Years of coverage
Years of coverage, for purposes of the American Social Security program, are years in which a beneficiary is considered to have contributed a substantial amount into the Social Security Trust Fund.[1] Years of coverage are used in the computations in whether and how to apply the Windfall Elimination Provision.[2] Years of coverage are not the amounts used in similar computations, such as with Quarter Credits.
Calculating years of coverage
[edit]Years of coverage are calculated in two different manners. Because the amount paid into the Social Security Trust Fund were not identified by year prior to 1951,[3] Years of coverage before 1951 are determined by dividing pre-1951 earnings by $900.00 with any remainder dropped. The resulting number, limited to 14, is the number of years of coverage a beneficiary is credited for earnings before 1951. The limit of 14 represents the number of years from 1937, when contributions began,[4] through 1950.[2]
A beneficiary is credited with a year of coverage for a year after 1950, when contributions were identified by year, based on whether contributions in that year surpass a specific threshold. A beneficiary may not earn more than one year of coverage in any given year. The thresholds for years after 1950 are:[2][5]
| Year | Threshold | Year | Threshold | Year | Threshold |
|---|---|---|---|---|---|
| 1951 | $900.00 | 1971 | $1,950.00 | 1991 | $9,900.00 |
| 1952 | $900.00 | 1972 | $2,250.00 | 1992 | $10,350.00 |
| 1953 | $900.00 | 1973 | $2,700.00 | 1993 | $10,725.00 |
| 1954 | $900.00 | 1974 | $3,300.00 | 1994 | $11,250.00 |
| 1955 | $1,050.00 | 1975 | $3,525.00 | 1995 | $11,325.00 |
| 1956 | $1,050.00 | 1976 | $3,825.00 | 1996 | $11,625.00 |
| 1957 | $1,050.00 | 1977 | $4,125.00 | 1997 | $12,150.00 |
| 1958 | $1,050.00 | 1978 | $4,425.00 | 1998 | $12,675.00 |
| 1959 | $1,200.00 | 1979 | $4,725.00 | 1999 | $13,425.00 |
| 1960 | $1,200.00 | 1980 | $5,100.00 | 2000 | $14,175.00 |
| 1961 | $1,200.00 | 1981 | $5,550.00 | 2001 | $14,925.00 |
| 1962 | $1,200.00 | 1982 | $6,075.00 | 2002 | $15,750.00 |
| 1963 | $1,200.00 | 1983 | $6,675.00 | 2003 | $16,125.00 |
| 1964 | $1,200.00 | 1984 | $7,050.00 | 2004 | $16,275.00 |
| 1965 | $1,200.00 | 1985 | $7,425.00 | 2005 | $16,725.00 |
| 1966 | $1,650.00 | 1986 | $7,875.00 | 2006 | $17,475.00 |
| 1967 | $1,650.00 | 1987 | $8,175.00 | 2007 | $18,150.00 |
| 1968 | $1,950.00 | 1988 | $8,400.00 | 2008 | $18,975.00 |
| 1969 | $1,950.00 | 1989 | $8,925.00 | ||
| 1970 | $1,950.00 | 1990 | $9,525.00 |
Notes
[edit]Sources
[edit]- Social Security Online. Social Security Administration. www.ssa.gov.
- Social Security Program Operations Manual System. Social Security Administration. https://s044a90.ssa.gov/apps10/poms.nsf/partlist!OpenView.
- SSA Publication No. 21-059 A Brief History. Social Security Administration. August 2005.
External links
[edit]- www.ssa.gov / Alternate - Official website of the Social Security Administration
- Online WEP Calculator