U.S. Railroad Retirement Board

RAILROAD RETIREMENT

and SURVIVOR

BENEFITS

2024
The Railroad Retirement Board’s mission is to administer 

retirement/survivor and unemployment/sickness insurance 

benefit programs for railroad workers and their families under the Railroad Retirement Act and the Railroad Unemployment Insurance Act. These programs provide income protection during retirement and in the event of disability, death 

or temporary unemployment and sickness. The Railroad Retirement Board also administers aspects of the Medicare program and has administrative responsibilities under the Social 

Security Act and the Internal Revenue Code. 

In carrying out its mission, the Railroad Retirement Board 

will pay benefits to the right people, in the right amounts, 

in a timely manner, and will take appropriate action to safeguard our customers’ trust funds. The Railroad Retirement 

Board will treat every person who comes into contact with 

the agency with courtesy and concern, and respond to all inquiries promptly, accurately and clearly. 

U.S. Railroad Retirement Board

MISSION STATEMENT
The Railroad Retirement Act (RRA) is a federal law 

that provides retirement and disability benefits for qualified railroad employees, spouse annuities for their wives/

husbands, and survivor benefits for family members of 

deceased employees who were insured under the Act. The 

U.S. Railroad Retirement Board (RRB) administers these 

benefit programs, as well as the Railroad Unemployment 

Insurance Act (RUIA), and has administrative responsibilities under the Social Security Act for certain benefit payments and railroad workers’ Medicare coverage.

This booklet describes the retirement and disability annuities provided for railroad employees under the RRA, 

and the benefits available to their spouses and survivors. 

The information in this publication supersedes earlier editions. Medicare and unemployment/sickness insurance 

benefits are described in separate booklets. 

All RRB publications covering benefits and other related 

topics are available at RRB.gov under the Benefits tab of 

the main menu. In addition, frequently asked questions 

are answered online at RRB.gov/FAQ.

RRB customers can request the following documents 

through self-service options available online at RRB.gov/

myRRB and through the automated menu of the agency’s 

toll-free number (1-877-772-5772): 

• replacement Medicare card

• monthly rate verification letter

• duplicate tax statement for the most recently

 completed tax year

• statement of creditable railroad service and

 compensation

INTRODUCTION
Employees with myRRB accounts can log in to get annuity estimates, review service and compensation history, 

apply for or claim unemployment benefits, claim sickness 

benefits, view RUIA account statements, and access RUIA 

tax documents.

This booklet is issued for the purpose of general 

information. Certain limitations, exceptions, 

and special cases are not covered. 
Page 

EMPLOYEE AND SPOUSE ANNUITIES

Service and Earnings 

- Military Service .

- Service and Earnings Records 

Employee Annuities  

- Age and Service 

- Disability 

- Supplemental Annuities 

Current Connection Requirement 

Spouse Annuities 

Employee and Spouse Annuity Estimates . 

Two-Tier Annuities and Dual Benefits .

- Employees with Railroad Retirement and Social Security. . . . 13

- Employees with Public, Non-Profit, or Foreign Pensions . . . . 14

- Workers’ Compensation .

Spouses with Dual Benefits .

- Social Security Benefits  

- Public Pensions . 

- Employee Annuity  .

Minimum Guaranty . 

Cost-of-Living Increases .

Working After Retirement  

- Disability Work Restrictions  

When Annuities Stop .

SURVIVOR BENEFITS

Types of Survivor Benefits . 

Survivor Annuity Estimates .

Survivor Annuity Tiers  .

Survivors with Dual Benefits .

- Social Security Benefits  

- Public Pensions .

- Employee Annuity   

Cost-of-Living Increases (Survivor)   

Work and Earnings Limitations . 

When Survivor Payments Stop .

Lump-Sum Death Benefits . 

CONTENTS
Page 

RETIREMENT AND SURVIVOR INFORMATION

Applying for an Annuity .

If Requirements are not Met .

Garnishments/Property Settlements .

Monitoring Payments .

The Right to Appeal  

Railroad Retirement Taxes . 

Dual Tax Payments .

- Dual Railroad Retirement-Social Security Taxes .

- Separation/Severance Allowances   

Federal Income Tax  

ANNUITY FORMULA COMPONENTS

Employee Retirement Annuity .

- Tier I . 

- Tier II .

- Supplemental Annuity Formula  .

Spouse Annuity .

- Tier I . 

- Tier II .

Dual Annuities  

Survivor Annuity . 

- Tier I   

- Tier II .

RRB FIELD OFFICES .
1

SERVICE AND EARNINGS

Railroad retirement benefits are based on months of service and earnings credits. Earnings are creditable up to certain annual maximums on the amount of compensation subject to railroad retirement taxes. 

An employee will receive credit for a month of railroad 

service for every month they had some compensated service 

for a covered employer under the Railroad Retirement Act 

(RRA), even if they only perform one day of service in a given month. (However, any local lodge compensation earned 

after 1974 is disregarded if it is less than $25 for any calendar 

month.) Covered employers include interstate railroads and 

their affiliates engaged in railroad-connected operations, as 

well as employer associations and national railway labor organizations and their subordinate units. 

Service performed for a covered employer or as an employee representative is creditable toward all types of annuities under the RRA. Service months need not be consecutive, 

and, in some cases, military service may be counted as railroad service. Special rules may apply when crediting service 

months resulting from a settlement for an on-the-job injury.

Additional service months may be deemed in some cases 

where an employee does not actually work in every month 

of the year. For additional service months to be deemed, 

the employee’s compensation for the year, up to the tier II 

maximum, must exceed an amount equal to 1/12 of the tier 

II maximum multiplied by the number of service months 

actually worked. The excess amount is then divided by 1/12 

of the tier II maximum; the result, rounded up to a whole 

number, equals the maximum number of months that may 

be deemed as service months for that year. The employee 

must be in an employment relation (on an approved leave 

EMPLOYEE AND SPOUSE ANNUITIES
2 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

of absence) with a covered railroad employer, or be an employee representative, during a deemed service month. An 

employee may never be credited with more than 12 service 

months in any calendar year. 

Except for benefits paid for on-the-job injuries, sickness 

benefits are subject to tier I railroad retirement taxes if paid 

within 6 months after the month in which the employee last 

worked. They are credited as compensation for the tier I annuity component but are not credited as service months. 

Military Service

Active duty military service may be credited towards retirement benefits under certain conditions. To be creditable 

as compensation under the RRA, an employee's service in 

the U.S. Armed Forces must be preceded by railroad service 

in the same or preceding calendar year. With the exceptions 

noted, the employee must also have entered active military 

service when the United States was at war or in a state of 

national emergency, or have served in the Armed Forces involuntarily. 

If an employee's military service began during a war or national emergency period, any active duty service they were 

required to continue in beyond the end of the war or national emergency is creditable, except any voluntary service extending beyond September 14, 1978, is not creditable.

Railroad workers who voluntarily served in the Armed 

Forces between June 15, 1948, and December 15, 1950, when 

there was no declared national state of emergency, can be 

How much creditable railroad service is needed

for a regular employee annuity?

10 years (120 months)

OR

5 years (60 months) if performed after 1995
Employee and Spouse Annuities 3

given railroad retirement credit for their military service if 

they performed railroad service in the year they entered or 

the year before they entered military service, and if they returned to rail service in the year their military service ended 

or in the following year and had no intervening nonrailroad 

employment. 

Veterans should contact the RRB well in advance of retirement regarding required proof of military service. 

Service and Earnings Records

Employers are required to report their employees' service 

and earnings compensation to the RRB, which maintains a 

record of all covered railroad service and creditable earnings after 1936. The RRB saves this information under each 

employee's social security number (as reported by the employer). 

Each June, the RRB sends employees a Certificate of Service Months and Compensation (Form BA-6). This statement 

is important because it provides employees with a current 

and cumulative record of their railroad service and compensation. It includes deemed service months, separation 

(or severance) allowances, and miscellaneous compensation, 

such as taxable sickness payments. It also includes cumulative amounts of railroad retirement payroll taxes paid by the 

employee over and above social security equivalent payroll 

taxes, reflects creditable military service previously reported to the RRB, and indicates if the employee is qualified to 

claim unemployment or sickness benefits.

♦ August 2, 1990 to date as yet undetermined

♦ December 16, 1950 to September 14, 1978

♦ September 8, 1939 to June 14, 1948

WAR AND NATIONAL EMERGENCY PERIODS
4 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

Employees are encouraged to carefully review Form BA-6 

for accuracy upon receipt. If an employee disagrees with the 

information shown on their Form BA-6, they should notify 

the RRB as early as possible. The law limits the period during which corrections can be made to 4 years. All correspondence reporting an inaccuracy on Form BA-6 must include 

the employee’s social security number, as well as any supporting documentation, such as copies of pay stubs. Employees can mail this information to RRB headquarters at:

Protest Unit - CESC

U.S. Railroad Retirement Board

844 North Rush Street

Chicago, IL 60611-1275

Similar information is available online to employees who 

have an account at RRB.gov/myRRB. After signing in, they 

can view their individual railroad retirement records of service months and compensation through the feature labeled 

View Service & Compensation. Though this alternative record 

does not replace Form BA-6, it will display the employee's 

service and compensation as soon as their employer posts it 

to RRB systems. This feature is only available to employees 

with myRRB accounts.

Guidance on reviewing Form BA-6 is available online at 

RRB.gov/BA6.

• Employees with 30 or more years of creditable

 service (commonly referred to as 60/30)

They are eligible for regular annuities based on age and 

service the first full month they are age 60. There is no 

age reduction for those who retire after 2001 with at least 

30 years of service.

EMPLOYEE ANNUITIES

AGE AND SERVICE ANNUITIES CAN BE PAID TO:
Employee and Spouse Annuities 5

- Employees retiring after the first full month they reach

 age 60 can have their annuities begin the first day they 

 are eligible, with up to 6 months' retroactivity.

• Employees with 10-29 years of creditable service, or

 5-9 years, if at least 5 years were after 1995 

They are eligible for regular annuities based on age and

service the first full month they are age 62. Early retirement annuity reductions are applied to annuities awarded 

before the employee's full retirement age, which varies depending on an individual's year of birth, the same as under 

social security.

Reduced annuities payable at age 62 to those with less than 

30 years of service are subject to a maximum reduction of 

30 percent. The tier II portion of an annuity (as defined on 

page 13) is not reduced beyond 20 percent if the employee 

had any creditable railroad service before August 12, 1983. 

(See pages 43-47 for a detailed explanation of age reductions.)

- Employees retiring at or after age 62 with an age reduc-

 tion can have their annuities begin on the first day of

 the month they file their application.

An annuity based on age cannot be paid until the employee stops railroad employment, files an application, and 

gives up any rights to return to work for a railroad employer. 

Total disability, at any age, if an employee is disabled from 

all regular work and has at least 10 years (120 months) of creditable railroad service. Employees with 5-9 years of creditable 

DISABILITY ANNUITIES CAN BE PAID FOR:

A physical or mental disability that prevents any

regular employment.

TOTAL DISABILITY
6 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

railroad service, with at least 5 years performed after 1995, 

may qualify for the tier I portion only (as defined on page 12) 

before retirement age on the basis of total disability if they 

also meet certain social security earnings requirements. An 

age reduced tier II amount would be payable at age 62.

Occupational disability, if an employee is disabled from 

their regular railroad occupation at age 60, and has at least 10 

years of railroad service, or at any age if the employee has at 

least 20 years (240 months) of service. A current connection 

(as defined on page 7) with the railroad industry is also 

required for an annuity based on occupational disability. 

A 5-month waiting period beginning with the month after 

the month of the onset of disability is required before any 

disability annuity payments can begin. 

An employee can be in compensated service while filing 

a disability annuity application as long as the compensated 

service is not active service and terminates within 90 days 

from the date of filing. However, in order for a supplemental annuity to be paid by the RRB, or for an eligible spouse 

to begin receiving annuity payments, a disabled annuitant 

under full retirement age must relinquish employment 

rights. 

• Age 60, if the employee has at least 30 years of creditable

 railroad service.

• Age 65, if the employee has 25-29 years of creditable 

 railroad service.

A SUPPLEMENTAL ANNUITY CAN BE PAID AT:

An employee is disabled for their regular 

railroad occupation (generally, the job they 

worked the longest in the last 5 years) and 

the condition is expected to last at least 12 

months or longer.

OCCUPATIONAL DISABILITY
Employee and Spouse Annuities 7

In addition to the service requirements, a current connection with the railroad industry is required for all supplemental annuities. An employee must also be entitled to receive 

a railroad retirement age and service or disability annuity 

before a supplemental annuity can be paid. Eligibility is further limited to employees who had at least one month of 

creditable rail service before October 1981.

CURRENT CONNECTION REQUIREMENT

An employee who worked for a railroad in at least 12 

months in the 30 months immediately preceding the month 

their railroad retirement annuity begins will meet the current connection requirement for a supplemental annuity, 

occupational disability annuity, or the survivor benefits described later in this booklet. (If the employee died before 

retirement, railroad service in at least 12 months in the 30 

months before the month of death will meet the current 

connection requirement for the purpose of paying survivor 

benefits.) 

A current connection determination is made when an employee files for a railroad retirement annuity. If an employee 

dies before applying for an annuity, it is made when an applicant files for a survivor annuity. Once a current connection is established at the time a railroad retirement annuity 

begins, an employee never loses it, no matter what kind of 

work they may perform thereafter.

If an employee does not qualify on the above basis, but 

has 12 service months in an earlier 30-month period, they 

may still meet the current connection requirement. This alternative generally applies if the employee did not have any 

regular employment outside the railroad industry after the 

end of the last 30-month period which included 12 months 

of railroad service and before the month the annuity begins, 

or the month of death if earlier. Full or part-time work for a 
8 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

nonrailroad employer in the interval between the end of the 

last 30-month period including 12 months of railroad service 

and the month an employee’s annuity begins, or the month 

of death if earlier, can break a current connection. 

Self-employment in an unincorporated business will not 

break a current connection; however, self-employment can 

break a current connection if the business is incorporated. 

Working for certain U.S. government agencies (Department of Transportation, National Transportation Safety 

Board, Surface Transportation Board, National Mediation 

Board, Transportation Security Administration, U.S. Coast 

Guard, and the RRB) will not break a current connection. 

State employment with the Alaska Railroad, as long as that 

railroad remains an entity of the state of Alaska, will not 

break a current connection. Also, railroad service in Canada 

for a Canadian railroad will neither break nor preserve a 

current connection. 

A current connection can also be maintained, for purposes of supplemental and survivor annuities, but not for an occupational disability annuity, if the employee completed 25 

years of railroad service, was involuntarily terminated without fault from their last job in the railroad industry, and did 

not thereafter decline an offer of employment in the same 

class or craft in the railroad industry, regardless of the distance to the new position. 

A termination of railroad service is considered voluntary 

unless there was no choice available to the individual to 

remain in service. Generally, where an employee has no 

option to remain in the service of their railroad employer, 

the termination of the employment is considered involuntary, regardless of whether the employee does or does 

not receive a separation allowance. However, each case is 

decided by the RRB on an individual basis. This exception 

to the normal current connection requirements became ef-
Employee and Spouse Annuities 9

fective October 1, 1981, but only for employees who were 

alive on that date, and who left the rail industry on or after 

October 1, 1975. 

An employee must be retired in order for their spouse to 

receive a railroad retirement spouse annuity. An annuity can 

be paid to spouses (including those eligible in same-sex marriages) based on age or caring for the employee's minor or 

disabled child. An employee's divorced spouse(s) may also be 

paid an annuity based on age, even if the employee has not 

retired.

The employee must have been married to the spouse 

for at least 1 year, unless the spouse is the natural parent 

of their child; the spouse was eligible or potentially eligible 

for a railroad retirement widow(er)’s, parent’s, or disabled 

child’s annuity in the month before marrying the employee; or the spouse was previously married to the employee 

and received a spouse annuity. An employee's spouse is not 

eligible for a railroad retirement annuity based solely on 

their own disability.

The age requirements for a spouse annuity depend on the 

employee’s age, date of retirement, and years of rail service. 

• Employee with 30 years of service, age 60:

Spouse is also eligible for an annuity the first full month 

they are age 60. Certain early retirement reductions 

are applied if the employee first became eligible for a 

60/30 annuity July 1, 1984, or later and retired at ages 

60 or 61 before 2002. If the employee was awarded a 

disability annuity, has attained age 60, and has 30 years 

of service, the spouse can receive an unreduced annuity the first full month they are age 60, regardless of 

whether the employee's annuity began before or after 

2002 as long as the spouse’s annuity beginning date is 

after 2001. 

SPOUSE ANNUITIES
10 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

• Employee with less than 30 years of service, age 62:

Spouse is also eligible for an annuity the first full month 

they are age 62. Early retirement reductions are applied 

to the spouse's annuity if they retire before full retirement age. Full retirement age for a spouse varies, just 

as for an employee, depending on the year of birth. Reduced benefits payable at age 62 are subject to a maximum reduction of 35 percent. The tier II portion of a 

spouse's annuity (as defined on page 13) is not reduced 

beyond 25 percent if the employee had any creditable 

railroad service before August 12, 1983. 

• Employee receiving an age and service annuity - or

 disability annuitant otherwise eligible for an age

 and service annuity:

Spouse is eligible for an annuity at any age if caring for 

the employee’s unmarried child under age 18. The spouse 

is also eligible if caring for the employee’s disabled child 

of any age who became disabled before age 22. 

• Divorced spouses:

An annuity may also be payable to the divorced spouse 

of a retired employee if their marriage lasted for a period of at least 10 years immediately before the date 

the divorce became final, both have attained age 62 for 

a full month, and the divorced spouse is not currently 

married. The amount of a divorced spouse’s annuity 

is, in effect, equal to what social security would pay in 

the same situation (tier I only) and therefore less than 

the amount of the spouse annuity otherwise payable. 

A divorced spouse can receive an annuity even if the 

employee has not retired, provided they have been divorced for a period of at least 2 years, the employee 

and former spouse are at least age 62, and the employee is fully insured under the Social Security Act using 

combined railroad and social security earnings. Also, 
Employee and Spouse Annuities 11

a court-ordered partition payment may be paid even 

if the employee is not entitled to an annuity provided 

that the employee has 10 years of railroad service, or 

5 years after 1995, and both the employee and former 

spouse are 62. 

EMPLOYEE AND SPOUSE ANNUITY ESTIMATES

Railroad employees who have a myRRB account can 

get estimates of future annuities for themselves and their 

spouses online using the feature labeled Get Retirement 

Benefits Estimate. The estimates are based on service and 

earnings records maintained by the RRB and show the earliest date the employee can receive a full annuity and, if 

applicable, the earliest date they can receive a reduced 

annuity. Employees can also contact any RRB field office 

to request an approximate estimate or to schedule an appointment for individual pre-retirement counseling, which 

is available in-person or over the phone. Please note that 

estimates can only be furnished for employees with at least 

10 years of railroad service, or 5 years of service after 1995.

It is not possible to provide a precise amount if the employee is not currently eligible. 

The following tables show (1) fiscal year 2022 annuity 

awards to 30-year employees retiring before full retirement 

age and (2) fiscal year 2022 annuity awards to employees 

with an average of less than 30 years of service. Figures 

used in these tables for award amounts and years of service 

are monthly averages and include supplemental annuity 

amounts.
12 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

TWO-TIER ANNUITIES AND DUAL BENEFITS

Regular railroad retirement annuities are calculated under a two-tier formula. The annuity formula components for 

employees and spouses are described in the section on formulas at the back of this booklet. 

The first tier is based on railroad retirement credits and 

any social security credits an employee has acquired. The 

amount of the first tier is calculated using social security formulas, but with railroad retirement age and service requirements.

 EMPLOYEE IS... AWARD

YEARS OF

SERVICE

 Full retirement age or over $2,927 20.3

 Full retirement age or over and spouse $4,058 22.1

 Under full retirement age with less than

 30 years of service $2,376 17.0

 Under full retirement age with less than

 30 years of service and spouse $3,251 17.3

 Retiring because of disability $3,315 19.4

Table 2. Fiscal Year 2022 Annuity Awards

Based on Service Averaging Less than 30 Years

AWARD

YEARS OF

SERVICE

Employee $4,553 34.9

Employee and spouse $6,368 35.2

NOTE.-- A supplemental annuity may be payable to employees with at 

least 25 years of service and a current connection. The supplemental 

annuity amount is $23 plus $4 for each year of service over 25 years, up 

to a maximum of $43 for employees with 30 or more years of service. 

Table 1. Fiscal Year 2022 Annuity Awards to

30-Year Employees Retiring Before Full Retirement Age
Employee and Spouse Annuities 13

The second tier is based on railroad retirement credits 

only, and may be compared to the retirement benefits paid 

over and above social security benefits to workers in other 

industries. 

An additional amount may also be payable as part of the 

regular annuity if an employee had at least 10 years of railroad service and acquired sufficient quarters of coverage for 

an insured status under the Social Security Act before 1975 

and also met certain vesting requirements. 

Employees with Railroad Retirement and Social Security

If a retired or disabled railroad retirement annuitant is 

also awarded social security benefits, the Social Security Administration determines the amount of the social security 

benefit due. The RRB then issues a combined monthly payment after the railroad retirement annuity has been reduced 

by the amount of the social security benefit. 

The tier I portion of an employee's annuity is based on 

their combined railroad retirement and social security 

credits, computed under social security formulas, and approximates what social security would pay if railroad work 

were covered by that system. It is reduced by the amount 

of any actual social security benefit paid on the basis of the 

employee’s nonrailroad employment in order to prevent 

a duplication of benefits based on social security covered 

earnings. The tier I amount is also reduced in the event a 

social security benefit is payable to the employee on the 

basis of another person’s earnings. This reduction follows 

principles of social security law, which limit payment to 

the higher of any two or more benefits payable to an individual at one time. An annuitant is required to advise the 

RRB if any benefits are received directly from the Social 

Security Administration or if those benefits increase other 

than for a cost-of-living adjustment. 
14 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

Employees with Public, Non-Profit, or Foreign Pensions

For employees first eligible for a railroad retirement 

annuity and a federal, state, or local government pension 

after 1985, there may be a reduction in the tier I amount 

for receipt of a public pension based, in part or in whole, 

on employment not covered by social security or railroad 

retirement after 1956. This may also apply to certain other payments not covered by railroad retirement or social 

security, such as payments from a non-profit organization, 

a foreign government, or a foreign employer. This does not 

include military service pensions, payments by the Department of Veterans Affairs, or certain benefits payable by a 

foreign government as a result of a totalization agreement 

between that government and the United States. 

Workers’ Compensation

If an employee is receiving a disability annuity, the tier I 

portion may, under certain circumstances, be reduced for receipt of workers’ compensation or public disability benefits. 

If an annuitant becomes entitled to any pensions or benefits as described above, they must notify the RRB immediately. 

SPOUSES WITH DUAL BENEFITS

Social Security Benefits

The tier I portion of a spouse annuity is reduced for any

social security entitlement, regardless of whether the social security benefit is based on the spouse’s own earnings, 

the employee’s earnings, or the earnings of another person. This reduction follows principles of social security law, 

which limit payment to the higher of any two or more benefits payable to an individual at one time. 
Employee and Spouse Annuities 15

Public Pensions

The tier I portion of a spouse annuity may also be reduced for receipt of any federal, state, or local government 

pension separately payable to the spouse based on the 

spouse’s own earnings. The reduction generally does not 

apply if the employment on which the pension is based was 

covered under the Social Security Act throughout the last 

60 months of public employment. 

Most military service pensions and payments from the 

Department of Veterans Affairs will not cause a reduction. 

Pensions paid by a foreign government or interstate instrumentality will also not cause a reduction. For spouses subject to the public pension reduction, the tier I reduction is 

equal to 2/3 of the amount of the public pension. 

Employee Annuity

If both individuals in a marriage are railroad employees and both started railroad employment after 1974, the 

amount of any spouse or divorced spouse annuity is reduced 

by the amount of the employee annuity to which the spouse 

or divorced spouse is also entitled. 

If either one had some railroad service before 1975, the 

spouse or divorced spouse tier I amount is reduced by the 

amount of the railroad employee tier I to which the spouse 

or divorced spouse is entitled. The spouse or divorced spouse 

tier I amount cannot be reduced below zero. The initial reduction is restored in the spouse tier II amount. Divorced 

spouses are not entitled to a tier II component and are not 

eligible to have the reduction restored.

MINIMUM GUARANTY

Under a special minimum guaranty provision, railroad 

families will not receive less in monthly benefits than they 

would have if railroad earnings were covered by social secu-
16 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

rity rather than railroad retirement laws. This guaranty is 

intended to cover situations in which one or more members 

of a family would otherwise be eligible for a type of social 

security benefit which is not provided under the RRA.

For example, social security provides children’s benefits 

when an employee is totally disabled, retired, or deceased. 

The RRA only provides children’s benefits if the employee is 

deceased. Therefore, if a retired rail employee has children 

who would otherwise be eligible for a benefit under social security, the employee’s annuity would be increased to reflect 

what social security would pay the family, unless the annuity 

is already more than that amount.

COST-OF-LIVING INCREASES

After retirement, the tier I portions of both employee and 

spouse annuities are generally increased for higher living 

costs at the same time, and by the same percentage, as social security benefits. These increases, effective December 1 

and included in the January payment, are based on the rise 

in the Consumer Price Index from the third quarter of the 

last year a cost-of-living adjustment became effective to 

the corresponding period of the current year. Generally, if 

the Index increases by 5 percent, for example, the tier I portion increases by 5 percent. Under certain circumstances, 

the increase can be based on average national wage increases 

rather than price increases. 

If an annuitant is receiving both railroad retirement and 

social security benefits, the increased tier I portion is reduced by the increased social security benefit. 

The tier II portions of retired employee and spouse annuities are normally increased by 32.5 percent of the increase in 

the Consumer Price Index. 
Employee and Spouse Annuities 17

Tier II cost-of-living increases are generally payable at the 

same time as tier I cost-of-living increases. Supplemental annuities are not increased by these cost-of-living adjustments.

WORKING AFTER RETIREMENT

Neither a regular annuity, a supplemental annuity, nor a 

spouse annuity is payable for any month in which a retired or 

disabled employee, regardless of age, works for an employer 

covered under the RRA. This includes labor organizations. 

However, service for less than $25 a month to a local lodge 

will not prevent payment of the annuity for that month. 

Retired employees and spouses, regardless of age, who 

work for their last pre-retirement nonrailroad employer are 

also subject to an earnings deduction in their tier II and supplemental annuity amounts, if applicable, of $1 for every $2 

in earnings up to a maximum reduction of 50 percent. Last 

pre-retirement nonrailroad employment is employment 

that continues through the annuity beginning date or ended 

within 6 months of the annuity beginning date. These reductions continue after full retirement age. Work that begins on 

the same day as the annuity beginning date is not last preretirement nonrailroad employment. 

Retired employees and spouses who have not yet attained 

full social security retirement age, which ranges from age 66 

and six months for those born in 1957 to age 67 for those born 

in 1960 or later, may also be subject to additional earnings 

deductions for any earnings, in or outside the rail industry, 

that exceed certain exempt amounts. The tier I portion of 

these employee and spouse annuities is subject to deduction 

if earnings exceed the exempt amounts applicable to social 

security beneficiaries. Prior to the calendar year in which 

full social security retirement age is attained, the deduction 

is $1 for every $2 of annual earnings exceeding an exempt 

amount ($22,320 in 2024). 
18 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

If the employee or spouse has a tier I reduction for social 

security benefits, the tier I amount is not reduced for excess 

earnings. 

In the first year in which an employee subject to these 

earnings deductions is both entitled to an annuity and has 

a non-work month, a full tier I portion can be paid for those 

months in which they had low earnings or did not have substantial self-employment, no matter what total earnings for 

the year were. A non-work month is one in which the employee neither earns over 1/12 of the annual exempt amount 

nor has substantial self-employment. Non-work months can 

be claimed in only one calendar year, which need not necessarily be the first year of entitlement.

 In the calendar year in which an individual attains full 

social security retirement age, deductions of $1 are made in 

the tier I amount for every $3 earned in excess of an exempt 

amount ($59,520 in 2024), but only counting those earnings 

in the months prior to the month full retirement age is attained. This tier I deduction stops effective with the month 

full retirement age is attained. 

Earnings received for services rendered, plus any net 

earnings from self-employment, are considered when assessing deductions for earnings. Interest, dividends, certain 

rental income, or income from some stocks, bonds, or other 

investments are not generally considered earnings for this 

purpose. 

Annuitants under full retirement age who work after retirement and expect that their earnings for a year will be 

more than the annual exempt amount must promptly notify the RRB and furnish an estimate of their expected earnings in order to prevent an overpayment and penalties. They 

should also notify the RRB if their original estimate changes 

significantly. 
Employee and Spouse Annuities 19

Retired employees and spouses who return to work for a 

railroad or for their last pre-retirement nonrailroad employer must notify the RRB, regardless of earnings or age. 

A spouse annuity is subject to reductions not only for 

the spouse’s earnings, but also for the earnings of the employee, regardless of whether the earnings are from service 

for the last pre-retirement nonrailroad employer or other 

post-retirement employment. An annuity paid to a divorced 

spouse may continue despite the employee's work activity. 

However, the employee's nonrailroad earnings over the annual earnings exempt amount may reduce a divorced spouse 

benefit.

A spouse annuity is not payable for any month in which 

the employee’s annuity is not payable, or for any month in 

which the spouse, regardless of age, works for an employer 

covered under the RRA. A divorced spouse annuity is not 

payable for any month in which the divorced spouse, regardless of age, works for an employer covered under the RRA. A 

divorced spouse can receive an annuity even if the employee 

has not retired, provided they have been divorced for at least 

2 years, the employee and former spouse are at least age 62, 

and the employee is fully insured under the Social Security 

Act using combined railroad and social security earnings. 

Disability Work Restrictions

If an employee's annuity is based on disability, there are 

certain work restrictions that can affect payment, depending on the amount of earnings. The annuity is not payable 

for any month in which the disabled annuitant works for an 

employer covered under the RRA. The annuity is not payable for any month in 2024 in which the annuitant earns 

more than $1,210 in any employment or net self-employment, except any disability-related work expenses. Withheld payments will be restored if earnings for the year are 
20 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

less than $15,125 (after disability-related work expenses are 

deducted). Failure to report such earnings could involve a 

significant penalty charge. 

Disability work and earnings restrictions apply until the 

annuitant attains full retirement age, which varies, depending on the year of birth. These work restrictions apply even 

if an annuitant has 30 years of railroad service. Earnings 

deductions continue to apply to those working for their last 

pre-retirement nonrailroad employer. 

Any work performed by a disabled annuitant, whether 

for payment or not, may be considered an indication of recovery from disability and must be reported promptly. 

Failure to report work activity timely could result in overpaid annuities, which must be repaid, as well as severe financial penalties.

WHEN ANNUITIES STOP

Payment of any annuity stops upon the annuitant’s death, 

and the annuity is not payable for any day in the month of 

death. 

A disability annuity stops after the employee recovers from 

the disability; it can be reinstated if the disabling condition 

recurs. 

A spouse annuity stops if the employee’s annuity terminates, or the spouse annuity was based on caring for a child 

and the child is no longer under age 18 or disabled or the 

child is no longer in the spouse’s care. However, the spouse 

annuity may continue if they are qualified without the child 

or it can resume when the spouse attains a qualifying age. 

While a divorce ends eligibility for a spouse annuity, a divorced spouse may, under conditions described previously, 

qualify for a divorced spouse annuity. 

A divorced spouse’s annuity stops upon remarriage or upon 
Survivor Benefits 21

entitlement to a social security benefit based on their own 

earnings if the unreduced social security benefit is equal to

or greater than 1/2 of the employee’s unreduced tier I amount. A divorced spouse’s annuity may be reduced or stopped 

if the divorced spouse is also entitled to a railroad retirement 

annuity. 

It is important to notify the RRB promptly if one of the 

above changes occurs. Failure to report can result in an overpayment, which the RRB will take action to recover, sometimes with interest or penalties. Failure to report changes 

promptly or making a false statement can also result in a fine 

or imprisonment.

Annuities are payable to surviving widow(er)s, children, 

and certain other dependents. Lump-sum benefits are payable after the death of a railroad employee only if there are no 

qualified survivors of the employee immediately eligible for 

monthly annuities. With the exception of a residual lumpsum death benefit, eligibility for a survivor annuity depends 

on whether or not the employee was insured under the RRA 

at the time of death. 

An employee is insured if they have at least 10 years of 

railroad service, or 5 years performed after 1995, and a current connection with the railroad industry as of the month 

the annuity begins or the month of death, whichever occurs 

first. The current connection requirement is described on 

pages 7-9 of this booklet. 

If a deceased employee was not so insured, jurisdiction of 

any survivor benefits payable is transferred to the Social Security Administration and any survivor benefits are paid by 

that agency instead of the RRB. Regardless of which agency 

SURVIVOR BENEFITS
22 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

has jurisdiction, the deceased employee’s railroad retirement and social security credits will be combined for the 

purpose of benefit computations. 

Annuities are payable to widow(er)s and unmarried children. In certain cases, an annuity may also be payable to 

parents, remarried widow(er)s, grandchildren, and surviving divorced spouses. 

• Age 60; age reductions are applied to annuities awarded before full retirement age. The eligibility age for unreduced annuities varies, depending on the year of birth. 

• Ages 50-59 if the widow(er) is totally disabled and unable to work in any regular employment. The disability 

must have begun within 7 years after the employee’s death or 

within 7 years after the termination of an annuity based on 

caring for a child of the deceased employee. In most cases, a 

5-month waiting period is required after the onset of disability before a disability annuity can begin. 

• Any age if the widow(er) is caring for an unmarried 

child of the deceased employee under age 18 or a disabled 

child of any age who became disabled before age 22. 

Generally, the widow(er) must have been married to the 

employee for at least 9 months prior to death, unless they 

were the natural or adoptive parent of their child, the employee’s death was accidental or while on active duty in the 

U.S. Armed Forces, the widow(er) was potentially entitled to 

certain railroad retirement or social security benefits in the 

month before the month of marriage, or the marriage was 

TYPES OF SURVIVOR BENEFITS

WIDOW(ER)S' ANNUITIES ARE PAYABLE AT:
Survivor Benefits 23

postponed due to state restrictions on the employee’s prior 

marriage and divorce due to mental incompetence or similar 

incapacity. 

Survivor annuities may also be payable to a surviving divorced spouse or remarried widow(er). Benefits are 

limited to the amounts social security would pay and therefore are less than the amount of the survivor annuity otherwise payable. However, a former spouse may be paid a courtordered partition amount. 

A surviving divorced spouse may qualify if they were 

married to the employee for a period of at least 10 years immediately before the date the divorce became final, is unmarried or remarried under the conditions described in the 

next paragraph, and is age 60 or older (age 50 or older if disabled). A surviving divorced spouse who is unmarried can 

qualify at any age if caring for the employee’s child and the 

child is under age 16 or disabled, in which case the 10-year 

marriage requirement does not apply. 

The portion of a survivor annuity equivalent to a social 

security benefit (tier I) may be paid to a widow(er) or surviving divorced spouse who remarries after age 60, or to a disabled widow(er) or disabled surviving divorced spouse who 

remarries after age 50; however, remarriage prior to age 60 

(or age 50 if disabled) would not prevent eligibility if such 

remarriage ends. Such social security level benefits may also 

be paid to a younger widow(er) or surviving divorced spouse 

caring for the employee’s child who is under age 16 or disabled, if the remarriage is to a person entitled to railroad 

retirement or social security benefits, or if the remarriage 

ends.
24 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

• An unmarried child under age 18. 

• An unmarried child age 18 in full-time attendance at an

elementary or secondary school or in approved homeschooling until the student is age 19, or the end of the school term 

in progress when the student turns 19. In most cases where 

a student turns 19 during the school term, the annuity is 

limited to the 2 months following their month of birth. The 

annuity will be terminated earlier if the student gets married, graduates from school, or ceases full-time attendance. 

• An unmarried disabled child over age 18 if the child became totally disabled before age 22. 

• An unmarried dependent grandchild meeting any of the 

requirements described above for a child, if both the grandchild’s parents are deceased or found disabled by the Social 

Security Administration.

• A parent at age 60 who was dependent on the employee for 

at least half of the parent’s support. If the employee was also 

survived by a widow(er), surviving divorced spouse, or child 

who could ever qualify for an annuity, the parent’s annuity is 

limited to the amount that social security would pay.

SURVIVOR ANNUITY ESTIMATES

Survivors can call the agency toll-free (1-877-772-5772) 

to speak with a field service representative and request an 

annuity estimate. Active or retired employees who are concerned about the amount of benefits which would be payable to their survivors may also receive estimates from field 

service staff. Pre-retirement counseling is also available by 

appointment at any RRB field office or over the phone. 

The average annuity awarded to widow(er)s in fiscal year 

2022, excluding remarried widow(er)s and surviving divorced 

OTHER SURVIVOR ANNUITIES ARE PAYABLE TO:
Survivor Benefits 25

spouses, was $2,516 a month. On average, children received 

$1,719 per month, while total family benefits for widow(er)s

with children averaged $4,870 a month. The average annuity awarded to remarried widow(er)s or surviving divorced 

spouses in fiscal year 2022 was $1,448 a month. 

SURVIVOR ANNUITY TIERS

Survivor annuities, like retirement annuities, consist of 

tier I and tier II components. 

Tier I is based on the deceased employee’s combined railroad retirement and social security credits, and is generally 

equivalent to the amount that would have been payable under social security. 

Tier II amounts are percentages of the deceased employee’s tier II amount, as described in the section on formulas at 

the back of this booklet. 

Survivor annuity amounts may also be determined under certain minimum provisions which guarantee that a 

widow(er)’s annuity will be at least equal to the two-tier 

amount the deceased employee would have received at the 

time of the award of the widow(er)’s annuity, minus certain 

reductions including those for age and receipt of social security benefits, and no less than the spouse annuity they were 

receiving just prior to the employee’s death. 

SURVIVORS WITH DUAL BENEFITS

Social Security Benefits

The tier I portion is reduced by the amount of any social 

security benefits received by a survivor annuitant, even if 

the social security benefits are based on the survivor’s own 

earnings. This reduction follows the principles of social security law which, in effect, limit payment to the higher of any 

two or more benefits payable to an individual at one time. 
26 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

When both railroad retirement annuities and social security benefits are payable, they are generally combined into 

a single payment issued through the RRB. A survivor annuitant must notify the RRB if any benefits are received directly 

from the Social Security Administration or if those benefits 

increase other than for a cost-of-living adjustment. 

Public Pensions

The tier I portion of a widow(er)’s annuity may be reduced 

for receipt of any federal, state, or local government pension 

based on the widow(er)’s own earnings. The reduction generally does not apply if the employment on which the pension 

is based was covered under the Social Security Act throughout the last 60 months of public employment. 

Most military service pensions and payments from the 

Department of Veterans Affairs will not cause a reduction. 

Pensions paid by a foreign government or interstate instrumentality will also not cause a reduction. For those subject 

to a public pension reduction, the tier I reduction is equal to 

2/3 of the amount of the public pension. 

Employee Annuity

If a widow(er) is also entitled to a railroad retirement employee annuity, and both the widow(er) and the deceased 

employee started railroad employment after 1974, the survivor annuity (tier I and tier II) payable to the widow(er) 

is reduced by the full amount of the widow(er)’s own employee annuity. 

If the widow, dependent widower, or the deceased employee had at least 120 months of service before 1975, the 

tier I portion of the survivor annuity is reduced by the net 

tier I portion of the widow(er)'s own employee annuity. The 

tier I reduction may, under certain circumstances, be partially restored in the survivor tier II amount. This restored 

amount is only payable if the survivor benefit calculated 
Survivor Benefits 27

under the Railroad Retirement Act of 1937 would result in 

a higher annuity than the amount awarded under current 

law.

If either the deceased employee or the survivor annuitant had some railroad service before 1975 but less than 10 

years of service, the widow(er)’s own employee annuity and 

the tier II portion of the survivor annuity would be payable 

to the widow(er). The tier I portion of the survivor annuity 

would be payable only to the extent that it exceeds the tier I 

portion of the widow(er)’s own employee annuity.

COST-OF-LIVING INCREASES

Cost-of-living increases, effective December 1 and included in the January payment, are made on the basis of increases in national prices or, in some circumstances, average 

national wages, and calculated the same way as cost-of-living 

increases in employee and spouse annuities. 

However, in the case of widow(er)s’ annuities computed 

on the basis of the initial minimum amount provided under 

2001 legislation, the monthly amount will not increase until the amount payable under previous law plus subsequent 

cost-of-living increases is higher than the initial minimum 

amount. 

WORK AND EARNINGS LIMITATIONS 

A survivor annuity is not payable for any month the survivor works for an employer covered under the RRA, regardless of the survivor’s age. 

Survivors who are receiving social security benefits have 

their railroad retirement annuity and social security benefit 

combined for earnings limitations purposes. Prior to the calendar year in which full retirement age is attained, there is 

a deduction of $1 in an annuity for every $2 earned over an 

exempt amount ($22,320 in 2024). The deduction is $1 for 
28 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

every $3 earned over an exempt amount ($59,520 in 2024) 

for the months in the calendar year in which the individual 

attains full retirement age, up to the month of attainment. 

Work deductions stop effective with the month full retirement age is attained. In the first year in which a survivor is 

both entitled to an annuity and has a non-work month, a full 

annuity can be paid for those months in which the survivor 

had low earnings or did not have substantial self-employment, no matter what total earnings for the year were. 

As work and earnings may affect the payment of an annuity, they must be reported promptly to the RRB in order to 

prevent potential overpayments. 

These earnings restrictions do not apply to disabled children or to disabled widow(er)s under age 60. However, annuitants receiving disability benefits must report any work 

or earnings to the RRB. The agency reviews such information to determine whether recovery from the disability is 

indicated.

WHEN SURVIVOR PAYMENTS STOP

All survivor payments stop upon death; no annuity is 

payable for the month of death. 

A widow(er)’s annuity will be reduced upon remarriage, 

and in some cases, payment will be prevented. A widow(er)’s, 

surviving divorced spouse’s, and remarried widow(er)’s annuity could also end upon entitlement to another survivor 

or spouse annuity under the RRA which is greater than the 

widow(er)’s annuity. 

A surviving divorced spouse’s or remarried widow(er)’s 

annuity could stop when entitled to a social security benefit 

which equals or exceeds the deceased employee’s basic tier I 

amount and reduces the annuity amount to zero. 

A widow(er)’s, remarried widow(er)’s, or surviving divor-
Survivor Benefits 29

ced spouse’s annuity which is based on a child in care will 

end if the child is no longer in the person’s care, the child’s 

eligibility ceases, or, in most situations, remarriage occurs. 

Provided the child in care is not disabled, this type of annuity also ends when the child reaches age 18 (for widow(er)s), 

or age 16 (for remarried widow(er)s and surviving divorced 

spouses).

A child’s or grandchild’s annuity stops when they turn 18, 

or if the child marries or recovers from their disability upon 

which the annuity was based. Similarly, an annuity based on 

a parent’s disability stops if the Social Security Administration subsequently determines that the parent is no longer 

disabled. If the child is 18 and a full-time elementary or high 

school student, the annuity stops when full-time attendance 

ceases, at graduation, or when they turn 19. In most cases, 

when a student turns 19 during the school term, their annuity is extended to the 2 months following their birth month. 

An annuity will stop if it was based on disability and the 

beneficiary recovers from the disability before age 60. A 

disability annuity can be reinstated if the disability recurs 

within 7 years and the widow(er) is still under age 60. 

A parent’s survivor annuity may stop upon remarriage. In 

some cases, a remarried parent is entitled to a tier I portion.

Any of these occurrences must be reported to the RRB 

timely in order to prevent an overpayment. 

LUMP-SUM DEATH BENEFITS

A lump-sum death benefit is payable to certain survivors 

of an employee with 10 or more years of railroad service, or 

less than 10 years if at least 5 years were after 1995, and a 

current connection with the railroad industry if there is no 

survivor immediately eligible for a monthly annuity upon 

the employee’s death. 
30 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

If the employee did not have 10 years of service before 

1975, the lump sum is limited to $255 and is payable only to 

the widow(er) living in the same household as the employee 

at the time of the employee’s death. 

If the employee had less than 10 years of service but had 

5 years after 1995, they must have met social security’s insured status requirements for the lump sum to be payable. 

If the employee had 10 years of service before 1975, the 

lump sum is payable to the living-with widow(er). If there is 

no such widow(er), the lump sum may be paid to the funeral 

home or the payer of the funeral expenses. These lump sums 

averaged $1,039 in fiscal year 2022. 

If a widow(er) is eligible for an annuity at the time of the 

employee’s death, but had excess earnings deductions which 

prevented annuity payments or for any other reason did not 

receive an annuity in the 12-month period beginning with 

the month of the employee’s death totaling at least as much 

as the lump sum, the difference between the lump-sum 

benefit and monthly annuity actually paid, if any, is payable 

in the form of a deferred lump-sum benefit. 

The average for all types of lump sums was $922 in fiscal 

year 2022. 

Residual Lump-Sum Payment

The railroad retirement system also provides, under certain conditions, a residual lump-sum death payment which 

ensures that a railroad family receives at least as much in 

benefits as the employee paid in railroad retirement taxes 

before 1975. This payment is, in effect, a refund of an employee’s pre-1975 railroad retirement taxes, after subtraction of any benefits previously paid on the basis of the employee’s service. This benefit is seldom payable.
31

APPLYING FOR AN ANNUITY

Applications for railroad retirement or survivor annuities 

are generally filed at one of the RRB’s field offices, with a 

traveling RRB representative at a customer outreach program service location, or by phone and mail. The agency accepts applications up to 3 months in advance of an annuity beginning date, which allows the agency to complete the 

processing of most new claims by a person’s retirement date. 

An employee can be in compensated service while filing a 

disability application provided that the compensated service 

is not active service and terminates within 90 days from the 

date of filing. When an employee files a disability application 

while still in compensated service, it will be necessary for the 

employee to provide a specific ending date of the compensation. Compensated service includes not only compensation 

with respect to active service performed by an employee for 

an employer, but also includes pay for time lost, wage continuation payments, certain employee protection payments, 

and any other payment for which the employee will receive 

additional creditable service. 

Railroad retirement annuity applicants are required to 

enroll in either the Direct Deposit Program, which electronically transfers payments into their checking or savings 

account, or the U.S. Department of the Treasury’s Direct 

Express program, which electronically transfers federal payments to a Direct Express-issued Debit MasterCard®

. Enrollment waivers are available only under very limited conditions.

Applicants for railroad retirement and survivor annuities can check with an RRB field office as to when they can 

expect their first payment. Customer service standards and 

progress reports are available at RRB.gov and in all RRB 

field offices. 

RETIREMENT AND SURVIVOR INFORMATION
32 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

To expedite filing, applicants may schedule an appointment for individual pre-retirement counseling, which is 

provided at any RRB field office or over the phone. Certain 

documents are required when filing a railroad retirement 

annuity application, including:

• Proof of an employee’s age.

• Proof of any military service.

• Proof of marriage if the spouse is eligible or will shortly

 become eligible for a spouse annuity.

• Divorced spouse must furnish proof of divorce from the

 employee.

• Proof of the spouse’s or divorced spouse’s age.

• Proof of a child’s relationship and age if the spouse is

 applying for an annuity based on caring for the 

 employee's child.

• Information about any public service pension for which

 the applicant qualifies.

• Banking information for direct deposit of benefit

 payments (needed at time application is filed).

• Supporting medical evidence if applying for a disability

 annuity.

A photocopy of a record is not accepted as an official document. 

To avoid delays in application processing, any proof submitted 

must be an original or certified copy.

FOR EMPLOYEES AND SPOUSES:
Retirement and Survivor Information 33

The best proof of age is a certified copy of civil or church 

documents recorded at or close to the time of birth. The best 

proof of marriage is a certified copy of the public or church 

record or the original marriage certificate. A divorced 

spouse would be expected to furnish a certified copy of 

the final divorce decree. Proof of military service may be a 

certificate of discharge, or any official military record that 

shows the dates of service. 

Employees and spouses are encouraged to submit their 

proofs well in advance of retirement in order to expedite the 

annuity application process and avoid delays resulting from 

inadequate proofs. Information will be recorded and stored 

electronically, and proofs will be promptly returned.

Applicants for disability annuities are required to submit 

supporting medical information. They are sometimes asked 

to take a special medical examination given by a doctor designated by the RRB. 

An annuity is effective as of the first full month throughout which the employee and/or spouse is age 60, or age 62 

in the case of reduced annuities. An annuity is effective the 

first day of the month full retirement age is attained in the 

case of unreduced annuities with less than 30 years of service. 

The retroactivity of a retirement annuity application is 

limited to 1 year for disability annuities and 6 months for 

full age annuities. There is generally no retroactivity for 

reduced age annuities. 

Any social security benefits due the retired employee or 

family member are paid through the RRB. Even though the 

RRB processes payment, the Social Security Administration is responsible for all adjudication.
34 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

• A widow(er) must furnish proof of age, proof of

 marriage, and proof of the employee’s death.

• A surviving divorced spouse must furnish proof of

 divorce from the employee.

• If applying for a disability annuity, the widow(er)

 must also provide supporting medical evidence.

• A parent must furnish proof of relationship to the

 employee and proof of support from the employee.

• For eligible children, proof of the relationship and age

 of each child is needed. Supporting medical evidence

 is required if a child is over age 18 and disabled. Proof

 of full-time elementary or high school attendance is

 needed for eighteen-year-old students. The employee's

 stepchildren must furnish proof of their dependency

 on the employee.

Retroactivity of a survivor annuity application is 1 year for 

disabled widow(er)s and 6 months for full retirement age 

widow(er)s, mothers (fathers), children, and parents. For widow(er)s between ages 60-61, retroactivity is 6 months if it 

does not increase the age reduction, although this does not 

apply to surviving divorced spouses or remarried widow(er)s. 

Otherwise, there is generally no retroactivity for reduced age 

widow(er)s’ annuities. Lump-sum death benefit applications 

must be filed within 2 years after an employee's death. There 

is no time limit on filing for a residual payment. 

FOR SURVIVORS:
Retirement and Survivor Information 35

IF REQUIREMENTS ARE NOT MET

Retirement annuities are not payable by the RRB unless 

the employee has 5 years of creditable service after 1995, or 

10 years of service at any time. Service includes any creditable military service. 

Survivor annuities are not payable unless the employee 

had a current connection with the railroad industry and either 5 years of creditable service after 1995 or 10 years of 

service at any time. 

In either of the above circumstances, if the requirements

are not met, the employee’s railroad retirement credits are 

treated as social security credits by the Social Security Administration. Benefits paid by that agency would accordingly take into account both railroad and social security covered earnings. 

The RRA does not allow a former railroad employee to 

withdraw their retirement taxes. Like social security taxes, 

railroad retirement taxes are not refundable unless retirement tax withholding has exceeded annual maximums.

GARNISHMENT AND PROPERTY SETTLEMENTS 

Garnishment 

Certain percentages of an employee, spouse, or survivor 

annuity may be subject to legal process (i.e., garnishment) to 

enforce an obligation for child support and/or alimony payments. 

Property Settlements

The tier I portion of an annuity is not subject to property 

settlements. An employee's tier II and supplemental annuity components are subject to court-ordered property settlements in proceedings related to divorce, annulment, or legal 

separation. 
36 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

MONITORING PAYMENTS

Under several monitoring programs now in effect, the 

RRB maintains contact with retirement and survivor beneficiaries in order to ensure the reporting of events which 

would require suspension or termination of monthly annuities. The records of beneficiaries are also checked with the 

Social Security Administration because annuities may be 

affected by nonrailroad earnings and because entitlement 

to social security benefits affects the amount of all annuities. The monitoring programs between the Social Security 

Administration and the RRB do not replace an annuitant's 

responsibility to notify the RRB directly when they become 

entitled to a benefit under the Social Security Act. 

THE RIGHT TO APPEAL

Persons claiming retirement, disability, or survivor annuities from the RRB have the right to appeal unfavorable determinations on their claims. The RRB has a three-stage review 

and appeals process for all claims under the RRA. 

Individuals dissatisfied with the RRB’s initial decision on 

a claim have 60 days from the mailing date of the decision 

notice to submit a written request for review by the agency’s 

reconsideration section. This step is mandatory before an 

appeal may be filed with the RRB’s Bureau of Hearings and 

Appeals (H&A).

In cases involving overpayments, individuals have the 

right to request waiver of overpayment recovery by the RRB, 

in addition to reconsideration of the overpayment decision. 

If currently entitled to a railroad retirement annuity, they 

may also elect to have a personal conference as part of that 

request.

While review of an overpayment must be requested 

within the legal timeframes, a request for a waiver may be 

made any time. However, for overpayment recovery to be de-
Retirement and Survivor Information 37

ferred while a waiver request is pending, the waiver request 

must be in writing and filed within 60 days from the date 

on which the overpayment notice was mailed. A request for 

waiver received after 60 days will be considered but will not 

defer collection of the overpayment, and any portion of the 

overpayment recovered prior to the date on which the waiver 

request is filed will not be subject to waiver.

If dissatisfied with the reconsideration or waiver decision, 

individuals have 60 days from the mailing date of the reconsideration or waiver decision to file an appeal with H&A, a 

bureau independent of the units responsible for reconsideration decisions. This appeal must be filed using RRB Form 

HA-1, which is available at RRB.gov/Resources/Appeals or 

any RRB field office, and submitted to H&A by mail, fax, or 

email. If necessary, H&A may further investigate the case 

and obtain pertinent information through RRB field representatives, designated medical examiners, and others. When 

the appeal involves a question of fact, an appellant has the 

right to an oral hearing, which can be held over the phone 

or videoconferencing. In-person hearings are generally held 

at the RRB office closest to the appellant’s home or another 

location designated by the H&A officer.

Appellants who are dissatisfied with H&A’s decision may 

further appeal to the RRB’s three-member Board, which 

heads the agency, within 60 days from the mailing date of 

H&A’s decision. This appeal must be filed using RRB Form 

HA-1 and submitted to H&A. Appellants should note that the 

three-member Board ordinarily will not accept additional evidence or conduct a hearing regarding the applicable matter.

Appellants dissatisfied with the three-member Board’s 

final decision may file a petition with the appropriate U.S. 

Court of Appeals to review the Board’s decision. The petition 

for review must be filed within one year after the mailing 

date of the Board’s decision.
38 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

RAILROAD RETIREMENT TAXES

By law, railroad retirement tier I payroll taxes are coordinated with social security taxes and increase automatically 

when social security taxes rise. Employees and employers 

pay tier I taxes which are the same as social security taxes. 

In addition, both employees and employers pay tier II taxes 

to finance railroad retirement benefit payments over and 

above social security levels. 

The tier I tax on employees and employers is 7.65 percent 

in 2024. The tier II tax on employees is 4.90 percent, while 

the tier II tax rate on rail employers, rail labor organizations, 

and rail employee representatives is 13.10 percent in 2024. 

An employee representative is a labor official of a noncovered labor organization who represents employees covered 

under the Acts administered by the RRB. 

The ratio of certain asset balances to the sum of benefits 

and administrative expenses (the average account benefits 

ratio) determines tier II taxes on employers and employees. Depending on the average account benefits ratio, tier II 

taxes for employers range between 8.20 percent and 22.10 

percent, while the tier II tax rate for employees is between 

0 and 4.90 percent. 

Railroad retirement taxes apply to earnings on an annual 

basis. The amounts of earnings subject to these taxes are determined annually on the basis of national wage levels. 

DUAL TAX PAYMENTS

Railroad employees who also worked for a social security 

covered employer in the same year may, under certain circumstances, receive a tax credit equivalent to any excess social security taxes withheld. 

(Text continues on page 40.)
Retirement and Survivor Information 39

TAX

RATE

MAXIMUM

ANNUAL

TAXABLE

EARNINGS

TIER I

Employees & Employers 7.65%* $168,600

TIER II

Employees 

Employers

 4.90%

13.10%

$125,100

$125,100

Annual regular taxes on employees earning $168,600: 

 TIER I TIER II TOTAL

Employees $12,897.90 $6,129.90 $19,027.80

Employers $12,897.90 $16,388.10 $29,286.00

*The tier I tax rate is divided into 6.20 percent for railroad retirement 

and 1.45 percent for Medicare hospital insurance. The 2024 maximum 

earnings base for railroad retirement is $168,600, and the Medicare 

hospital insurance tax is applied to all earnings. Consequently, employee and employer contributions continue to be made at the 1.45 

percent rate, even after the employee has earned $168,600.

An additional 0.9 percent in hospital insurance taxes (2.35 percent 

in total) applies to on an individual’s income exceeding $200,000, or 

$250,000 for a married couple filing a joint tax return. While employers will begin withholding the additional Medicare tax as soon as an 

individual’s wages exceed the $200,000 threshold, the final amount 

owed or refunded will be calculated as part of the individual’s federal 

income tax return. 

Table 3. 2024 Regular Railroad Retirement Taxes
40 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

Employees who worked for two or more railroads in a 

year, or who had tier I taxes withheld from their RRB sickness insurance benefits in addition to their railroad earnings, may be eligible for a tax credit of any excess tier I or 

tier II railroad retirement taxes withheld. Employees who 

had tier I taxes withheld from their supplemental sickness 

benefits may also be eligible for a tax credit of any excess 

tier I tax. Such tax credits may be claimed on an employee’s 

federal income tax return. 

Employees who worked for two or more railroads, or had 

both railroad retirement and social security taxes withheld 

from their earnings, should see Internal Revenue Service 

publication 505, Tax Withholding and Estimated Tax, for information on how to figure any excess railroad retirement or 

social security tax withheld. 

Dual Railroad Retirement-Social Security Taxes Paid,

1951-74

An employee with 10 or more years of railroad service may 

be entitled to a refund of excess social security taxes if their 

combined taxable earnings from the railroad retirement and 

social security systems in any year in the period 1951-1974 

exceeded a maximum annual amount creditable under the 

RRA. Eligible employees will receive their refunds from the 

RRB at retirement without applying for them. In the event 

an employee should die before receiving the refund, payment will be made to the employee’s survivors. 

Separation or Severance Allowances

A lump sum, approximating railroad retirement tier II 

payroll taxes deducted from separation (or severance) allowances, may be paid upon retirement to employees meeting 

minimum service requirements, or their survivors, to the 

extent the separation allowances did not yield additional 

railroad retirement service or earnings credits. The lump-
Retirement and Survivor Information 41

sum provision applies to separation allowances made after 

1984. 

FEDERAL INCOME TAX ON 

RAILROAD RETIREMENT BENEFITS

The tier I portion of a railroad retirement annuity that 

is actually equivalent to a social security benefit is treated 

as a social security benefit for federal income tax purposes. 

Depending on the amount of other income received in the 

taxable year, a portion of these benefit payments may be 

subject to federal income tax. 

The tier I portion of an annuity that exceeds social security benefits, such as retirement annuities payable between 

ages 60 and 62, and many occupational disability annuities, 

plus the tier II portion of railroad retirement annuities and 

supplemental annuities paid by the RRB are treated like 

private pensions for federal income tax purposes. The RRA 

specifically exempts annuities paid by the RRB from state 

and local income tax. 

The RRB and the Social Security Administration issue 

tax information statements to annuitants each January. In 

the absence of a request not to withhold, taxes are withheld 

from U.S. citizens or residents whose railroad retirement annuities in excess of the social security equivalent level total 

more than certain annual threshold amounts. Taxes are also 

withheld under nonresident alien rules if an individual is 

a known citizen of a country other than the United States, 

Guam, or the Commonwealth of the Northern Mariana Islands, Puerto Rico, or American Samoa and who is a known 

resident for tax purposes, or an unknown individual residing 

outside the United States, Guam, and the Commonwealth of 

the Northern Mariana Islands. Any amounts withheld during the taxable year are reflected on the annual statements. 
42 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

The amount of a regular annuity is the total of portions 

called tiers, which are computed separately under different 

formulas. 

The first tier is calculated the same way as a social security 

benefit. An employee's social security credits are combined 

with their railroad retirement credits for tier I computation 

purposes. 

An employee’s creditable earnings are adjusted to consider 

the changes in wage levels over a worker’s lifetime. This procedure, called indexing, increases creditable earnings from 

past years to reflect average national wage levels just prior to 

the employee’s first year of eligibility. The adjusted earnings 

are used to calculate average indexed monthly earnings, and a 

benefit formula is then applied to determine the gross tier 

I amount. 

For those first eligible in 2024, the gross tier I is equal to: 

• 90% of the first $1,174 of average indexed monthly earnings, plus

• 32% of the amount of these earnings over $1,174 up to $7,078, plus

• 15% of these earnings in excess of $7,078.

For employees with less than 10 years of creditable railroad service, the tier I amount is calculated only if the employee has at least 5 years of service after 1995 and an insured 

status under Social Security Act rules (usually 40 quarters of 

EMPLOYEE RETIREMENT ANNUITY

ANNUITY FORMULA COMPONENTS

The following describes railroad retirement annuity formula components 

as applied to new awards. The cost-of-living adjustments applied to annuities are described in previous pages of this booklet. 

TIER I
Annuity Formula Components 43

coverage), counting both railroad retirement and social security covered earnings. 

Delayed Retirement Credits

The tier I portion of an annuity is increased by a certain 

percentage for each month an employee delays retirement 

past full retirement age, up until age 70. For those born January 2, 1943, or later, the delayed retirement credit is 2/3 of 

1 percent per month (8 percent per year). Those born prior 

to January 2, 1943, earn a lesser percentage credit. Delayed 

retirement credits are not given to an employee with less 

than 10 years of railroad service (even if the employee is 

over full retirement age when retiring from their railroad 

job) if the employee is also entitled to an age-reduced social security benefit, and the beginning date of that social 

security benefit precedes their railroad retirement annuity 

beginning date.

Age Reductions

For employees retiring between age 62 and full retirement age with less than 30 years of service, age reductions 

are applied separately to the components of an annuity. As 

mentioned earlier, the full retirement age varies, depending on the year of birth (see Table 4 on page 44). There is no 

age reduction for those who retire after 2001 with 30 years 

of service.

The full retirement age is 66 and six months for employees 

and spouses born in 1957. The full retirement age increases 

gradually for those born in 1958 to 1960, until it reaches age 

67. For people born in 1960 or later, the full retirement age 

is age 67. 
44 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

The early-retirement reduction factor for an employee is 

1/180 for each of the first 36 months of the reduction period 

regardless of the age of initial entitlement and decreases to 

1/240 for each month (if any) over 36. For those employees 

born in 1960 or later, the maximum reduction at age 62 is 30 

percent. 

If an employee has less than 10 years of railroad service 

and is already entitled to an age-reduced social security benefit, the age reduction in their tier I amount will be based 

on the age reduction applicable on the beginning date of the 

employee’s social security benefit, even if the employee is 

already full retirement age on their railroad retirement annuity beginning date. 

Age reductions were required in the tier I annuity amounts 

of 30-year employees who retired at ages 60-61 before 2002 

and attained age 60 or completed 30 years of service after 

June 1984. The age reductions were applied only to the tier 

I annuity portion. If an employee affected by this provision 

was born before 1938 and attained 60/30 eligibility after 

December 1985, tier I was permanently reduced by approximately 20 percent. For those born after 1937 who retired 

 BIRTH YEAR*

FULL

RETIREMENT AGE

ANNUITY REDUCTION

(AT AGE 62)

1957 66 and 6 months 27.50%

1958 66 and 8 months 28.333%

1959 66 and 10 months 29.167%

1960 or later 67 30.00%

Table 4. Employee Retiring with Less than 30 Years of Service

*A person attains a given age the day before their birthday, and those born 

on the first or second day of a month are eligible for an annuity beginning 

date on the first of that month.
Annuity Formula Components 45

before 2002, the reduction gradually increased as described 

earlier. In both cases, the tier I amount was frozen until the 

first month throughout which the employee was age 62. It 

was then recomputed to reflect interim increases in national 

wage levels and became subject to future cost-of-living increases. There was no reduction if the employee retired at 

age 62 or older with 30 years of service, or at age 60 with 30 

years of service and retirement is after 2001.

Workers’ Compensation or Public Disability Benefit Reductions

For employees who are under full retirement age and receiving a disability annuity, the tier I amount is, under certain circumstances, reduced for receipt of workers’ compensation or public disability benefits. 

Social Security Reductions 

After any required age reduction, the tier I amount is reduced by the amount of any social security benefits also payable, 

but not to an amount below zero. 

Reductions for Public, Non-Profit, or Foreign Pensions 

For employees who attain eligibility for both tier I and certain government pensions or other payments after 1985, a 

reduction may be required for receipt of a public pension 

based, in part or in whole, on employment not covered by 

railroad retirement or social security after 1956. This also 

applies to payments from non-profit organizations, certain 

foreign governments, and foreign employers. Usually, an 

employee’s tier I amount will not be reduced by more than 

1/2 of their pension from noncovered employment. However, if the employee is under full retirement age and receiving 

a disability annuity, the tier I portion may be reduced by an 

added amount if the pension from noncovered employment 

is a public disability benefit. 
46 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

The second tier of a regular annuity is computed under a 

separate formula, and is based on railroad service alone. The 

tier II amount is equal to 7/10 of 1 percent of the employee’s 

average monthly earnings using the tier II tax base in the 60 

months of highest earnings, times their years of service in 

the rail industry.

Age Reductions 

Age reductions required for those employees retiring between age 62 and full retirement age with less than 30 years 

of service are also applied to the tier II component of an annuity. The reduction is 1/180 for each of the first 36 months 

the employee is under full retirement age when their annuity begins and 1/240 for each additional month (if any). 

Full retirement age varies, as mentioned earlier. However, if an employee has any creditable railroad service before 

August 12, 1983, the retirement age for tier II purposes is 

age 65. 

Employees with 5-9 years of creditable railroad service, 

with at least 5 years performed after 1995, are eligible for a 

tier II component the first full month they are age 62. Their 

tier II portion is subject to the same age reductions that apply 

to employees with 10-29 years of service. If eligible based on 

total disability, their tier II is not payable until age 62, and 

that amount is reduced for early retirement. 

Supplemental Annuity Formula

The amount of a supplemental annuity awarded after 1974 

is equal to $23 plus $4 for each year of service over 25, up to a 

maximum of $43. A fraction of $4 is added for each fractional 

year of service.

If a retired employee also receives a private pension paid 

for entirely or in part by a railroad, the supplemental anTIER II
Annuity Formula Components 47

nuity is subject to reduction. The reduction is equal to the 

amount of the pension that is based on the employer’s contributions. The reduction applies whether the employee receives a monthly pension or elects a lump sum instead of 

a monthly pension. There is no reduction for any part of a 

private pension based on the employee’s own contributions. 

If the employer reduces the private pension because of the 

supplemental annuity, the amount of the reduction is restored to the supplemental annuity, but not over the $43 

maximum. There is no reduction to the supplemental annuity for a pension paid by a railroad labor organization.

The spouse annuity formula is based on certain percentages of the employee’s tier I and tier II amounts. 

The tier I portion of a spouse annuity, before any applicable reductions, is 50 percent of the railroad employee's unreduced tier I amount. 

Spouse Age Reductions 

Age reductions required for those spouses (between age 

62 and full retirement age) of employees retiring with less 

than 30 years of service are applied separately to each annuity component. Full retirement age for a spouse varies, just 

as for an employee. The tier I reduction is 1/144 for each 

of the first 36 months the spouse is under full retirement 

age when their annuity begins and decreases to 1/240 for 

each month (if any) over 36. For spouses born in 1960 or 

later, the maximum reduction at age 62 is 35 percent. If an 

employee has less than 10 years of railroad service and the 

spouse is already entitled to an age-reduced social security 

benefit, the age reduction in their tier I will be based on 

SPOUSE ANNUITY

TIER I
48 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

the age reduction applicable on the beginning date of the 

spouse’s social security benefit, even if the spouse is already 

full retirement age on their railroad retirement annuity beginning date. 

December 2001 legislation eliminated the tier I age reduction for employees ages 60 or 61 with 30 or more years of 

service whose railroad retirement annuities begin January 1, 

2002, or later. The spouses of these employees are also eligible for full annuities at age 60. 

Age reductions required for spouses of employees with 30 

years of service who attained 60/30 eligibility after June 1984 

but whose annuities began before January 2002 are applied 

only to the tier I portion of the spouse annuity. If the employee attained 60/30 eligibility before July 1984, retired at age 

62 with 30 years of service, or began receiving an annuity at 

ages 60 or 61 after 2001 with 30 years of service, the spouse 

tier I portion is not subject to these reductions. 

The spouse of an employee subject to the 60/30 age reductions may receive a reduced tier I amount, unless the spouse 

is already of full retirement age. 

 BIRTH YEAR*

FULL

RETIREMENT AGE

ANNUITY REDUCTION

(AT AGE 62)

1957 66 and 6 months 32.50%

1958 66 and 8 months 33.333%

1959 66 and 10 months 34.167%

1960 or later 67 35.00%

Table 5. Spouse of Employee Retiring with

 Less than 30 Years of Service

These reductions also apply to divorced spouses.

*A person attains a given age the day before their birthday, and those born 

on the first or second day of a month are eligible for an annuity beginning 

date on the first of that month.
Annuity Formula Components 49

In reduced 60/30 spouse cases, the tier I portion is equal 

to 1/2 of the employee’s reduced tier I on the employee’s 

annuity beginning date and is also frozen until the first full 

month throughout which the spouse is age 62. Then it is recomputed based on 1/2 of the employee’s gross tier I amount 

and reduced for each month the spouse is under full retirement age at that time. If at the time of recomputation the 

spouse has a minor or disabled child in care, no age reduction would apply. 

The spouse of a disability annuitant who was otherwise 

eligible for a 60/30 age annuity received an age reduction if 

the spouse’s annuity beginning date was before 2002. If the 

spouse’s annuity beginning date is January 1, 2002, or later, 

the spouse can receive an unreduced annuity as early as age 

60. If the spouse is entitled based on having a minor or disabled child in care, there is no age reduction. 

Reductions for Other Benefits 

After any applicable age reduction required for a spouse’s 

early retirement, the spouse tier I amount is reduced by the 

amount of any social security benefit to which the spouse is 

entitled. 

The tier I amount may also be reduced for certain federal, 

state, or local government pension payments based on the 

spouse’s own earnings. This tier I reduction is equal to 2/3 

of the public pension. 

The spouse tier I amount may also be reduced if the employee under full retirement age is receiving a disability annuity and a workers’ compensation or public disability benefit. 

While these offsets can reduce or even erase the tier I 

component otherwise payable to a spouse, they do not affect 

the tier II amount potentially payable to that spouse. 
50 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

Divorced Spouses

The annuity of a divorced spouse is limited to the tier I 

amount and thus equal to what social security would pay.

The spouse's tier II amount, before any applicable reductions, is 45 percent of the employee’s unreduced tier II 

amount.

Age Reductions 

The tier II age reduction for spouses of employees retiring with less than 30 years of service is 1/144 for each of 

the first 36 months the spouse is under full retirement age 

when their annuity begins and decreases to 1/240 for each 

month (if any) over 36. However, if a railroad employee had 

any creditable railroad service before August 12, 1983, the 

employee and spouse retirement age for tier II purposes remains age 65. Age reductions are not applied to spouse annuities based on the spouse’s caring for a child.

DUAL ANNUITIES

If a spouse is also a railroad employee annuitant and both 

the employee and spouse started railroad employment after 

1974, the amount of any spouse or divorced spouse annuity 

is reduced by the amount of the employee annuity to which 

the spouse is also entitled. 

If both the employee and spouse are railroad employees 

and either one had some railroad service before 1975, the 

spouse tier I amount is reduced by the amount of the railroad employee tier I to which the spouse is entitled and that 

initial reduction is restored in the spouse tier II amount. The 

spouse tier I amount cannot be reduced below zero. 

A spouse who is also entitled to a survivor annuity on a 

different earnings record will receive only the higher benefit. 

TIER II
Annuity Formula Components 51

The survivor tier I amount is based on the deceased employee’s combined railroad retirement and social security 

credits, and is computed using social security formulas. In 

general, the survivor tier I amount is equal to the amount 

of survivor benefits that would have been payable under social security. 

The gross survivor tier I amount (before reductions for 

early retirement, or other benefits) is generally equivalent to 

the unreduced tier I portion of the retirement annuity the 

deceased employee had, or would have, received. 

For surviving aged or disabled widow(er)s, remarried widow(er)s, and surviving divorced spouses, the tier I amount 

is based on average indexed monthly earnings. If the annuity 

begins a year or more after the employee’s death and the employee died before age 62, the RRB can recalculate this indexed amount using a later year if it would result in a higher benefit. The recalculation considers changes in national 

earnings levels which occur after the employee’s death but 

before the survivor becomes eligible for an annuity. This 

provides a benefit consistent with earnings levels at the time 

of the survivor’s eligibility, rather than the time of the employee’s death. 

A widow(er), remarried widow(er), or surviving divorced 

spouse whose annuity begins at full retirement age or later 

receives the full tier I amount unless the deceased employee received an annuity that was reduced for early retirement. The eligibility age for a full widow(er)’s annuity varies. The maximum age reduction also varies, depending on 

the widow(er)’s date of birth, and is 20.36 percent for those 

born in 1962 or later. For a surviving divorced spouse or 

SURVIVOR ANNUITY

TIER I
52 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

remarried widow(er), the maximum age reduction is 28.5

percent. For a disabled widow(er), disabled remarried widow(er), or surviving divorced spouse, the maximum reduction is 28.5 percent, even if the annuity begins at age 50. 

A widow(er) or surviving divorced spouse whose eligibility is based on caring for the employee's child receives 

75 percent of the full tier I amount. The annuity of a surviving divorced spouse ends when the child is 16. An eligible child also receives 75 percent of the full tier I amount. 

The total amount the family can receive is subject to a maximum (usually applicable if there are three or more family 

members, not counting aged or disabled surviving divorced 

spouses, entitled to survivor annuities). 

A dependent parent can receive 82.5 percent of their 

full tier I amount, but if both parents are eligible, the total 

amount cannot be more than 150 percent of the full tier I 

amount. 

 BIRTH YEAR*

NO ANNUITY REDUCTION

IF RETIREMENT AGE

IS AT LEAST

ANNUITY REDUCTION

(AT AGE 60, DEEMED

TO BE AGE 62)

1957 66 and 2 months 19.26%

1958 66 and 4 months 19.50%

1959 66 and 6 months 19.73%

1960 66 and 8 months 19.95%

1961 66 and 10 months 20.16%

1962 or later 67 20.36%

Table 6. Widow(er) Full Retirement Age

*A person attains a given age the day before their birthday, and a widow(er)

 born on the first day of a month may be eligible for an annuity beginning

 date on the first of the month before their birth month.
Annuity Formula Components 53

Dual Benefit Reduction

The tier I amount previously described is reduced by the 

amount of any social security benefit or by the tier I amount 

of any railroad retirement employee annuity the survivor 

also receives. In the case of a widow or dependent widower 

who is also a railroad employee annuitant, and either the 

widow(er) or the deceased employee had at least 10 years 

of railroad service before 1975, the tier I reduction may, 

under certain circumstances, be partially restored in the 

survivor tier II amount. If either the deceased employee or 

the widow(er) had some railroad service before 1975 but less 

than 10 years, the survivor tier I portion is payable only to 

the extent that it exceeds the tier I portion of the widow(er)’s 

own employee annuity. 

If a widow(er) qualifies for a railroad retirement employee annuity and neither the widow(er) nor the deceased employee had any railroad service before 1975, the survivor 

annuity payable to the widow(er) is reduced by the total 

amount of the widow(er)’s own employee annuity. 

The tier I amount may also be reduced by certain federal, 

state, or local government pensions which are based on a 

widow(er)’s own earnings. For widow(er)s subject to the government pension reduction, the tier I reduction is equal to 

2/3 of the public pension. 

Widow(er)s

December 2001 legislation established an initial minimum 

amount which yields, in effect, a widow(er)’s tier II portion 

equal to the tier II amount the employee would have received at the time of the award of the widow(er)’s annuity, 

minus any applicable age reduction. It does this by providing an additional amount, initially set at 50 percent of the 

TIER II
54 RAILROAD RETIREMENT AND SURVIVOR BENEFITS

employee’s tier II, to the 100 percent tier I and 50 percent 

tier II amounts provided under prior law. 

This additional amount is offset each year by the dollar 

amount of any cost-of-living increases payable in both the 

tier I and tier II portions provided under prior law. Consequently, such a widow(er)’s net annuity rate will not increase 

until such time as the widow(er)’s annuity, as computed under prior law with all interim cost-of-living increases otherwise payable, exceeds the widow(er)’s annuity computed 

under the initial minimum amount formula. 

The initial minimum amount provision applies to widow(er)s whose annuities begin February 1, 2002, or later, and 

to some, but not all, widow(er)s on the rolls before that date. 

If, because of previous cost-of-living adjustments, annuities 

awarded before February 2002 were already higher than the 

annuity that would be payable under the December 2001 

legislation, the provision did not apply.

In most cases, the same age reductions that apply to tier I 

amounts also apply to tier II amounts.

Other survivors

Each child receives 15 percent of the deceased employee’s 

tier II amount, and each surviving parent receives 35 percent. The minimum total tier II amount payable to a family 

is 35 percent of the employee’s tier II amount, and the maximum, 130 percent.

A tier II portion of an annuity is not provided for a surviving divorced spouse or a remarried widow(er). However, 

partition payments may be extended to surviving former 

spouses pursuant to divorce agreements. A tier II portion is 

not payable to surviving parents if other family members 

may receive benefits or if the parent has remarried.
RRB field offices are currently located in the cities listed below. 

Find contact information for any office by going to RRB.gov and 

clicking on Field Office Locator, or by calling 1-877-772-5772

and using the automated self-serve menu. Offices are also listed in 

telephone directories with other U.S. government agencies. Most 

field offices are open between 9 a.m. and 3 p.m. weekdays, except 

federal holidays.

ALABAMA

Birmingham

ARIZONA

Mesa

ARKANSAS

Little Rock

CALIFORNIA

Covina

Oakland

Roseville

COLORADO

Denver

FLORIDA

Jacksonville

Tampa

GEORGIA

Atlanta

ILLINOIS

Chicago

Decatur

Joliet

INDIANA

Indianapolis

IOWA

Des Moines

KANSAS

Wichita

KENTUCKY

Louisville

LOUISIANA

New Orleans

MARYLAND

Baltimore

MASSACHUSETTS

Boston

MICHIGAN

Detroit

MINNESOTA

Duluth

St. Paul

MISSOURI

Kansas City

St. Louis

MONTANA

Billings

NEBRASKA

Omaha

NEW JERSEY

Newark

NEW MEXICO

Albuquerque

NEW YORK

Albany

Buffalo

Central Islip

New York

NORTH CAROLINA

Charlotte

NORTH DAKOTA

Fargo

OHIO

Cincinnati

Cleveland

OREGON

Portland

PENNSYLVANIA

Altoona

Harrisburg

Philadelphia

Pittsburgh

Scranton

TENNESSEE

Nashville

TEXAS

Fort Worth

Houston

UTAH

Salt Lake City

VIRGINIA

Richmond

Roanoke

WASHINGTON

Seattle

Spokane

WEST VIRGINIA

Huntington

WISCONSIN

Milwaukee

RRB FIELD OFFICES

55
Under Section 504 of the Rehabilitation Act of 1973 and RRB 

regulations, no qualified person may be discriminated against 

on the basis of disability. The RRB’s programs and activities 

must be accessible to all qualified applicants and beneficiaries, 

including those with impaired vision and/or hearing. Individuals with disabilities needing assistance (including auxiliary aids 

or program information in accessible formats) should contact 

the nearest RRB office.

Complaints of alleged discrimination by the RRB on the basis 

of disability must be filed within 90 days in writing with the 

Office of Equal Opportunity, U.S. Railroad Retirement Board, 

844 North Rush Street, Chicago, Illinois 60611-1275. Questions 

about individual rights under this regulation may be directed 

to the RRB’s Director of Equal Opportunity at the above address. 

NONDISCRIMINATION ON THE

BASIS OF DISABILITY

COMMENTS?

If you have any comments or suggestions regarding 

the presentation of information in this publication, 

please let us know.

Public Affairs

U.S. Railroad Retirement Board

844 North Rush Street, Chicago, IL 60611-1275

email: opa@rrb.gov | fax: 312-751-7154

56
The RRB’s Office of Inspector General(OIG) established its 

Hotline as a public service. The Hotline provides individuals 

with a means to report or discuss any suspected misconduct 

relating to the RRB, its programs, or employees. 

If you believe a doctor, hospital, or other health care provider is billing Medicare for services not provided or for unnecessary medical procedures or supplies; someone is illegally 

receiving RRB benefits; or you wish to report or discuss any 

other suspected misconduct relating to the RRB, its programs, 

or employees, please contact the OIG at: 

Toll-Free Hotline: 1-800-772-4258

Mailing address: RRB-OIG Hotline Officer

 844 North Rush Street, 4th Floor 

 Chicago, Illinois 60611-1275 

fax: (312) 751-4342 

email: hotline@oig.rrb.gov 

Please review the RRB’s email notice and Internet

privacy policy at RRB.gov before submitting any information online. 

Note: Please do not contact the OIG’s Hotline with questions 

regarding benefit eligibility requirements, delayed payments, 

or similar issues. These types of matters should be directed to 

any RRB field office.

FRAUD, WASTE, AND ABUSE HOTLINE

1-800-772-4258
RRB.gov

Chicago, Illinois 60611-1275844 North Rush Street U.S. RAILROAD RETIREMENT BOARD

ADDRESS SERVICE REQUESTED

 THIRD CLASS

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