (           
subp>agraphs 7,b7 & 7,c77 ( su* deceas$ 
individual4  2  7,c7 9 p>agraph 7#e7--  
7i7 9 subp>agraph 7,a71 by /rik+        
p>agraph 7#a77;,f7 & ins]t+ p>agraph    
7#a77;,e72 &  7ii7 9 subp>agraph 7,b71  
by /rik+ p>agraph 7#a77;,f77i7 & ins]t+ 
p>agraph 7#a77;,e77i72 &  7,d7 by add+  
at ! end ! foll[+ new p>agraphs3  7#i7  
,= purposes ( clauses 7i7 & 7ii7 (      
p>agraph 7#b77;,a71 9 ! case ( a surviv+
 divorc$ wife1 ! am\nt det]m9$ "u ei!r  
su* clause 7&1 = purposes ( clause 7ii7 
( p>agraph 7#b77;,a71 z det]m9$ aft]    
application ( p>agraph 7#aj77 %all be   
equal to ! applicable p]c5tage 7z       
det]m9$ "u section #bjb7;b77#b77;,b77 ( 
su* am\nt 7z det]m9$ be=e application ( 

?is p>agraph b aft] application (       
subsection 7k77#c774  7#aj7 ,= purposes 
( p>agraph 7#b77;,a77ii71 ! am\nt       
det]m9$ "u su* p>agraph %all n exce$ !  
prim>y insurance am\nt = su* mon? ( a   
hypo!tical individual-- 7,a7 :o became  
entitl$ to old-age insurance b5efits ^u 
atta9+ e>ly retirem5t age dur+ ! mon? 9 
:i* ! deceas$ individual ref]r$ to 9    
p>agraph 7#a7 became entitl$ to old-age 
or disability insurance b5efits1 or di$ 
7be=e becom+ entitl$ to su* b5efits72 & 
7,b7 to :om wages & self-employm5t      
income 7 cr$it$ 9 ea* ( su* hypo!tical  
individual's elaps$ ye>s 7)9 ! mean+ (  
section #bae7;b77#b77;,b77iii77 9 an    
am\nt equal to ! national av]age wage   
index 7z describ$ 9 section #bji7k77#a77
 = ea* su* ye>4  4  7#b7 ,wid[]s        
,section #bjb7;f7 ( ! ,social ,security 
,act 7#db ,u4,s4,c4 #djb7;f77 is am5d$--
 7,a7 9 p>agraph 7#a7-- 7i7 9           
subp>agraph 7,b71 by ins]t+ & at ! end2 
7ii7 9 subp>agraph 7,c77iii71 by /rik+ &
 at ! end2  7iii7 by /rik+ subp>agraph  

7,d72  7iv7 by r$esignat+ subp>agraphs  
7,e7 & 7,f7 z subp>agraphs 7,d7 & 7,e71 
respectively2 &  7v7 9 ! flu% matt]     
foll[+ subp>agraph 7,e77ii71 z s        
r$esignat$1 by /rik+ becomes entitl$ to 
an old-age insurance b5efit & all t     
foll[s ?r\gh su* deceas$ individual12   
7,b7 by /rik+ subp>agraph 7,a7 9        
p>agraph 7#b7 & ins]t+ ! foll[+3  7#b7  
7,a7 ,except z provid$ 9 subsection     
7k77#e71 subsection 7q71 & subp>agraph  
7,d7 ( ?is p>agraph1 su* wid[]'s        
insurance b5efit = ea* mon? %all be     
equal to ! great] (-- 7i7 subject to    
p>agraph 7#i71 ! prim>y insurance am\nt 
7z det]m9$ = purposes ( ?is subsection  
aft] application ( subp>agraphs 7,b7 &  
7,c77 ( su* deceas$ individual2 or  7ii7
 subject to p>agraphs 7#i7 & 7#aj71 9 ! 
case ( a fully-insur$ wid[] or surviv+  
divorc$ husb&1 #ge p]c5t ( ! sum ( any  
old-age or disability insurance b5efit =
 :i* ! wid[] or ! surviv+ divorc$ husb& 
is entitl$ = su* mon? & ! prim>y        
insurance am\nt 7z det]m9$ = purposes ( 

?is subsection aft] application (       
subp>agraphs 7,b7 & 7,c77 ( su* deceas$ 
individual4  2  7,c7 9 p>agraph 7#e7--  
7i7 9 subp>agraph 7,a71 by /rik+        
p>agraph 7#a77;,f7 & ins]t+ p>agraph    
7#a77;,e72 &  7ii7 9 subp>agraph 7,b71  
by /rik+ p>agraph 7#a77;,f77i7 & ins]t+ 
p>agraph 7#a77;,e77i72 &  7,d7 by add+  
at ! end ! foll[+ new p>agraphs3  7#i7  
,= purposes ( clauses 7i7 & 7ii7 (      
p>agraph 7#b77;,a71 9 ! case ( a surviv+
 divorc$ husb&1 ! am\nt det]m9$ "u ei!r 
su* clause 7&1 = purposes ( clause 7ii7 
( p>agraph 7#b77;,a71 z det]m9$ aft]    
application ( p>agraph 7#aj77 %all be   
equal to ! applicable p]c5tage 7z       
det]m9$ "u section #bjb7;c77#b77;,b77 ( 
su* am\nt 7z det]m9$ be=e application ( 
?is p>agraph b aft] application (       
subsection 7k77#c774  7#aj7 ,= purposes 
( p>agraph 7#b77;,a77ii71 ! am\nt       
det]m9$ "u su* p>agraph %all n exce$ !  
prim>y insurance am\nt = su* mon? ( a   
hypo!tical individual-- 7,a7 :o became  
entitl$ to old-age insurance b5efits ^u 

atta9+ e>ly retirem5t age dur+ ! mon? 9 
:i* ! deceas$ individual ref]r$ to 9    
p>agraph 7#a7 became entitl$ to old-age 
or disability insurance b5efits1 or di$ 
7be=e becom+ entitl$ to su* b5efits72 & 
7,b7 to :om wages & self-employm5t      
income 7 cr$it$ 9 ea* ( su* hypo!tical  
individual's elaps$ ye>s 7)9 ! mean+ (  
section #bae7;b77#b77;,b77iii77 9 an    
am\nt equal to ! national av]age wage   
index 7z describ$ 9 section #bji7k77#a77
 = ea* su* ye>4  4  7#c7 ,r$uction (    
b5efit = individuals entitl$ to         
simultane\s b5efits ,section #bjb7k77#c7
 ( ! ,social ,security ,act 7#db        
,u4,s4,c4 #djb7k77#c77 is am5d$-- 7,a7 9
 subp>agraph 7,a71 by /rik+ ,if an      
individual & ins]t+ ,except z provid$ 9 
subp>agraph 7,c71 if an individual2 &   
7,b7 by add+ at ! end ! foll[+ new      
subp>agraph3  7,c7 ,if an individual is 
entitl$ = any mon? to a wid['s or       
wid[]'s insurance b5efit & is also      
entitl$ to an old-age or disability     
insurance b5efit = su* mon? t is great] 

?an su* wid['s or wid[]'s insurance     
b5efit1 ! r$uction describ$ 9           
subp>agraph 7,a71 ) respect to su*      
wid['s or wid[]'s insurance b5efit1 %all
 be c>ri$ out by sub/itut+ an am\nt     
equal to ! prim>y insurance am\nt ( !   
deceas$ individual ref]r$ to 9          
subsection 7e77#a7 or 7f77#a7 7z det]m9$
 = purposes ( subsection 7e77#b77;,a77i7
 or 7f77#b77;,a77i77 = ! am\nt equal to 
! old-age or disability insurance b5efit
 ( ! individual entitl$ to ! wid['s or  
wid[]'s insurance b5efit4  4  7c7       
,con=m+ am5dm5ts ,section #baf7;d7 ( !  
,social ,security ,act 7#db ,u4,s4,c4   
#daf7;d77 is am5d$-- 7#a7 9 p>agraph    
7#a71 by /rik+ #aj ye>s & ins]t+ #e     
ye>s2  7#b7 9 p>agraph 7#b71 by /rik+   
#aj ye>s & ins]t+ #e ye>s2  7#c7 9      
p>agraph 7#d71 by /rik+ #aj ye>s &      
ins]t+ #e ye>s2 &  7#d7 9 p>agraph 7#e71
 by /rik+ #aj ye>s & ins]t+ #e ye>s4    
7d7 ,effective date ,! am5dm5ts made by 
?is section %all apply ) respect to     
wife's insurance b5efits1 husb&'s       

insurance b5efits1 wid['s insurance     
b5efits1 & wid[]'s insurance b5efits t  
are payable = mon?s beg9n+ aft] ,decemb]
 #ca1 #bjad4  #c4 ,ext5d$ b5efit        
eligibility = *ildr5 :o are full-"t     
/ud5ts  7a7 ,9 g5]al  7#a7 ,ext5sion (  
b5efits ,section #bjb7;d7 ( ! ,social   
,security ,act 7#db ,u4,s4,c4 #djb7;d77 
is am5d$-- 7,a7 9 p>agraphs 7#a77;,b71  
7#a77;,e71 7#a77;,f77i71 7#a77;,g77ii71 
7#f77;,a71 7#f77;,d71 7#f77;,e77i71     
7#g77;,a71 7#g77;,b71 & 7#g77;,d71 by   
/rik+ full-"t elem5t>y or second>y s*ool
 /ud5t ea* place x appe>s & ins]t+      
full-"t /ud5t2  7,b7 9 p>agraphs        
7#a77;,b71 7#a77;,f77ii71               
7#a77;,g77iii71 7#f77;,a71 7#f77;,d71   
7#f77;,e77ii71 & 7#g77;,d71 by /rik+ #ai
 ea* place x appe>s & ins]t+ #bc2  7,c7 
9 subp>agraphs 7,a71 7,b71 & 7,d7 (     
p>agraph 7#g71 by /rik+ elem5t>y or     
second>y s*ool ea* place x appe>s &     
ins]t+ educational in/itution2  7,d7 9  
p>agraph 7#g77;,a71 by /rik+ s*ools     
involv$ & ins]t+ in/itutions involv$2   

7,e7 9 p>agraph 7#g71 by am5d+          
subp>agraph 7,c7 to read z foll[s3  7,c7
 ,= purposes ( ?is subsection1 ! t]m    
educational in/itution means-- 7i7 a    
s*ool :i* provides elem5t>y or second>y 
education z det]m9$ "u ! law ( ! ,/ate  
or o!r jurisdiction 9 :i* x is locat$2 &
  7ii7 an in/itution describ$ 9 section 
#ajb ( ! ,high] ,education ,act ( #aife 
7#bj ,u4,s4,c4 #ajjb74  2 &  7,f7 9     
p>agraph 7#g77;,d71 by /rik+ diploma or 
equival5t c]tificate f a second>y s*ool 
7z def9$ 9 subp>agraph 7,c77i77 & ins]t+
 diploma1 degree1 or equival5t          
c]tificate f an in/itution describ$ 9   
subp>agraph 7,c77ii74  7#b7 ,effective  
date ,! am5dm5ts made by ?is subsection 
%all apply to *ild's insurance b5efits t
 are payable = mon?s beg9n+ aft]        
,decemb] #ca1 #bjad4  7b7 ,tempor>y     
exclusion f det]m9ation ( maximum family
 b5efits ,section #bjc7;a7 ( ! ,social  
,security ,act 7#db ,u4,s4,c4 #djc7;a77 
is am5d$-- 7#a7 9 p>agraph 7#c7-- 7,a7  
by r$esignat+ subp>agraph 7,d7 z        

subp>agraph 7,e72 &  7,b7 by ins]t+ aft]
 subp>agraph 7,c7 ! foll[+ new          
subp>agraph3  7,d7 ,dur+ ! p]iod t beg9s
 on ,janu>y #a1 #bjae1 & ends on        
,decemb] #ca1 #bjai1 :5 any ( su*       
individuals has atta9$ age #ai & is     
entitl$ to mon?ly b5efits z a *ild :o is
 a full-"t /ud5t "u section             
#bjb7;d77#a77;,b77i7 = any mon?1 !      
b5efit to :i* he or %e is entitl$ on !  
basis ( ! wages & self-employm5t income 
( su* insur$ individual = su* mon? %all 
be det]m9$ )\t reg>d to ?is subsection1 
& ! b5efits ( all o!r individuals :o are
 entitl$ = su* mon? to mon?ly b5efits "u
 section #bjb on ! wages &              
self-employm5t income ( su* insur$      
individual %all be det]m9$ z if no su*  
*ild 7 entitl$ to b5efits = su* mon?4  2
 &  7#b7 9 p>agraph 7#f71 by ins]t+     
7#c77;,e71 aft] 7#c77;,d714  7c7        
,railroad ,retirem5t ,act  7#a7 ,section
 #b7;d7 ( ! ,railroad ,retirem5t ,act ( 
#aigd 7#de ,u4,s4,c4 #bcb7b77;d77 is    
am5d$-- 7,a7 9 clause 7iii7 ( p>agraph  

7#a71 by /rik+ w be less ?an n9ete5 ye>s
 ( age & a full-"t elem5t>y or second>y 
s*ool /ud5t & ins]t+ w be less ?an #bc  
ye>s ( age & a full-"t /ud5t at an      
educational in/itution 7z def9$ 9       
section #bjb7;d77#g7 ( ! ,social        
,security ,act72 &  7,b7 9 p>agraph     
7#d7-- 7i7 by /rik+ elem5t>y or second>y
 s*ool ea* place x appe>s & ins]t+      
educational in/itution2  7ii7 by /rik+  
n9ete5 & ins]t+ #bc2 &  7iii7 by /rik+ a
 diploma or equival5t c]tificate f a    
second>y s*ool 7z def9$ 9 section       
#bjb7;d77#g77;c77i7 ( ! ,social         
,security ,act7 & ins]t+ a diploma1     
degree1 or equival5t c]tificate f an    
in/itution describ$ 9 section           
#bjb7;d77#g77;,c77ii7 ( ! ,social       
,security ,act4  7#b7 ,section          
#e7;c77#g7 ( ! ,railroad ,retirem5t ,act
 ( #aigd 7#de ,u4,s4,c4 #bce7;c77#g77 is
 am5d$-- 7,a7 by /rik+ elem5t>y or      
second>y s*ool & ins]t+ educational     
in/itution2 &  7,b7 by /rik+ #ai &      
ins]t+ #bc4  #d4 ,e/abli%m5t ( payroll  

surtax = high-income individuals  7a7   
,self-,employm5t income surtax ,section 
#adja ( ! ,int]nal ,rev5ue ,code ( #aihf
 is am5d$-- 7#a7 by r$esignat+          
subsection 7c7 z subsection 7d71 &  7#b7
 by ins]t+ aft] subsection 7b7 ! foll[+ 
new subsection3  7c7 ,additional tax =  
old-,age1 survivors1 & disability       
insurance  7#a7 ,9 g5]al ,9 addition to 
! taxes impos$ by ! prec$+ subsections1 
!re is h]eby impos$ on e individual =   
ea* taxable ye> beg9n+ aft] ,decemb]    
#ca1 #bjad1 a tax equal to #d p]c5t (   
additional self-employm5t income = su*  
taxable ye>4  7#b7 ,additional          
self-employm5t income ,= purposes (     
p>agraph 7#a71 ! t]m additional         
self-employm5t income means1 = any      
taxable ye>1 ! am\nt 7n less ?an z]o7   
equal to ! excess (-- 7,a7 ! sum (      
self-employm5t income 7det]m9$ )\t reg>d
 to section #adjb7;b77#a77 = ! taxable  
ye> & wages 7z def9$ 9 section          
#caba7;a71 det]m9$ )\t reg>d to p>agraph
 7#a7 !re(7 paid to su* individual dur+ 

su* taxable ye>1 ov]  7,b7 ! sum ( !    
additional wages 7z def9$ 9 section     
#caja7;c77#b77 paid to su* individual = 
! taxable ye> & ! am\nt det]m9$ "u      
p>agraph 7#c7 = ! taxable ye>4  ,rules  
simil> to ! rules ( subp>agraph 7,a7 ( !
 second s5t5ce ( section #adjb7;b7 %all 
apply = purposes ( det]m9+ wages "u     
clause 7i74  7#c7 ,exemption am\nt ,!   
am\nt det]m9$ "u ?is p>agraph is an     
am\nt equal to-- 7,a7 9 ! case ( a      
taxable ye> beg9n+ aft] ,decemb] #ca1   
#bjad1 & be=e ,janu>y #a1 #bjaf1        
#djj1jjj1 &  7,b7 9 ! case ( any taxable
 ye> beg9n+ aft] ,decemb] #ca1 #bjae1 ! 
product (-- 7i7 #djj1jjj1 &  7ii7 !     
quoti5t obta9$ by divid+-- 7,i7 !       
national av]age wage index 7z def9$ 9   
section #bji7k77#a77 = ! cal5d> ye> :i* 
is #b ye>s be=e ! cal5d> ye> 9 :i* !    
taxable ye> beg9s1 by  7,,ii7 ! national
 av]age wage index = cal5d> ye> #bjac4  
4  7b7 ,employee wage surtax ,section   
#caja ( ! ,int]nal ,rev5ue ,code ( #aihf
 is am5d$-- 7#a7 by r$esignat+          

subsection 7c7 z subsection 7d71 &  7#b7
 by ins]t+ aft] subsection 7b7 ! foll[+ 
new subsection3  7c7 ,additional tax =  
old-,age1 survivors1 & disability       
insurance  7#a7 ,9 g5]al ,9 addition to 
! taxes impos$ by ! prec$+ subsections1 
!re is h]eby impos$ on ! income ( e     
individual a tax equal to #b p]c5t (    
additional wages 7z def9$ 9 p>agraph    
7#b77 :i* are receiv$ ) respect to      
employm5t dur+ any cal5d> ye> beg9n+    
aft] ,decemb] #ca1 #bjad4  7#b7         
,additional wages ,= purposes ( p>agraph
 7#a71 ! t]m additional wages has ! same
 mean+ giv5 ! t]m wages "u section      
#caba7;a7 7det]m9$ )\t reg>d to p>agraph
 7#a7 !re(71 except t su* t]m %all n    
include t am\nt ( remun]ation t is less 
?an-- 7,a7 = cal5d> ye> #bjae1 #djj1jjj1
 &  7,b7 = any cal5d> ye> aft] #bjae1 ! 
product (-- 7i7 #djj1jjj1 &  7ii7 !     
quoti5t obta9$ by divid+-- 7,i7 !       
national av]age wage index 7z def9$ 9   
section #bji7k77#a77 = ! second prec$+  
cal5d> ye>1 by  7,,ii7 ! national av]age

 wage index = cal5d> ye> #bjac4  4  7c7 
,employ] wage surtax ,section #caaa ( ! 
,int]nal ,rev5ue ,code ( #aihf is am5d$ 
by add+ at ! end ! foll[+ new           
subsection3  7f7 ,additional tax =      
old-,age1 survivors1 & disability       
insurance  7#a7 ,9 g5]al ,9 addition to 
! taxes impos$ by subsections 7a7 & 7b71
 !re is h]eby impos$ on e employ] an    
excise tax1 ) respect to hav+           
individuals 9 8 employ1 equal to #b     
p]c5t ( additional wages 7z def9$ 9     
p>agraph 7#b77 paid by ! employ] )      
respect to employm5t dur+ any cal5d> ye>
 beg9n+ aft] ,decemb] #ca1 #bjad4  7#b7 
,additional wages ,= purposes ( p>agraph
 7#a71 ! t]m additional wages has ! same
 mean+ giv5 su* t]m "u section          
#caja7;c74  4  7d7 ,railroad ,retirem5t 
,tax ,act  7#a7 ,railroad employees     
,section #cbja ( ! ,int]nal ,rev5ue     
,code ( #aihf is am5d$-- 7,a7 by        
r$esignat+ subsection 7c7 z subsection  
7d71 &  7,b7 by ins]t+ aft] subsection  
7b7 ! foll[+ new subsection3  7c7       

,additional ti] #a tax  7#a7 ,9 g5]al ,9
 addition to ! taxes impos$ by ! prec$+ 
subsections1 !re is h]eby impos$ on !   
income ( ea* employee a tax equal to #b 
p]c5t ( additional comp5sation 7z def9$ 
9 p>agraph 7#b77 receiv$ by su* employee
 dur+ any cal5d> ye> beg9n+ aft]        
,decemb] #ca1 #bjad1 = s]vices r5d]$ by 
su* employee4  7#b7 ,additional         
comp5sation ,= purposes ( p>agraph 7#a71
 ! t]m additional comp5sation has ! same
 mean+ giv5 ! t]m comp5sation "u section
 #cbca7;e7 7det]m9$ )\t reg>d to        
p>agraph 7#b7 !re(71 except t su* t]m   
%all n include t am\nt ( remun]ation t  
is less ?an-- 7,a7 = cal5d> ye> #bjae1  
#djj1jjj1 &  7,b7 = any cal5d> ye> aft] 
#bjae1 ! product (-- 7i7 #djj1jjj1 &    
7ii7 ! quoti5t obta9$ by divid+-- 7,i7 !
 national av]age wage index 7z def9$ 9  
section #bji7k77#a77 = ! second prec$+  
cal5d> ye>1 by  7,,ii7 ! national av]age
 wage index = cal5d> ye> #bjac4  4  7#b7
 ,railroad employee repres5tatives      
,section #cbaa ( ! ,int]nal ,rev5ue     

,code ( #aihf is am5d$-- 7,a7 by        
r$esignat+ subsection 7c7 z subsection  
7d71 &  7,b7 by ins]t+ aft] subsection  
7b7 ! foll[+ new subsection3  7c7       
,additional ti] #a tax ,9 addition to ! 
taxes impos$ by ! prec$+ subsections1   
!re is h]eby impos$ on ! income ( ea*   
employee repres5tative a tax equal to #d
 p]c5t ( additional comp5sation 7z def9$
 "u section #cbja7;c77 receiv$ by su*   
employee repres5tative dur+ any cal5d>  
ye> beg9n+ aft] ,decemb] #ca1 #bjad1 =  
s]vices r5d]$ by su* employee           
repres5tative4  4  7#c7 ,railroad       
employ]s ,section #cbba ( ! ,int]nal    
,rev5ue ,code ( #aihf is am5d$ by add+  
at ! end ! foll[+ new subsection3  7e7  
,additional ti] #a tax ,9 addition to ! 
taxes impos$ by subsections 7a7 & 7b71  
!re is h]eby impos$ on e employ] an     
excise tax1 ) respect to hav+           
individuals 9 8 employ1 equal to #b     
p]c5t ( additional comp5sation 7z def9$ 
"u section #cbja7;c77 paid by su*       
employ] dur+ any cal5d> ye> beg9n+ aft] 

,decemb] #ca1 #bjad1 = s]vices r5d]$ to 
su* employ]4  4  7#d7 ,social ,security 
,equival5t ,b5efit ,acc\nt ,section     
#ae;,a7b77#a77;,a7 ( ! ,railroad        
,retirem5t ,act ( #aigd 7#de ,u4,s4,c4  
#bcan-#a7;b77#a77;,a77 is am5d$ by /rik+
 sections #cbja7;a71 #cbaa7;a77#a71 &   
#cbba7;a7 ( ! ,railroad ,retirem5t ,tax 
,act & ins]t+ subsections 7a7 & 7c7 (   
section #cbja1 subsections 7a7 & 7c7 (  
section #cbaa1 & subsections 7a7 & 7e7 (
 section #cbba ( ! ,int]nal ,rev5ue     
,code ( #aihf4  7e7 ,am5dm5ts to !      
,social ,security ,act  7#a7 ,transf] ( 
am\nts to ,f$]al ,old-,age & ,survivors 
,insurance ,tru/ ,fund ,section #bja ( !
 ,social ,security ,act 7#db ,u4,s4,c4  
#dja7 is am5d$-- 7,a7 9 subsection      
7b77#c7-- 7i7 by ins]t+ & additional    
wages 7z def9$ 9 section #adjb7;c7 ( su*
 ,code7 aft] section #caba ( su* ,code71
  7ii7 by ins]t+ & additional wages aft]
 su* wages1  7iii7 by ins]t+ &          
additional wages aft] :i* wages1 &  7iv7
 by ins]t+ & additional wages aft]      

records ( wages1  7,b7 9 subsection     
7b77#d7-- 7i7 by ins]t+ & additional    
self-employm5t income 7z def9$ 9 section
 #caja7;c7 ( su* ,code7 aft] section    
#adjb ( su* ,code71  7ii7 by ins]t+ &   
additional self-employm5t income aft]   
su* self-employm5t income1  7iii7 by    
ins]t+ & additional self-employm5t      
income aft] :i* self-employm5t income1 &
  7iv7 by ins]t+ & additional           
self-employm5t income aft] records (    
self-employm5t income1  7,c7 9          
subsection 7c77#a77,r7-- 7i7 by ins]t+ &
 additional wages 7z s def9$7 aft] wages
 7z s def9$71  7ii7 by ins]t+ &         
additional wages aft] :i* wages1 &      
7iii7 by ins]t+ & additional wages aft] 
records ( wages1 &  7,d7 9 subsection   
7c77#b77,r7-- 7i7 by ins]t+ & additional
 self-employm5t income 7z s def9$7 aft] 
self-employm5t income 7z s def9$71  7ii7
 by ins]t+ & additional self-employm5t  
income aft] :i* self-employm5t income1 &
  7iii7 by ins]t+ & additional          
self-employm5t income aft] records (    

self-employm5t income4  7#b7 ,def9ition 
( additional wages ,section #bji ( !    
,social ,security ,act 7#db ,u4,s4,c4   
#dji7 is am5d$ by add+ at ! end ! foll[+
 new subsection3  7l7 ,additional wages 
,= purposes ( ?is title1 ! t]m          
additional wages has ! same mean+ giv5 !
 t]m wages 7det]m9$ )\t reg>d to        
subsection 7a77#a771 except t su* t]m   
%all n include t am\nt ( remun]ation t  
is less ?an-- 7#a7 = cal5d> ye> #bjae1  
#djj1jjj1 &  7#b7 = any cal5d> ye> aft] 
#bjae1 ! product (-- 7,a7 #djj1jjj1 &   
7,b7 ! quoti5t obta9$ by divid+-- 7i7 ! 
national av]age wage index 7z def9$ 9   
section #bji7k77#a77 = ! second prec$+  
cal5d> ye>1 by  7ii7 ! national av]age  
wage index = cal5d> ye> #bjac4  4  7#c7 
,def9ition ( additional self-employm5t  
income ,section #baa ( ! ,social        
,security ,act 7#db ,u4,s4,c4 #daa7 is  
am5d$ by add+ at ! end ! foll[+ new     
subsection3  7m7 ,additional            
,self-,employm5t ,income  7#a7 ,=       
purposes ( ?is title1 ! t]m additional  

self-employm5t income means1 = any      
taxable ye>1 ! am\nt equal to ! excess  
7if any7 (-- 7,a7 ! sum ( self-employm5t
 income 7det]m9$ )\t reg>d to subsection
 7b77#a77 = ! taxable ye> & wages 7z    
def9$ 9 section #bji7;a71 det]m9$ )\t   
reg>d to p>agraph 7#a7 !re(7 paid to su*
 individual dur+ su* taxable ye>1 ov]   
7,b7 ! sum ( ! additional wages paid to 
su* individual = ! taxable ye> & ! am\nt
 det]m9$ "u p>agraph 7#b7 = ! taxable   
ye>4  7#b7 ,! am\nt det]m9$ "u ?is      
p>agraph is an am\nt equal to-- 7,a7 9 !
 case ( a taxable ye> beg9n+ aft]       
,decemb] #ca1 #bjad1 & be=e ,janu>y #a1 
#bjaf1 #djj1jjj1 &  7,b7 9 ! case ( any 
taxable ye> beg9n+ aft] ,decemb] #ca1   
#bjae1 ! product (-- 7i7 #djj1jjj1 &    
7ii7 ! quoti5t obta9$ by divid+-- 7,i7 !
 national av]age wage index 7z def9$ 9  
section #bji7k77#a77 = ! cal5d> ye> :i* 
is #b ye>s be=e ! cal5d> ye> 9 :i* !    
taxable ye> beg9s1 by  7,,ii7 ! national
 av]age wage index = cal5d> ye> #bjac4  
4  #e4 ,inclusion ( surplus e>n+s 9     

social security b5efit =mula  7a7       
,inclusion ( surplus av]age index$      
mon?ly e>n+s 9 det]m9ation ( prim>y     
insurance am\nts ,section               
#bae7;a77#a77;,a7 ( ! ,social ,security 
,act 7#db ,u4,s4,c4 #dae7;a77#a77;,a77  
is am5d$-- 7#a7 9 clauses 7i71 7ii71 &  
7iii71 by ins]t+ basic be=e av]age      
index$ mon?ly e>n+s ea* place x appe>s2 
7#b7 9 clause 7ii71 by /rik+ & at ! end2
  7#c7 9 clause 7iii71 by ins]t+ & at ! 
end2 &  7#d7 by ins]t+ aft] clause 7iii7
 ! foll[+ new clause3  7iv7 #b p]c5t ( !
 individual's surplus av]age index$     
mon?ly e>n+s1  4  7b7 ,basic ,,aime &   
surplus ,,aime  7#a7 ,basic ,,aime      
,section #bae7;b77#a7 ( su* ,act 7#db   
,u4,s4,c4 #dae7;b77#a77 is am5d$--  7,a7
 9 ! matt] prec$+ subp>agraph 7,a71 by  
ins]t+ basic be=e av]age2 &  7,b7 9     
subp>agraph 7,a71 by /rik+ p>agraph 7#c7
 & ins]t+ p>agraph 7#c77;,a7 & by ins]t+
 be=e ! comma ! foll[+3 to ! ext5t su*  
total does n exce$ ! contribution &     
b5efit base = ! applicable ye>4  7#b7   

,surplus ,,aime  7,a7 ,9 g5]al ,section 
#bae7;b77#a7 ( su* ,act 7z am5d$ by     
p>agraph 7#a77 is am5d$--  7i7 by       
r$esignat+ subp>agraphs 7,a7 & 7,b7 z   
clauses 7i7 & 7ii71 respectively2  7ii7 
by ins]t+ 7,a7 aft] 7b77#a72 &  7iii7 by
 add+ at ! end ! foll[+ new subp>agraph3
  7,b7 7i7 ,an individual's surplus     
av]age index$ mon?ly e>n+s %all be equal
 to ! quoti5t obta9$ by divid+--  7,i7 !
 total 7aft] adju/m5t "u p>agraph       
7#c77;,b77 ( su* individual's surplus   
e>n+s 7det]m9$ "u clause 7ii77 = su*    
individual's b5efit computation ye>s    
7det]m9$ "u p>agraph 7#b771 by  7,,ii7 !
 numb] ( mon?s 9 ^? ye>s4  7ii7 ,=      
purposes ( clause 7i7 & p>agraph        
7#c77;,b71 an individual's surplus e>n+s
 = a b5efit computation ye> are ! total 
( su* individual's additional wages 7z  
def9$ 9 section #bji7l77 paid 9 &       
additional self-employm5t income 7z     
def9$ 9 section #bji7m77 cr$it$ to su*  
b5efit computation ye>1 to ! ext5t su*  
total does n exce$ ! am\nt det]m9$ = su*

 ye> "u clause 7iii74  7iii7 ,= purposes
 ( clause 7ii71 ! am\nt det]m9$ "u ?is  
clause is-- 7,i7 9 ! case ( a b5efit    
computation ye> beg9n+ aft] ,decemb]    
#ca1 #bjad1 & be=e ,janu>y #a1 #bjaf1   
#ejj1jjj2 &  7,,ii7 9 ! case ( any      
b5efit computation ye> beg9n+ on or aft]
 ,janu>y #a1 #bjaf1 ! product ( #ejj1jjj
 & ! quoti5t obta9$ by divid+-- 7aa7 !  
national av]age wage index 7z def9$ 9   
section #bji7k77#a77 = ! cal5d> ye> :i* 
is #b ye>s be=e ! cal5d> ye> 9 :i* !    
b5efit computation ye> beg9s1 by  7bb7 !
 national av]age wage index = cal5d> ye>
 #bjac4  4  7,b7 ,con=m+ am5dm5t ,!     
head+ = section #bae7;b7 ( su* ,act is  
am5d$ by /rik+ ,av]age ,index$ ,mon?ly  
,e>n+s & ins]t+ ,basic ,av]age ,index$  
,mon?ly ,e>n+s2 ,surplus ,av]age ,index$
 ,mon?ly ,e>n+s4  7#c7 ,adju/m5t (      
surplus e>n+s = purposes ( det]m9+      
surplus ,,aime ,section #bae7;b77#c7 (  
su* ,act 7#db ,u4,s4,c4 #dae7;b77#c77 is
 am5d$--  7,a7 9 subp>agraph 7,a71 by   
/rik+ subp>agraph 7,b7 & ins]t+         

subp>agraph 7,c7 & by ins]t+ &          
det]m9ation ( basic av]age index$ mon?ly
 income aft] p>agraph 7#b72  7,b7 by    
r$esignat+ subp>agraph 7,b7 z           
subp>agraph 7,c72 &  7,c7 by ins]t+ aft]
 subp>agraph 7,a7 ! foll[+ new          
subp>agraph3  7,b7 ,= purposes ( det]m9+
 "u p>agraph 7#a77;,b7 an individual's  
surplus av]age index$ mon?ly e>n+s1 !   
individual's surplus e>n+s 7describ$ 9  
p>agraph 7#a77;,b77ii77 = a b5efit      
computation ye> %all be deem$ to be     
equal to ! product (--  7i7 !           
individual's surplus e>n+s = su* ye> 7z 
det]m9$ )\t reg>d to ?is subp>agraph71 &
  7ii7 ! quoti5t describ$ 9 subp>agraph 
7,a77ii74  4  7c7 ,railroad ,retirem5t  
,act ,section #a7;h77#e7 ( ! ,railroad  
,retirem5t ,act ( #aigd 7#de ,u4,s4,c4  
#bca7;h77#e77 is am5d$-- 7#a7 by /rik+ &
 at ! end ( clause 7ii72  7#b7 by /rik+ 
! p]iod at ! end ( clause 7iii7 & ins]t+
 2 &2 &  7#c7 by add+ at ! end ! foll[+ 
new clause3  7iv7 = ea* su* cal5d> mon? 
aft] #bjad1 ! am\nt :i* is cr$itable z  

su* individual's additional wages "u    
section #bji7l7 ( ! ,social ,security   
,act4  4  7d7 ,effective date ,!        
am5dm5ts made by ?is section %all apply 
) respect to individuals :o initially   
become eligible 7)9 ! mean+ ( section   
#bae7;a77#c77;,b7 ( ! ,social ,security 
,act 7#db ,u4,s4,c4 #dae7;a77#c77;,b777 
= old-age or disability insurance       
b5efits "u title ,,ii ( ! ,social       
,security ,act1 or :o die 7be=e becom+  
eligible = su* b5efits71 9 any cal5d>   
ye> aft] #bjad4