‘‘(I) the imputed deceased individual’s ben-
efit for such month, as determined under sub-
paragraph (D) or (E) (as applicable), and
‘‘(II) the imputed survivor benefit for such
month, as determined under subparagraph (F),
or
‘‘(ii) the applicable increased benefit cap deter-
mined under subparagraph (G) in connection with
the widower’s insurance benefit.
‘‘(D)(i) For purposes of subparagraph (C)(i)(I), if the
deceased individual died in a month for which she was not
entitled to any benefit under this title based on her wages
or self-employment income or the wages and self-employ-
ment income of the widower (or surviving divorced hus-
band), the imputed deceased individual’s benefit for the
application month is the sum of—
‘‘(I) the imputed old-age insurance benefit (de-
termined under clause (ii)) of the deceased indi-
vidual for the application month (if any), and
‘‘(II) the imputed wife’s insurance benefit (de-
termined under clause (iii)) of the deceased indi-
vidual for the application month (if any).
‘‘(ii) The amount of the imputed old-age insurance
benefit of the deceased individual for the application
month is the amount of the old-age insurance benefit to
which she would have been entitled for such month—
‘‘(I) determined, in the case of such a deceased
individual who had attained age 62 as of the date
of her death, as if she had applied for such benefit
in the month of her death and had survived to the
end of the application month (taking into account
applicable reductions under this section), or
‘‘(II) determined, in the case of such a deceased
individual who died before attaining age 62 but
would have attained age 62 before the end of the ap-
plication month, as if she had survived to the end
of the application month, and had applied for such
benefit on such date (assuming a primary insurance
amount for the deceased individual determined
under paragraph (2)(B) of this subsection and tak-
ing into account applicable reductions under this
section).
In any case in which the deceased individual died before
attaining age 62 and would not have attained age 62 be-
fore the end of the application month, the deceased indi-
vidual’s imputed old-age insurance benefit shall be deemed
to be zero.
‘‘(iii) The amount of the imputed wife’s insurance
benefit of the deceased individual for the application
month is the amount of the wife’s insurance benefit under
subsection (c) to which she would have been entitled for
such month (reduced under subsection (k)(3)(A) assuming
the entitlement to an old-age insurance benefit for such
month, if any, as described in clause (ii) and otherwise
taking into account applicable reductions under this sec-
tion)—
‘‘(I) determined, in the case of such a deceased
individual who had attained age 62 as of the date
of her death, as if she had applied for such benefit
in the month of her death and had survived to the
end of the application month, or
‘‘(II) determined, in the case of such a deceased
individual who died before attaining age 62 but
would have attained age 62 before the end of the ap-
plication month, as if she had survived to the end
of the application month and had applied for such
benefit during the application month.
In any case in which the deceased individual died before
attaining age 62 and would not have attained age 62 be-
fore the end of the application month, the deceased indi-
vidual’s imputed wife’s insurance benefit shall be deemed
to be zero.
‘‘(E)(i) For purposes of subparagraph (C), if the de-
ceased individual died during a month for which she was
entitled to an old-age insurance benefit under subsection
(a) or a disability insurance benefit under section 223, to
a wife’s insurance benefit under subsection (b) based on
the wages and self-employment income of the widower (or
surviving divorced husband), or to both such an old-age
or disability insurance benefit and such a wife’s insurance
benefit, the imputed deceased individual’s benefit for the
application month is the sum of—
‘‘(I) the amount of the old-age or disability in-
surance benefit (if any) to which she would have
been entitled for the application month if she had
survived to the end of such month (taking into ac-
count applicable reductions under this section), and
‘‘(II) the amount of the wife’s insurance benefit
(if any) to which she would have been entitled for
such month if she had survived to the end of such
month (taking into account applicable reductions
under this section, including any reduction under
subsection (k)(3)(A) based on the assumed entitle-
ment to an old-age or disability insurance benefit for
such month (if any) as described in subclause (I)).
‘‘(ii) If the deceased individual was entitled for the
month in which she died to a disability insurance benefit
under section 223, the amount determined under clause
(i) shall be determined as if she had remained entitled to
disability insurance benefits throughout the period com-
mencing with the month in which she died and ending with
the application month (or until becoming entitled to old-
age insurance benefits under subsection (a) during such
period).
‘‘(F) For purposes of subparagraph (C)(i)(II)—
‘‘(i) In the case of a widower (or surviving di-
vorced husband) who is entitled for the month pre-
ceding the application month to an old-age insurance
benefit under subsection (a) or a disability insurance
benefit under section 223, to a husband’s insurance
benefit under subsection (c), or to both such an old-
age or disability insurance benefit and such a hus-
band’s insurance benefit, the amount of his imputed
survivor benefit for the application month is the sum
of—
‘‘(I) the amount of the old-age or disability
insurance benefit for the preceding month (if
any, taking into account applicable reductions
under this section), and
‘‘(II) the amount of the husband’s insur-
ance benefit for the preceding month (if any,
taking into account applicable reductions under
this section, including any reduction under sub-
section (k)(3)(A) based on the assumed entitle-
ment to an old-age or disability insurance ben-
efit for such month (if any) as described in sub-
clause (I)).
‘‘(ii) In the case of a widower (or surviving di-
vorced husband) who is not described in clause (i)
but has attained (or would attain) age 62 as of the
end of the application month, the amount of his im-
puted survivor benefit is the sum of—
‘‘(I) the amount of the old-age insurance
benefit under subsection (a) to which the wid-
ower (or surviving divorced husband) would be
entitled for the application month if he filed ap-
plication for such benefit on the last date of
such month (taking into account applicable re-
ductions under this section), and
‘‘(II) the amount to which he would be en-
titled as a husband’s insurance benefit under
subsection (b) for the application month, based
on the deceased individual’s wages and self-em-
ployment income, if the deceased individual had
survived to the end of the application month
and he had filed application for such benefit on
the last date of such month (assuming a pri-
mary insurance amount for the deceased indi-
vidual determined under paragraph (2)(B) of
this subsection and taking into account applica-
ble reductions under this section, including any
reduction under subsection (k)(3)(A) based on
the assumed entitlement to an old-age insur-
ance benefit for such month (if any) as de-
scribed in subclause (I)).
In any case in which the widower (or surviving di-
vorced husband) would not attain age 62 before the
end of the application month, his imputed survivor
benefit shall be deemed to be zero.
‘‘(G)(i) The applicable increased benefit cap deter-
mined under this subparagraph in connection with a wid-
ower’s insurance benefit is—
‘‘(I) the applicable dollar amount for the later
of the application month of the widower (or sur-
viving divorced husband) or December 2002, deter-
mined under clause (ii), reduced by
‘‘(II) the actuarial reduction determined under
clause (iii),
rounded, if not a multiple of $0.10, to the next higher
multiple of $0.10.
‘‘(ii) The applicable dollar amount for months in cal-
endar year 2002 is $1,000. In each calendar year after
2001, the Commissioner of Social Security shall determine
the applicable dollar amount for each month of the fol-
lowing calendar year. Such amount shall be determined
as of, and shall become effective with, January of such
following calendar year. The applicable dollar amount de-
termined for any month in such following calendar year
shall be the product derived by multiplying $1,000 by the
ratio of—
‘‘(I) the national average wage index (as de-
fined in section 209(k)(1)) for the calendar year be-
fore the year in which such determination is made,
to
‘‘(II) the national average wage index (as so de-
fined) for calendar year 2000.
Any applicable dollar amount determined under this clause
shall be rounded to the nearest $0.01, except that any
amount so established which is a multiple of $0.005 but
not of $0.01 shall be rounded to the next higher multiple
of $0.01.
‘‘(iii) The actuarial reduction determined under this
clause is the product derived by multiplying—
‘‘(I) 5⁄9 of 1 percent, by
‘‘(II) the number of months in the period begin-
ning with the first month for which the widower (or
surviving divorced husband) first became entitled to
a benefit under subsection (a), or to a benefit under
subsection (b) or (e) based on the deceased individ-
ual’s wages and self-employment income, and ending
with the last day of the month before the month in
which he attains (or would attain) retirement age
(as defined in section 216(l)).
‘‘(H) If, in determining the amount of the benefit
under this subsection pursuant to this paragraph, the im-
puted old-age insurance benefit or imputed wife’s insur-
ance benefit of the deceased individual was deemed to be
zero pursuant to the last sentence of clause (ii) or (iii)
of subparagraph (D), or the imputed survivor benefit of
the widower (or surviving divorced husband) was deemed
to be zero pursuant to the last sentence of subparagraph
(F), effective for any month after the application month
in which the deceased individual attains age 62 or the wid-
ower (or surviving divorced husband) attains age 62, the
Commissioner shall recompute the amount of the benefit
under this paragraph by substituting a reference to such
month for each reference in the preceding provisions of
this paragraph to the application month.’’.
(c) COST-OF-LIVING ADJUSTMENTS TO GUARANTEED
WIDOW’S AND WIDOWER’S INSURANCE BENEFITS.—Sec-
tion 
215(i)(2)(A)(ii) 
of 
such 
Act 
(42 
U.S.C.
415(i)(2)(A)(ii)) is amended—
(1) in subclause (II), by striking ‘‘and’’ at the
end;
(2) in subclause (III), by striking ‘‘1978.’’ and
inserting ‘‘1979, and’’;
(3) by adding at the end the following new sub-
clause:
‘‘(IV) the benefit amount to which an individual
is entitled for that month under subsection (e) or (f)
of section 202 if such benefit amount has been in-
creased under paragraph (10) of such subsection.’’;
and
(4) in the matter following subclause (IV)
(added by paragraph (3)), by striking ‘‘(I), (II), and
(III)’’ and inserting ‘‘(I), (II), (III), and (IV)’’.
(d) EFFECTIVE DATE.—The amendments made by
this section shall apply with respect to widow’s and wid-
ower’s insurance benefits for months after November
2002.
SEC. 3. REPEAL OF 7-YEAR RESTRICTION ON ELIGIBILITY
FOR WIDOW’S AND WIDOWER’S INSURANCE
BENEFITS BASED ON DISABILITY.
(a) WIDOW’S INSURANCE BENEFITS.—
(1) IN GENERAL.—Section 202(e) of the Social
Security Act (42 U.S.C. 402(e)) is amended—
(A) in paragraph (1)(B)(ii), by striking
‘‘which began before the end of the period spec-
ified in paragraph (4)’’;