I 
107TH CONGRESS 
2D SESSION 
H. R. 5404
To amend title II of the Social Security Act to provide that a monthly 
insurance benefit thereunder shall be paid for the month in which the 
recipient dies, subject to a reduction of 50 percent if the recipient 
dies during the first 15 days of such month, and to increase the lump 
sum death payment to reflect changes in the cost of living. 
IN THE HOUSE OF REPRESENTATIVES 
SEPTEMBER 18, 2002
Mr. PLATTS (for himself, Mr. GILMAN, Mr. PAUL, and Mr. PETERSON of 
Pennsylvania) introduced the following bill; which was referred to the 
Committee on Ways and Means 
A BILL 
To amend title II of the Social Security Act to provide 
that a monthly insurance benefit thereunder shall be 
paid for the month in which the recipient dies, subject 
to a reduction of 50 percent if the recipient dies during 
the first 15 days of such month, and to increase the 
lump sum death payment to reflect changes in the cost 
of living.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Social Security Fair-
ness Act of 2002’’. 
SEC. 2. COMPUTATION AND PAYMENT OF LAST MONTHLY 
PAYMENT. 
(a) OLD-AGE AND SURVIVORS INSURANCE BENE-
FITS.—Section 202 of the Social Security Act (42 U.S.C. 
402) is amended by adding at the end the following new 
subsection: 
‘‘Last Payment of Monthly Insurance Benefit 
Terminated by Death 
‘‘(z)(1) In any case in which an individual dies during 
the first 15 days of a calendar month, the amount of such 
individual’s monthly insurance benefit under this section 
paid for such month shall be an amount equal to 50 per-
cent of the amount of such benefit (as determined without 
regard to this subsection), rounded, if not a multiple of 
$1, to the next higher multiple of $1. This subsection shall 
apply with respect to such benefit after all other adjust-
ments with respect to such benefit provided by this title 
have been made. 
‘‘(2) Any payment of an individual’s benefit under 
this section for the month in which such individual dies 
shall be made in accordance with section 204(d).’’. 
(b) DISABILITY INSURANCE BENEFITS.—Section 223 
of such Act (42 U.S.C. 423) is amended—
(1) by redesignating subsection (j) as sub-
section (k); and 
(2) by inserting after subsection (i) the fol-
lowing new subsection: 
‘‘Last Payment of Benefit Terminated by Death 
‘‘(j)(1) In any case in which an individual dies during 
the first 15 days of a calendar month, the amount of such 
individual’s monthly insurance benefit under this section 
paid for such month shall be an amount equal to 50 per-
cent of the amount of such benefit (as determined without 
regard to this subsection), rounded, if not a multiple of 
$1, to the next higher multiple of $1. This subsection shall 
apply with respect to such benefit after all other adjust-
ments with respect to such benefit provided by this title 
have been made. 
‘‘(2) Any payment of an individual’s benefit under 
this section for the month in which such individual dies 
shall be made in accordance with section 204(d).’’. 
(c) BENEFITS AT AGE 72 FOR CERTAIN UNINSURED 
INDIVIDUALS.—Section 228 of such Act (42 U.S.C. 428) 
is amended by adding at the end the following new sub-
section: 
‘‘Last Payment of Benefit Terminated by Death 
‘‘(i)(1) In any case in which an individual dies during 
the first 15 days of a calendar month, the amount of such
individual’s monthly insurance benefit under this section 
paid for such month shall be an amount equal to 50 per-
cent of the amount of such benefit (as determined without 
regard to this subsection), rounded, if not a multiple of 
$1, to the next higher multiple of $1. This subsection shall 
apply with respect to such benefit after all other adjust-
ments with respect to such benefit provided by this title 
have been made. 
‘‘(2) Any payment of an individual’s benefit under 
this section for the month in which such individual dies 
shall be made in accordance with section 204(d).’’. 
(d) CONFORMING AMENDMENTS REGARDING PAY-
MENT
OF
BENEFITS
FOR
MONTH
OF
RECIPIENT’S 
DEATH.—
(1) OLD-AGE
INSURANCE
BENEFITS.—Section 
202(a) of the Social Security Act (42 U.S.C. 402(a)) 
is amended by striking ‘‘the month preceding’’ in the 
matter following subparagraph (B). 
(2) WIFE’S INSURANCE BENEFITS.—
(A) IN
GENERAL.—Section 202(b)(1) of 
such Act (42 U.S.C. 402(b)(1)) is amended—
(i) by striking ‘‘and ending with the 
month’’ in the matter immediately fol-
lowing clause (ii) and inserting ‘‘and end-
ing with the month in which she dies or (if 
earlier) with the month’’; 
(ii) by striking subparagraph (E); and
(iii) by redesignating subparagraphs 
(F) through (K) as subparagraphs (E) 
through (J), respectively. 
(B) CONFORMING
AMENDMENT.—Section 
202(b)(5)(B) 
of 
such 
Act 
(42 
U.S.C. 
402(b)(5)(B)) is amended by striking ‘‘(E), 
(F), (H), or (J)’’ and inserting ‘‘(E), (G), or 
(I)’’. 
(3) HUSBAND’S INSURANCE BENEFITS.—
(A) IN
GENERAL.—Section 202(c)(1) of 
such Act (42 U.S.C. 402(c)(1)) is amended—
(i) by striking ‘‘and ending with the 
month’’ in the matter immediately fol-
lowing clause (ii) and inserting ‘‘and end-
ing with the month in which he dies or (if 
earlier) with the month’’; 
(ii) by striking subparagraph (E); and 
(iii) by redesignating subparagraphs 
(F) through (K) as subparagraphs (E) 
through (J), respectively. 
(B) CONFORMING
AMENDMENT.—Section 
202(c)(5)(B) 
of 
such 
Act 
(42 
U.S.C.
402(c)(5)(B)) is amended by striking ‘‘(E), (F), 
(H), or (J)’’ and inserting ‘‘(E), (G), or (I)’’. 
(4) CHILD’S
INSURANCE
BENEFITS.—Section 
202(d)(1) of such Act (42 U.S.C. 402(d)(1)) is 
amended—
(A) by striking ‘‘and ending with the 
month’’ in the matter immediately preceding 
subparagraph (D) and inserting ‘‘and ending 
with the month in which such child dies or (if 
earlier) with the month’’; and 
(B) by striking ‘‘dies, or’’ in subparagraph 
(D). 
(5) WIDOW’S
INSURANCE
BENEFITS.—Section 
202(e)(1) of such Act (42 U.S.C. 402(e)(1)) is 
amended by striking ‘‘ending with the month pre-
ceding the first month in which any of the following 
occurs: she remarries, dies,’’ in the matter following 
subparagraph (F) and inserting ‘‘ending with the 
month in which she dies or (if earlier) with the 
month preceding the first month in which any of the 
following occurs: she remarries, or’’. 
(6) WIDOWER’S
INSURANCE
BENEFITS.—Sec-
tion 202(f)(1) of such Act (42 U.S.C. 402(f)(1)) is 
amended by striking ‘‘ending with the month pre-
ceding the first month in which any of the following
occurs: he remarries, dies,’’ in the matter following 
subparagraph (F) and inserting ‘‘ending with the 
month in which he dies or (if earlier) with the month 
preceding the first month in which any of the fol-
lowing occurs: he remarries,’’. 
(7) MOTHER’S AND FATHER’S INSURANCE BEN-
EFITS.—Section 202(g)(1) of such Act (42 U.S.C. 
402(g)(1)) is amended—
(A) by inserting ‘‘with the month in which 
he or she dies or (if earlier)’’ after ‘‘and end-
ing’’ in the matter following subparagraph (F); 
and 
(B) by striking ‘‘he or she remarries, or he 
or she dies’’ and inserting ‘‘or he or she remar-
ries’’. 
(8) PARENT’S INSURANCE BENEFITS.—Section 
202(h)(1) of such Act (42 U.S.C. 402(h)(1)) is 
amended by striking ‘‘ending with the month pre-
ceding the first month in which any of the following 
occurs: such parent dies, marries,’’ in the matter fol-
lowing subparagraph (E) and inserting ‘‘ending with 
the month in which such parent dies or (if earlier) 
with the month preceding the first month in which 
any of the following occurs: such parent marries,’’.
(9) DISABILITY
INSURANCE
BENEFITS.—Sec-
tion 223(a)(1) of such Act (42 U.S.C. 423(a)(1)) is 
amended by striking ‘‘ending with the month pre-
ceding whichever of the following months is the ear-
liest: the month in which he dies,’’ in the matter fol-
lowing subparagraph (D) and inserting the fol-
lowing: ‘‘ending with the month in which he dies or 
(if earlier) with whichever of the following months is 
the earliest:’’. 
(10) BENEFITS AT AGE 72 FOR CERTAIN UNIN-
SURED INDIVIDUALS.—Section 228(a) of such Act 
(42 U.S.C. 428(a)) is amended by striking ‘‘the 
month preceding’’ in the matter following paragraph 
(4). 
(11) EXEMPTION
FROM
MAXIMUM
BENEFIT 
CAP.—Section 203 of such Act (42 U.S.C. 403 is 
amended by adding at the end the following new 
subsection: 
‘‘Exemption From Maximum Benefit Cap 
‘‘(m) Notwithstanding any other provision of this sec-
tion, the application of this section shall be made without 
regard to any benefit of an individual under section 202, 
223, or 228 for the month in which such individual dies.’’.
SEC. 3. INCREASE IN LUMP-SUM DEATH PAYMENTS. 
Section 202(i) of the Social Security Act (42 U.S.C. 
402(i)) is amended—
(1) by redesignating paragraphs (1) and (2) as 
subparagraphs (A) and (B), respectively; 
(2) in subparagraph (B) (as redesignated), by 
striking ‘‘paragraph (1)’’ and inserting ‘‘subpara-
graph (A)’’; 
(3) by inserting ‘‘(1)’’ after ’’(i)’’; 
(4) by striking ‘‘three times’’ and all that fol-
lows through ‘‘smaller,’’ and inserting ‘‘the applica-
ble dollar amount for the calendar year in which the 
death occurs (determined under paragraph (2))’’; 
and 
(5) by adding at the end the following new 
paragraph: 
‘‘(2)(A) Except as otherwise provided in subpara-
graph (B), the applicable dollar amount for any calendar 
year is $955. 
‘‘(B) In each calendar year after 2002, the Commis-
sioner of Social Security shall determine and publish in 
the Federal Register, on or before November 1 of such 
calendar year, the applicable dollar amount for the next 
calendar year. Such dollar amount shall be equal to the 
product derived by multiplying—
‘‘(i) $955, by
‘‘(ii) the ratio of—
‘‘(I) the national average wage index (as 
defined in section 209(k)(1)) for the calendar 
year before the calendar year in which the de-
termination is made, to 
‘‘(II) the national average wage index (as 
so defined) for calendar year 2001. 
If such product is not a multiple of $5.00, such product 
shall be rounded to the next higher multiple of $5.00 in 
any case in which such product is a multiple of $2.50 but 
not of $5.00, and to the nearest multiple of $5.00 in any 
other case.’’. 
SEC. 4. EFFECTIVE DATE. 
The amendments made by this Act shall apply with 
respect to deaths occurring after 90 days after the date 
of the enactment of this Act.
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