Milford chronicle., 1954-09-10

make it possible to maintain a
/ closer relationship between the
workers earnings and the benefits
he and his family will eventually
receive.
Another provision in the new
law permits a worker to drop out
up to i've years of lowest Cor MOI
4 earnings in the figuring of his av-
erage monthly wage on which ben
4 eft payments will be based. This
sO-called "drOp-out" applies to all
workers becoming eligible for ben
eft payments after August of this
year. Some persons now on the
benefit rolls may qualify for the
tdTOp-out if they acquire at any
time n years of covered work af-
ter June 1853, or if they become
eligible after August 1854 to have
their benefits refigured on account
of additional earnings.
The amended law, moreover, pro
vides new formula for figuring
the workers insurance payment
It Increases the per cent of his
average monthly wage which will
be payable in benefits. Typical re-
tirement and survivors payments
for persons qualifying after Au-
gust 1854 are shown on the ac-
companying tablet
The new law increases the
amount of covered earnings a bene-
tiicary is entitled to have and still
receive his monthly benefit check.
The provision in the old law which
restricted such earnings to SIS a
month in covered employment and
to $500 a year from self-employ-
ment has been changed. Discrimi-
nation against the wage Garner as
compared to the self-emplOyed has
been removed and all retired per-
sons will have the earnings exemp-
ton on an annual basis. All benefi-
Charles under 70 years of age may
now have earnings up to $1,000 in
year without loss of any benefits.
This applies to all earnings of any
kind whether covered BY social Sc
curity or not Only one months
benefit win be deducted for each
additional $50 earned. Benefits are
payable regardless of annual earn
ings for any month in which the
beneficiary neither has wages of
over $50 nor engaged in substantial
self-emplOyment After reaching
age u, the beneficiary may earn
any amount and still receive bene-
fits.
The amended act also provides
for the preservation of the benefit
rights Of the totally disabled. I'm
der this provision a workers earn
ings record can be frozen" and he
will not suffer a reduction in or
loss of his benefit rights because
Of an extended period of no earn
ings due to total and prolonged
disability. TO be eligible for a dis
ability freeze" a worker must have
acquired at least five years of COW
cred work out of the last ten years
before the disability began, of
which at least ~ years must have
been in the 3-year period before his
disability occurred. The disability
must be medically determined by
the state vocational rehabilitation
agency or another appropriate
state agency, by agreement with
the Secretary of the United States
Department of Health, Education.
and Welfare. No application for
the disability freeze" may be ac-
cepted by the Social Security Ad-
ministration before January 1, 1855.
Mr.. MilbOuer emphasized that this
provision viii not pay cash bene-
fits during disability, before the
worker attains age SIS but may
serve to increase the benefits after
IS. The disability must have last
ed at least six months before ac-
ton can be taken to establish the
period of disability.
While a period of disability ends
for social security purposes at age
65, Mr.. MilbOuer pointed out that
disabled persons already over that
age and now getting benefit pay