ing obligations of the United States for purchase by
the Trust Fund for the Government Securities In-
vestment Fund.
‘‘(2) REQUIREMENTS.—
‘‘(A) IN GENERAL.—Obligations issued for
the purpose of this subsection shall have matu-
rities fixed with due regard to the needs of the
Trust Fund as determined by the Executive Di-
rector, and shall bear interest at a rate equal
to the average market yield (computed by the
Secretary of the Treasury on the basis of mar-
ket quotations as of the end of the calendar
month next preceding the date of issue of such
obligations) on all marketable interest-bearing
obligations of the United States then forming a
part of the public debt which are not due or
callable earlier than 4 years after the end of
such calendar month.
‘‘(B) ROUNDING.—Any average market
yield computed under subparagraph (A) which
is not a multiple of one-eighth of 1 percent,
shall be rounded to the nearest multiple of one-
eighth of 1 percent.
‘‘(f) NO
VOTING
RIGHTS
IN
SECURITIES.—The
Board, the Executive Director, and an account holder may
not exercise voting rights associated with the ownership
of securities by the Social Security Investment Trust
Fund.
‘‘DISTRIBUTIONS FROM THE SOCIAL SECURITY
INVESTMENT TRUST FUND
‘‘SEC. 255. (a) IN GENERAL.—No distribution may
be made from the Social Security Investment Trust Fund
of any amount credited to the investment account of any
account holder, unless such distribution is in the form
of—
‘‘(1) a benefit distribution described in sub-
section (b),
‘‘(2) a distribution described in subsection (c),
or
‘‘(3) a death distribution under subsection (d).
‘‘(b) BENEFIT DISTRIBUTION.—
‘‘(1) IN GENERAL.—A distribution from an in-
vestment account is in the form of a benefit distribu-
tion referred to in subsection (a)(1) if such distribu-
tion constitutes payment (in whole or in part) of a
monthly insurance benefit under part A based on the
wages and self-employment income of the account
holder.
‘‘(2) PAYMENT OF MONTHLY INSURANCE BENE-
FITS.—Notwithstanding section 201(h), benefit pay-
ments required to be made under part A, other than
benefit payments required to be made under section
223 or 226 and benefit payments required to be
made under subsection (b), (c), or (d) of section 202
to account holders entitled to benefits on the basis
of the wages and self-employment income of any
such account holder entitled to disability insurance
benefits, shall be made from amounts in the Trust
Fund credited to such account holder’s investment
account, except to the extent that such benefit pay-
ments exceed the balance credited to such account
holder’s investment account. Any amount of such
benefit payments in excess of the balance in such ac-
count holder’s investment account shall be payable
as provided in section 201(h). The Commissioner of
Social Security shall provide for certification to the
Executive Director for payment of such benefits
from the Trust Fund, and the Executive Director
shall make such payments from the Trust Fund in
accordance with such certification.
‘‘(c) ANNUITIES AND LUMP SUM PAYMENTS.—A dis-
tribution referred to in subsection (a)(2) is described in
this subsection if—
‘‘(1) the distribution is at the election of the ac-
count holder made (in such form and manner as
shall be prescribed by the Executive Director) on or
after the date of the commencement of such account
holder’s entitlement to old-age insurance benefits
under section 202(a),
‘‘(2) the amount of each distribution is in an
amount, as determined by the Executive Director,
which is not greater than the excess of—
‘‘(A) the balance credited to such account
holder’s investment account, over
‘‘(B) the amount necessary to provide for
benefit distributions as required under sub-
section (a)(1), and
‘‘(3) the distributions shall be paid in the form
of annuities and other payments under section 256.
‘‘(d) DEATH DISTRIBUTION.—
‘‘(1) IN GENERAL.—A distribution from an in-
vestment account is in the form of a death distribu-
tion if such distribution is in the amount remaining
credited to the account holder as of the date of such
account holder’s death and, except as provided in
paragraph (2), is distributed in the same manner as
is provided for distribution of benefit payments
under section 204(d).
‘‘(2) PORTION OF ACCOUNT BALANCE ATTRIB-
UTABLE TO FEDERAL CONTRIBUTION RETURNED TO
UNITED STATES.—The portion of the amount re-
maining credited to the account holder as of the
date of such account holder’s death which is attrib-
utable to the contribution made under section 252(c)
shall be paid to the Secretary of the Treasury for
deposit into the general fund of the Treasury as mis-
cellaneous receipts. For purposes of the preceding
sentence, distributions from a personal social secu-
rity investment account shall be treated as first
made from amounts attributable to the contribution
made under section 252(c) and then from other
amounts.
‘‘ANNUITIES AND LUMP SUM PAYMENTS PAYABLE FROM
THE SOCIAL SECURITY INVESTMENT TRUST FUND
‘‘SEC. 256. (a) IN GENERAL.—An account holder
who is entitled to old-age insurance benefits under section
202(a) is entitled as provided in this section to the amount
of the balance in the account holder’s investment account
as provided in this section available for distribution under
this section in accordance with section 255.
‘‘(b) ALTERNATIVE FORMS OF DISTRIBUTION.—Sub-
ject to section 258, any account holder who is entitled to
old-age insurance benefits under section 202(a) is entitled
and may elect—
‘‘(1) to receive an immediate annuity from the
Trust Fund;
‘‘(2) to defer the commencement of the pay-
ment of an annuity from the Trust Fund until such
date as the account holder specifies, but not later
than April 1 of the year following the year in which
the account holder becomes 701⁄2 years of age;
‘‘(3) to withdraw the amount of the balance in
the account holder’s investment account in the Trust
Fund in one or more substantially equal payments
to be made not less frequently than annually and to
commence before April 1 of the year following the
year in which the account holder becomes 701⁄2
years of age; or
‘‘(4) to transfer the amount of the balance in
the account holder’s investment account in the Trust
Fund to an eligible retirement plan as provided in
subsection (c).
‘‘(c) 
TRANSFERS
TO
ELIGIBLE
RETIREMENT
PLANS.—
‘‘(1) IN
GENERAL.—The Executive Director
shall make each transfer elected under subsection
(b)(4) directly to an eligible retirement plan or plans
(as defined in section 402(a)(5)(E) of the Internal
Revenue Code of 1986) identified by the account
holder for whom the transfer is made.