An Act to improve benefits under the old-age, survivors, and disability insurance program by increasing the minimum benefits and aged widows benefits and by making additional persons eligible for benefits under the program, and for other purposes
PL 87-64 (H.R.6027), enacted 06/30/1961

75 S T A T . ] 
PUBLIC LAW 8 7 . 6 4 - J U N E 30, 1961 
131 
Public Law 87-64 
AN A C T 
j ^ ^ 30 i,gj 
To improve benefits under the old-age, survivors, and disability insurance pro- 
[H. R. 6027] 
gram by increasing the minimum benefits and aged widow's benefits and 
by making additional persons eligible for benefits under the program, and 
for other purposes. 
Be it ermcted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled^ That this Act may Am°en°dtne'nt^"o^f 
be cited as the "Social Security Amendments of 1961". 
i96i. 
TITLE I—AMENDMENTS TO TITLE I I OF T H E 
SOCIAL SECURITY ACT 
INCREASE I N M I N I M U M 
BENEFITS 
SEC. 101. (a) The table in section 215 (a) of the Social Security Act 
^2 sm. \^i3. 
is amended by striking out all the figures in columns I, II, III, IV, 
and V down through the line which reads 
"$13.49 
14.00 
37.10 
38.00 
68 
69 
41 
61.50" 
and inserting in lieu thereof the following: 
" 
$13.48 
$37.00 
$67 
$40 
$60.00 
$13.49 
14.00 
$37.10 
38.00 
$68 
69 
41 
61.50". 
(b) The amendment made by subsection (a) shall apply only in the 
case of monthly insurance benefits under title II of the Social Security 
Act for months beginning on or after the effective date of this title, '»2 use 4oi-425. 
and in the case of lump-sum death payments under such title with 
respect to deaths on or after such effective date. 
REDUCED BENEFITS FOR M E N AT AGE 62 
SEC. 102. (a) Section 202 of the Social Security Act is amended by 
42 use 402. 
striking out "retirement age" and "retirement age (as defined in sec-
tion 216(a))" each place they appear therein and inserting in lieu 
thereof "age 62". 
(b)(1) Subsections (q) and (r) of section 202 of such Act are 
amended to read as follows: 
"Adjustment of Old-Age, Wife's, or Husband's Insurance Benefit 
Amounts in Accordance With Age of Beneficiary 
"(q) (1) If the first month for which an individual is entitled to an 
old-age, wife's, or husband's insurance benefit is a month before the 
month in which such individual attains age 65, the amount of such 
benefit for each month shall, subject to the succeeding paragraphs of 
this subsection, be reduced by— 
"(A) % of 1 percent of such amount if such benefit is an old-
age insurance benefit, or 2%g of 1 percent of such amount if such 
benefit is a wife's or husband's insurance benefit; multiplied by 
"(B) (i) the number of months in the reduction period for 
such benefit (determined under paragraph (5)), if such benefit is 
for a month before the month m Vhich such individual attains 
age 65, or 
"(ii) the number of months in the adjusted reduction period 
for such benefit (determined under paragraph (6)), if such 
benefit is for the month in which such individual attains age 65 
or for any other month thereafter. 
182 
PUBLIC LAW 87-64-JUNE 30, 1961 
[75 STAT. 
"(2) (A) If the first month for which an individual both is entitled 
to a wife's or husband's insurance benefit and has attained age 62 is 
a month for which such individual is also entitled to— 
"(i) an old-age insurance benefit (to which such individual was 
first entitled for a month before he attains age 65), or 
" (ii) a disability insurance benefit, 
then in lieu of any reduction under paragraph (1) (but subject to the 
succeeding paragraphs of this subsection) such wife's or husband's in-
surance benefit for each month shall be reduced as provided in sub-
paragraph (B), (C),or (D). 
"(B) For any month for which such individual is entitled to an 
old-age insurance benefit, such individual's wife's or husband's insur-
ance benefit shall be reduced by the sum of— 
"(i) the amount by which such old-age insurance benefit is 
reduced under paragraph (1), and 
" (ii) the amount by which such wife's or hus:band's insurance 
benefit would be reduced under paragraph (1) if it were equal to 
the excess of such w'ife's or husband's insurance benefit (before 
reduction under this subsection) over such old-age insurance bene-
fit (before reduction under this subsection). 
"(C) For any month for which such individual is entitled to a 
disabdlitv insurance benefit, such individual's wife's or husband's in-
surance benefit shall be reduced by the amount by which such benefit 
would be reduced under paragraph (1) if it were equal to the excess 
of such benefit (before reduction under this subsection) over such dis-
ability insurance benefit. 
"(D) For any month for which such individual is entitled neither 
to an old-age insurance benefit nor to a disability insurance benefit, 
such individual's wife's or husband's insurance benefit shall be re-
duced by the amount by which it would be reduced under para-
graph (1). 
"(3) If— 
"(A) an individual is or was entitled to a benefit subject to 
reduction under this subsection, and 
"(B) such benefit is increased by reason of an increase in the 
primary insurance amount of the individual on whose wages and 
self-employment income such benefit is based, 
then the amount of the reduction of such benefit for each month shall 
be computed separately (under paragraph (1) or (2), whichever 
applies) for the portion of such benefit which constitutes such benefit 
before any increase described in subparagraph (B), and separately 
(under paragraph (1) or (2), whichever applies to the benefit being 
increased) for each such increase. For purposes of determining the 
amount of the reduction under paragraph (1) or (2) in any such 
increase, the reduction period and the adjusted reduction period shall 
be determined as if such increase were a separate benefit to which 
such individual was entitled for and after the first month for which 
such increase is effective. 
"(4) (A) No wife's insurance benefit shall be reduced under this 
subsection— 
"(i) for any month before the first month for which there is 
in effect a certificate filed by her with the Secretary, in accord-
ance with regulations prescribed by him, in which she elects to 
receive wife's insurance benefits reduced as provided in this sub-
section, or 
"(ii) for any month in which she has in her care (individually 
or jointly with the person on whose wages and self-employment 
income her wife's insurance benefit is based) a child of such per-
son entitled to child's insurance benefits. 
75 S T A T . ] 
PUBLIC LAW 87.64-JUNE 30, 1961 
138 
"(B) Any certificate described in subparagraph (A) (i) shall be 
effective for purposes of this subsection (and for purposes of pre-
venting deductions under section 203 (c)(2)) — 
^^ ^^^- ^^'^ • 
"(i) for the month in which it is filed and for any month there-
after, and 
"(ii) for months, in the period designated by the woman fil-
ing such certificate, of one or more consecutive months (not ex-
ceeding 12) immediately preceding the month in which such cer-
tificate is filed; 
except that such certificate shall not be effective for any month before 
the month in which she attains age 62, nor shall it be effective for any 
month to which subparagraph (A) (ii) applies. 
"(C) If a woman does not have in her care a child described in 
subparagraph (A) (ii) in the first month for which she is entitled 
to a wife's insurance benefit, and if such first month is a month before 
the month in which she attains age 65, she shall be deemed to have 
filed in such first month the certificate described in subparagraph 
(A)(i)-
"(5) For purposes of this subsection, the 'reduction period' for ^^Reductionperi-
an individual's old-age, wife's, or husband's insurance benefit is the 
period— 
"(A) beginning— 
"(i) in the case of an old-age or husband's insurance bene-
fit, with the first day of the first month for which such in-
dividual is entitled to such benefit, or 
"(ii) in the case of a wife's insurance benefit, with the 
first day of the first month for which a certificate described 
in paragraph (4) (A) (i) is effective, and 
"(B) ending with the last day of the month before the month 
in which such individual attains age 65. 
" (6) For purposes of this subsection, the 'adjusted reduction period' 
for an individual's old-age, wife's, or husband's insurance benefit is 
the reduction period prescribed by paragraph (5) for such benefit, 
excluding from such period— 
"(A) any month in which such benefit was subject to deduc-
tions under section 203(b), 203(c) (1), 203(d) (1), or 222(b), 
^2 use403.422 
"(B) in the case of wife's insurance benefits, any month in 
which she had in her care (individually or jointly with the person 
on whose wages and self-employment income such benefit is based) 
a child of such person entitled to child's insurance benefits, and 
"(C) in the case of wife's or husband's insurance benefits, any 
month for which such individual was not entitled to such benefits 
because the spouse on whose wages and self-employment income 
such benefits were based ceased to be under a disability. 
"(7) This subsection shall be applied after reduction under section 
203(a) and after application of section 215(g). If the amount of 
42 use 403,415 
any reduction computed under paragraph (1) or (2) is not a multiple 
of $0.10, it shall be reduced to the next lower multiple of $0.10. 
"Presumed Filing of Application by Individuals Eligible for Old-
Age Insurance Benefits and for Wife's or Husband's Insurance 
Benefits 
"(r) (1) If the first month for which an individual is entitled to 
an old-age insurance benefit is a month before the month in which 
such individual attains age 65, and if such individual is eligible for a 
wife's or husband's insurance benefit for such first month, such in-
dividual shall be deemed to have filed an application in such month 
for wife's or husband's insurance benefits. 
" A d j u s t e d re-
duct ion period." 
184 
PUBLIC LAW 87-64-JUNE 30, 1961 
[75 S T A T . 
"(2) If the first month for which an individual is entitled to a 
wife's or husband's insurance benefit reduced under subsection (q) is 
a month before the month in which such individual attains age 65, and 
if such individual is eligible for an old-age insurance benefit for such 
first month, such individual shall be deemed to have filed an Applica-
tion for old-age insurance benefits— 
"(A) in such month, or 
"(B) if such individual is also entitled to a disability insur-
ance benefit for such month, in the first subsequent month for 
which such individual is not entitled to a disability insurance 
benefit. 
" (3) For purposes of this subsection, an individual shall be deemed 
eligible for a benefit for a month if, upon filing application therefor 
in such month, he would be entitled to such benefit for such month." 
42 use 402. 
(2) (A) Section 202(s) of the Social Security Act is hereby 
repealed. 
42 use 423. 
(g) Section 223(a) of such-Act is amended by adding at the end 
thereof the following new paragraph: 
"(3) If, for any month before the month in which an individual 
attains age 65, such individual is entitled to— 
"(A) a widow's, widower's, or parent's insurance benefit, or 
"(B) an old-age, wife's, or husband's insurance benefit which 
Ante, p. 131. 
jg reduccd under subsection (q) of section 202, 
such individual may not, for any month after the first month for 
which such individual is so entitled, become entitled to disability in-
surance benefits; and a period of disability may not begin with re-
spect to such individual in any month after such first month." 
(C) Section 223(a)(1) of such Act is amended by striking out 
"the month in which he attains the age of sixty-five," and inserting 
in lieu thereof "the month in which he attains age 65, the first month 
for which he is entitled to old-age insurance benefits,". 
42 use 416. 
(D) The third sentence of section 216 (i) (2) of such Act is 
amended by striking out "a period of disability shall begin" and in-
serting in lieu thereof "a period of disability shall (subject to section 
Supra. 
223(a)(3)) begin". 
42 use 402. 
(3) Section 202(j) (3) of such Act is amended to read as follows: 
"(3) Notwithstanding the provisions of paragraph (1), an in-
dividual may, at his option, waive entitlement to any benefit referred 
to in paragraph (1) for any one or more consecutive months (begin-
ning with the earliest month for which such individual would other-
wise be entitled to such benefit) which occur before the month in which 
such individual files application for such bsnefit; and, in such case, 
such individual shall not be considered as entitled to such benefits 
for any such month or months before such individual filed such ap-
plication. An individual shall be deemed to have w^aived such entitle-
ment for any such month for w^hich such benefit would, under the 
second sentence of paragraph (1), be reduced to zero." 
42 use 416. 
(c) (1) Section 216(a) of the Social Security Act is hereby repealed. 
(2) The following provisions of title II of such Act are amended 
by striking out "retirement age" each place it appears therein and 
inserting in lieu thereof "age 62": 
42 use 413. 
(A) the next to the last sentence of section 213(a), 
42 use 416. 
(B) subsections (b), (c), (f),and (g) of section 216, and 
42 use 423. 
(C) the second sentence of section 223(a) (2). 
(3) The following provisions of title II of such Act are amended 
by striking out "retirement age" and "retirement age (as defined in 
42 u s e 409. 
42 use 413. 
75 S T A T . ] 
PUBLIC LAW 87-64-JUNE 30, 1961 
135 
section 216(a))" each place they appear therem and inserting in lieu 
thereof "age 62 (if a woman) or age 65 (if a man)": 
(A) section 209 (i), 
(B) the last sentence of section 213(a), 
(C) section216(i)(3)(A), 
42use4i6. 
(D) thefirstsentenceof section223(a)(2),and 
42 use 423. 
(E) section223(c)(l)(A). 
(d)(1) Section 215(a)(4) of such Act is amended to read as 
42 use 415. 
follows: 
" (4) In the case of— 
"(A) a woman who was entitled to a disability insurance 
benefit for the month before the month in which she died or 
became entitled to old-age insurance benefits, or 
"(B) a man who was entitled to a disability insurance 
benefit for the month before the month in which he died or 
attained age 65, 
the amount in column IV which is equal to such disability in-
surance benefit." 
(2) Section 215(b) (3) of such Act is amended to read as follows: 
^^ ^^^ '•^5, 
" (3) For purposes of paragraph (2), the number of an individual's 
elapsed years is the number of calendar years after 1950 (or, if later, 
the year in which he attained age 21) and before— 
"(A) in the case of a woman, the year in which she died or 
(if earlier) the first year after 1960 in which she both was fully 
insured and had attained age 62, 
"(B) in the case of a man who has died, the year in which he 
died or (if earlier) the first year after 1960 in which he both 
was fuU^ insured and had attained age 65, or 
"(C) m the case of a man who has not died, the first year after 
1960 in which he attained (or would attain) age 65 or (if later) 
the first year in which he was fully insured. 
For purposes of the preceding sentence, any calendar year any part 
of which was included in a period of disability shall not be included in 
such number of calendar years." 
(3) Section 215(f) of such Act is amended by adding at the end 
thereof the following new paragraph: 
"(7) (A) In the case of a man who attains age 65 and who became 
entitled to old-age insurance benefits before the month in which he 
attains such age, his primary insurance amount shall be recomputed 
as provided in subsection (a) as though he became entitled to old-age 
insurance benefits in the month in which he attained age 65, except 
that his computation base years referred to in subsection (b) (2) shall 
include the year in which he attained age 65. Such recomputation 
shall be effective for and after the month in which he attained age 65. 
"(B) In the case of a man who became entitled to old-age insur-
ance benefits and died before the month in which he attained age 
65, the Secretary shall, if any person is entitled to monthly insurance 
benefits or a lump-sum death payment on the basis of the wages and 
self-employment income of the decedent, recompute his primary 
insurance amount as provided in subsection (a) as though he became 
entitled to old-age insurance benefits in the month in which he died; 
except that (i) his computation base years referred to in subsection 
(b) (2) shall include the year in which he died, and (ii) his elapsed 
years referred to in subsection (b) (3) shall not include the year in 
which he died or any year thereafter. 
In the case of monthly insur-
ance benefits, such recomputation of a man's primary insurance 
amount shall be effective for and after the month in which he died." 
(e) (1) Section 202(b) (1) (C) of such Act is amended to read as 
^2 use 402 
follows: 
136 
PUBLIC LAW 87-64-JUNE 30, 1961 
[75 STAT. 
"(C) is not entitled to old-age or disability insurance benefits, 
or is entitled to old-age or disability insurance benefits based on 
a primary insurance amount which is less than one-half of the 
primary insurance amount of her husband,". 
42 use 402. 
(2) So much of section 202(b) (1) of such Act as follows clause 
(C) is amended by striking out "equal to or exceeds one-half of an 
old-age or disability insurance benefit of her husband," and insert-
ing in lieu thereof "equal to or exceeds one-half of the primary 
insurance amount of her husband,". 
(3) Section 202(b)(2) of such Act is amended by striking out 
"old-age or disability insurance benefit" and inserting in lieu thereof 
"primary insurance amount". 
(4) Section 202(c)(1)(D) of such Act is amended to read as 
follows: 
"(D) is not entitled to old-age or disability insurance benefits, 
or is entitled to old-age or disability insurance benefits based on 
a primary insurance amount which is less than one-half of the 
' 
primary insurance amount of his wife,". 
(5) So much of section 202(c) (1) of such Act as follows clause (D) 
is amended by striking out "old-age or disability insurance benefit 
equal to or exceeding one-half of the primary insurance amount of his 
wife," and inserting in lieu thereof "old-age or disability insurance 
benefit based on a primary insurance amount which is equal to or 
exceeds one-half of the primary insurance amount of his wife,". 
(6) Section 202(c) (3) of such Act is amended by striking out 
"Such" and inserting in lieu thereof "Except as provided in subsection 
(q),such". 
(f) (1) The amendments made by subsection (a) shall apply with 
respect to monthly benefits for months beginning on or after the ef-
fective date of this title based on applications filed in or after March 
1961. 
(2) (A) Except as provided in subparagraphs (B), (C), and (D), 
section 202(q) of such Act, as amended by subsection (b) (1), shall 
apply with respect to monthly benefits for months beginning on or 
after the effective date of this title. 
(B) Section 202(q) ('3) of such Act, as amended by subsection 
(b) (1), shall apply with respect to monthly benefits for months be-
ginning on or after the effective date of this title, but only if the in-
crease described in such section 202 (q) (3)— 
(i) is not effective for any month beginning before the effective 
date of this title, or 
(ii) is based on an application for a recomputation filed on or 
after the effective date of this title. 
(C) In the case of any individual who attained age 65 before the 
effective date of this title, the adjustment in such individual's reduc-
tion period provided for in section 202(q) (6) of such Act, as 
amended by subsection (b)(1), shall not apply to such individual 
unless the total of the months specified in subparagraphs (A), (B), 
and (C) of such section 202(q) (6) is not less than 3. 
(D) In the case of any individual entitled to a monthly benefit 
for the last month beginning before the effective date of this title, 
if the amount of such benefit for any month thereafter is, solely by 
reason of the change in section 202 (q) of such Act made by subsection 
(b) (1), lower than the amount of such benefit for such last month, 
then it shall be increased to the amount of such benefit for such last 
month. 
(3) Section 202(r) of such Act, as amended by subsection (b) (1), 
shall apply only with respect to monthly benefits for months begin-
ning on or after the effective date of this title, except that subpara-
75 S T A T . ] 
PUBLIC LAW 87-64-JUNE 30, 1961 
137 
graph (B) of section 202(r) (2) (as so amended) shall apply only 
if the first subsequent month described in such subparagraph (B) is 
a month beginning on or after the effective date of this title. 
(4) The amendments made by subsection (b) (2) shall take effect 
on the effective date of this title. 
(5) The amendments made by subsection (b) (3) shall apply with 
respect to applications for monthly benefits filed on or after the ef-
fective date of this title. 
(6) The amendments made by subsections (c) and (d) (1) and (2) 
shall apply with respect to— 
(A) monthly benefits for months beg;inning on or after the 
effective date of this title based on applications filed in or after 
March 1961, and 
(B) lump-sum death payments under title I I of the Social 
Security Act in the case of deaths on or after the effective date 
^^ "^^ 401-425. 
of this title. 
(7) The amendment made by subsection (d) (3) shall take effect 
on the effective date of this title. 
(8) The amendments made by subsection (e) shall apply with re-
spect to monthly benefits for months beginning on or after the effec-
tive date of this title. 
(9) For purposes of this subsection, the term "monthly benefits" j^JJ'^?"**'^^''^"*" 
means monthly insurance benefits under title I I of the Social Security 
Act. 
FULLY INSURED STATUS 
SEC. 103. (a) Section 214(a) of the Social Security Act is amended 
'»2 use 4i4. 
to read as follows: 
"Fully Insured Individual 
"(a) The term 'fully insured individual' means any individual 
who had not less than— 
"(1) one quarter of coverage (whenever acquired) for each 
calendar year elapsing after 1950 (or, if later, the year in which 
he attained a^e 21) and before— 
"(A) m the case of a woman, the year in which she died 
or (if earlier) the year in which she attained age 62, 
"(B) in the case of a man who has died, the year in which 
he died or (if earlier) the year in which he attained age 65, 
or 
"(C) in the case of a man who has not died, the year in 
which he attained (or would attain) age 65, 
except that in no case shall an individual be a fully insured in-
dividual unless he has at least 6 quarters of coverage; or 
"(2) 40 quarters of coverage; or 
"(3) in the case of an individual who died before 1951, 6 quar-
ters of coverage; 
not counting as an elapsed year for purposes of paragraph (1) any 
year any part of which was included in a period of disability (as de-
fined in section 216 (i))." 
'»2 use 4i6. 
(b) The amendment made by subsection (a) shall apply— 
(1) in the case of monthly benefits under title I I of the Social 
Security Act for months beginning on or after the effective date 
of this title, based on applications filed in or after March 1961, 
(2) in the case of lump-sum death payments under such title 
with respect to deaths on or after the effective date of this title, 
and 
(3) in the case of an application for a disability determination 
(with respect to a period of disability, as defined m section 216(i) 
of such Act) filed in or after March 1961. 
64207 0-62—12 
138 
PUBLIC LAW 87-64-JUNE 30, 1961 
[75 STAT. 
(c) In the case of any widower or parent who would not be en-
42 use 402. 
titled to widower's insurance benefits under section 202(f), or j)arent's 
insurance benefits under section 202(h), of the Social Security Act 
except for the enactment of this Act (other than this subsection), the 
requirement in sections 202(f)(1)(D) and 202(h)(1)(B), respec-
tively, of the Social Security Act relating to the time within which 
proof of support must be filed shall not apply if such proof of sup-
port is filed before the close of the 2-year period w^hich begins on the 
effective date of this title. 
(d) Effective as of September 13, 1960, the last sentence of section 
74 Stat. 964. 
303(g) (1) of the Social Security Amendments of 1960 is amended to 
42 
15 note. ^^^^ ^^ follows: "The terms used in this subsection shall have the 
meaning assigned to them by title I I of the Social Security Act; except 
that the terms 'fully insured' and 'retirement age' shall have the mean-
ing assigned to them by such title II as in effect on September 13, 
1960." 
INCREASE IN WIDOW's, WIDOWER'S, AND P A R E N T ' S INSURANCE BENEFITS 
42 use 402. 
SEC. 104. (a) Section 202(e) (2) of such Act is amended to read as 
follows: 
"(2) Such widow's insurance benefit for each month shall be equal 
to 821/^ percent of the primary insurance amount of her deceased hus-
band." 
(b) Section 202(f) (3) of such Act is amended to read as follows: 
"("3) Such widower's insurance benefit for each month shall be 
equal to 82% percent of the primary insurance amount of his de-
ceased wife." 
(c) Section 202(h) (2) of such Act is amended to read as follows: 
"(2) (A) Except as provided in subparagraphs (B) and (C), such 
parent's insurance benefit for each month shall be equal to 821/^ per-
cent of the primary insurance amount of such deceased individual. 
"(B) For any month for which more than one parent is entitled 
to parent's insurance benefits on the basis of such deceased individual's 
wages and self-employment income, such benefit for each such par-
ent for such month shall (except as provided in subparagraph (C)) 
be equal to 75 percent of the primary insurance amount of such 
deceased individual. 
"(C) In any case in which— 
"(i) any parent is entitled to a parent's insurance benefit for 
a month on the basis of a deceased individual's wages and self-
employment income, and 
"(ii) another parent of such deceased individual is entitled 
to a parent's insurance benefit for such month on the basis of 
such wages and self-employment income, and on the basis of an 
application filed after such month and after the month in which 
the application for the parent's benefits referred to in clause (i) 
was filed, 
the amount of the parent's insurance benefit of the parent referred to 
in clause (i) for the month referred to in such clause shall be deter-
mined under subparagraph (A) instead of subparagraph (B) and 
the amount of the parent's insurance benefit of a parent referred to 
in clause (ii) for such month shall be equal to 150 percent of the 
primary insurance amount of the deceased individual minus the 
amount (before the application of section 203(a)) of the benefit for 
such month of the parent referred to in clause (i)." 
(d) (1) Subsections (e) (1) and (f) (1) of section 202 of such Act 
are amended by striking out "three-fourths" each place it appears 
therein and inserting in lieu thereof "821/2 percent". 
75 STAT. ] 
PUBLIC LAW 87-64-JUNE 30, 1961 
139 
(2) Section 202(h)(1) of such Act is amended by striking out 
42 use 402. 
"three-fourths of the primary insurance amount of such deceased 
individual" each place it appears therein and inserting in lieu thereof 
" 8 2 ^ percent of the primary insurance amount of such deceased indi-
vidual if the amount of the parent's insurance benefit for such month 
is determinable under paragraph (2) (A) (or 75 percent of such pri-
mary insurance amount in any other case)". 
(e) The amendments made by this section shall apply with respect 
to monthly benefits under section 202 of the Social Security Act for 
months beginning on or after the effective date of this title. 
(f) Where— 
(1) two or more persons were entitled (without the applica-
tion of subsection (j)(l) of section 202 of the Social Security 
Act) to monthly benefits under such section 202 for the last 
month beginning before the effective date of this title on the 
basis of the wages and self-employment income of a deceased 
individual, and one or more of such persons is entitled to a 
monthly insurance benefit under subsection (e), (f), or (h) of 
such section 202 for such last month; and 
(2) no person, other than the persons referred to in paragraph 
(1) of this subsection, is entitled to benefits under such section 
202 on the basis of such individual's wages and self-employment 
income for a subsequent month or for any month after such last 
month and before such subsequent month; and 
(3) the total of the benefits to which all persons are entitled un-
der such section 202 on the basis of such individual's wages and 
self-employment income for such subsequent month is reduced by 
reason of the application of section 203(a) of such Act, 
^^ "^^ ''^'^' 
then the amount of the benefit to which each such person referred to in 
paragraph (1) of this subsection is entitled for such subsequent month 
shall be determined without regard to this Act if, after the application 
of this Act, such benefit for such month is less than the amount of such 
benefit for such last month. 
The preceding provisions of this subsec-
tion shall not apply to any monthly benefit of any person for any 
month beginning after the effective date of this title unless paragraph 
(3) also applies to such benefit for the month beginning on such effec-
tive date (or would so apply but for the next to the last sentence of 
section 203 (a) of the Social Security Act). 
RETROACTIVE EFFECT OF CERTAIN APPLICATIONS FOR DISABILITY 
DETERMINATIONS 
SEC. 105. Effective with respect to applications for disability deter-
minations filed on or after July 1,1961, section 216 (i) (4) of the Social 
Security Act is amended by striking out "July 1961" and inserting in 
42 use 4:i6. 
lieu thereof "July 1962" and by striking out "July 1960" and inserting 
in lieu thereof "January 1961". 
EXTENSION 
OF T I M E 
W I T H I N 
W H I C H 
CERTAIN 
STATE-FEDERAL 
AGREE-
MENTS MAY BE MODIFIED 
SEC. 106. (a) Section 218(d)(6)(F) of the Social Security Act 
42usc4i8. 
is amended by striking out "prior to 1960 or, if later, the expiration 
of one year after the date" and inserting in lieu thereof "prior to 1963 
or, if later, the expiration of two years after the date". 
(b) Section 218(d)(6)(F) of the Social Security Act is further 
amended by adding at the end thereof the following new sentence: 
"Notwithstanding subsection (f)(1), any such modification or later 
modification, providing for the transfer of additional positions within 
a retirement system previously divided pursuant to subparagraph 
140 
PUBLIC LAW 87-64-JUNE 30, 1961 
[75 S T A T . 
(C) to the separate retirement system composed of positions of mem-
bers who desire coverage, shall be effective with respect to services 
performed after the same effective date as that which was specified 
m the case of such previous division." 
INCLUSION OF N E W MEXICO AMONG STATES W H I C H MAY DIVIDE 
THEIR 
RETIREMENT SYSTEMS INTO TWO PARTS 
SEC 107. The first sentence of section 218(d) (6) (C) of the Social 
42 use 418. 
Security Act is amended by inserting "New Mexico," after "Minne-
sota,". 
LIBERALIZATION OF T H E EARNED-INCOME 
LIMITATION 
42 use 403. 
SEC 108. (a) Paragraph (3) of section 203(f) of the Social Se-
curity Act is amended by striking out "$300" wherever it appears 
therein and inserting in lieu thereof "$500". 
(b) The amendment made by subsection (a) shall apply in the 
case of taxable years ending after the enactment of this Act. 
EFFECTIVE DATE 
SEC. 109. Except as otherwise provided, the effective date of this 
title is the first day of the first calendar month which begins on or 
after the 30th day after the date of the enactment of this Act. 
TITLE II—AMENDMENTS TO T H E INTERNAL REVENUE 
CODE OF 1954 
CHANGES I N TAX SCHEDULES 
Self-Employment Income Tax 
> 
26 use 1401. 
SEC 201. (a) Section 1401 of the Internal Revenue Code of 1954 
(relating to rate of tax on self-employment income) is amended to 
read as follows: 
"SEC. 1401. RATE OF TAX. 
"In addition to other taxes, there shall be imposed for each taxable 
year, on the self-employment income of every individual, a tax as 
follows: 
"(1) in the case of any taxable year beginning after De-
cember 31, 1961, and before January 1, 1963, the tax shall be 
equal to 4.7 percent of the amount of the self-employment income 
for such taxable year; 
"(2) in the case of any taxable year beginning after December 
31, 1962, and before January 1, 1966, the tax shall be equal to 
5.4 percent of the amount of the self-employment income for such 
taxable year; 
"(3) m the case of any taxable year beginning after December 
31, 1965, and before January 1, 1968, the tax shall be equal to 
6.2 percent of the amount of the self-employment income for such 
taxable year; and 
"(4) in the case of any taxable year beginning after December 
31, 1967, the tax shall be equal to 6.9 percent of the amount of the 
self-employment income for such taxable year." 
75 S T A T . ] 
PUBLIC LAW 87-64-JUNE 30, 1961 
141 
Tax on Employees 
(b) Section 3101 of such Code (relating to rate of tax on employees 
^e use 3101. 
under the Federal Insurance Contributions Act) is amended to read 
as follows: 
"SEC. 3101. RATE OF TAX. 
"In addition to other taxes, there is hereby imposed on the income of 
every individual a tax equal to the following percentages of the wages 
(as defined in section 3121(a)) received by him with respect to em- 
26 use 31:21. 
ployment (as defined in section 3121(b))— 
"(1) with respect to wages received during the calendar year 
1962, the rate shall be 3i^ percent; 
"(2) with respect to wages received during the calendar years 
1963 to 1965, both inclusive, the rate shall be 3 % percent; 
"(3) with respect to wages received during the calendar years 
1966 to 1967, both inclusive, the rate shall be 4^^ percent; and 
"(4) with respect to wages received after December 31, 1967, 
the rate shall be 4% percent." 
Tax on Employers 
(c) Section 3111 of such Code (relating to rate of tax on employers 
^^ ^^^ ^^^^• 
under the Federal Insurance Contributions Act) is amended to read 
^6 use 3126. 
as follows: 
"SEC. 3111. RATE OF TAX. 
"In addition to other taxes, there is hereby imposed on every em-
ployer an excise tax, with respecit to having individuals in his employ, 
equal to the following percentages of the wages (as defined in section 
3121(a)) paid by him with respect to employment (as defined in 
26 use 3121. 
section 3121 (b))— 
"(1) with respect to wages paid during the calendar year 1962, 
the rate shall be hy^ percent; 
" (2) with respect to wages paid during the calendar years 1963 
to 1965, both inclusive, the rate shall be 3% percent; 
" (3) with respect to wages paid during the calendar years 1966 
to 1967, both inclusive, the rate shall be 4i^ percent; and 
"(4) with respect to wages paid after December 31, 1967, the 
rate shall be 4% percent." 
Effective Dates 
(d) The amendment made by subsection (a) shall apply with re-
spect to taxable years beginning after December 31,1961. The amend-
ments made by subsections (b) and (c) shall apply with respect to 
remuneration paid after December 31,1961. 
EXTENSION OF TIME TO ELECT COVERAGE ON BEHALF OF MINISTERS 
SEC. 202. (a) Section 1402(e) of the Internal Revenue Code of 1954 
26 use 1402. 
is amended by adding at the end thereof the following new paragraph: 
"(6) 
CERTIFICATE FILED BY FIDUCIARIES OR SURVIVORS ON OR BE-
FORE APRIL 15, 1962.—In any case where an individual, whose 
death has occurred after September 12,1960, and before April 16, 
1962, derived earnings from the performance of services described 
in subsection (c) (4), or in subsection (c) (5) insofar as it relates 
to the performance of service by an individual in the exercise of 
his profession as a Christian Science practitioner, a certificate 
may be filed after the date of enactment of this paragraph, and on 
or before April 15, 1962, by a fiduciary acting for such individ-
142 
PUBLIC LAW 87-64-JUNE 30, ly61 
[75 STAT. 
ual's estate or by such individual's survivor within the meaning 
42 use 405. 
of section 205(c) (1) (C) of the Social Security Act. Such certi-
ficate shall be effective for the period prescribed in paragraph 
(3) (A) as if filed by the individual on the day of his death." 
(b) The amendment made by subsection (a) shall take effect on the 
date of enactment of this Act; except that no monthly benefits under 
title I I of the Social Security Act for the month in which this Act is 
enacted or any prior month shall be payable or increased by reason 
of such amendment, and no lump-sum death payment under such title 
shall be payable or increased by reason of such amendment in the case 
of any individual who died prior to the date of enactment of this Act. 
TITLE III—MISCELLANEOUS 
45 use 228a. 
42 u s e 130 1-
1312. 
AMENDMENT 
PRESERVING RELATIONSHIP 
BETWEEN 
RAILROAD RETIRE-
MENT AND OLD-AGE, SURVIVORS, AND DISABILITY INSURANCE 
SEC. 301. Section l(q) of the Railroad Retirement Act of 1937 is 
amended by striking out "1960" and inserting in lieu thereof "1961". 
ASSISTANCE FOR RETURNING UNITED STATES CITIZENS 
Sec. 302. Title XI of the Social Security Act is amended by adding 
at the end thereof the following new^ section: 
" A S S I S T A N C E FOR UNITED STATES CITIZENS RETURNED FROM FOREIGN 
COUNTRIES 
"SEC. 1113. (a) (1) The Secretary is authorized to provide tempo-
rary assistance to citizens of the United States and to dependents of 
citizens of the United States, if they (A) are identified by the De-
partment of State as having returned, or been brought, from a foreign 
country to the United States because of the destitution of the citizen 
of the United States or the illness of such citizen or any of his de-
pendents or because of war, threat of war, invasion, or similar crisis, 
and (B) are without available resources. 
" (2) Except in such cases or classes of cases as are set forth in regu-
lations of the Secretary, provision shall be made for reimbursement 
to the United States by the recipients of the temporary assistance to 
cover the cost thereof. 
"(3) The Secretary may provide assistance under paragraph (1) 
directly or through utilization of the services and facilities of appro-
priate public or private agencies and organizations, in accordance 
with agreements providing for payment, in advance or by way of 
reimbursement, as may be determined by the Secretary, of the cost 
thereof. 
Such cost shall be determined by such statistical, sampling, 
or other method as may be provided in the agreement. 
"(b) The Secretary is authorized to develop plans and make ar-
rangements for provision of temporary assistance within the United 
States to individuals specified in subsection (a)(1). 
Such plans shall 
be developed and such arrangements shall be made after consultation 
with the Secretary of State, the Attorney General, and the Secretary 
of Defense. 
To the extent feasible, assistance provided under sub-
section (a) shall be provided in accordance with the plans developed 
pursuant to this subsection, as modified from time to time by the 
Secretary, 
^^emporary as- 
«^(.^ YoT purposes of this sectioii, the term 'temporary assistance' 
means money payments, medical care, temporary billeting, transporta-
tion, and other goods and services necessary for the health or welfare 
of individuals (including guidance, counseling, and other welfare 
sistance." 
75 S T A T . ] 
PUBLIC LAW 87-64-JUNE 30, 1961 
143 
services) furnished to them within the United States upon their ar-
rival in the United States and for such period after their arrival as 
may be provided in regulations of the Secretary. 
"(d) No temporary assistance may be provided under this section 
after June 30,1962." 
ADDITIONAL FEDERAL PARTICIPATION I N PUBLIC ASSISTANCE PAYMENTS 
SEC. 303. (a)(1) Section 3(a)(1) of the Social Security Act is 
J^ 5*|c 3
^
(
?
3
" 
amended— 
(A) by striking out "$30" and inserting in lieu thereof "$31"; 
(B) by striking out "$65" each place it appears therein and 
inserting in lieu thereof "$66"; and 
(C) by striking out "$80" and inserting in lieu thereof "$81". 
Ante. p. 7 7. 
(2) Section 3(a)(2) of such Act is amended— 
(A) by striking out "$35" each place it appears therein and 
inserting in lieu thereof "$35.50"; and 
(B) by striking out "$42.50" and inserting in lieu thereof 
Ante. p. n. 
"$43". 
(b) (1) Section 1003(a) (1) of such Act is amended— 
^2 use 1:203. 
(A) by striking out "$30" and inserting in lieu thereof "$31"; 
and 
(B) by striking out "$65" and inserting in lieu thereof "$66". 
(2) Section 1003(a)(2) of such Act is amended by striking out 
"$35" and inserting in lieu thereof "$35.50". 
(c) (1) Section 1403 (a) (1) of such Act is amended— 
*2 use 1353. 
(A) by striking out '^$30" and inserting in lieu thereof "$31"; 
and 
(B) by striking out "$65" and inserting in lieu thereof "$66". 
(2) Section 1403(a)(2) of such Act is amended by striking out 
"$35" and inserting in lieu thereof "$35.50". 
(d) Effective only for the fiscal year ending June 30, 1962, section 
1108 of the Social Security Act (as amended by section 6 of Public 
Law 87-31) is amended by striking out "$9,425,000", "$318,750", and 
^"'%P\^,^O« 
"$425,000" and inserting in lieu thereof "$9,500,000", "$320,000", and 
^ 
"$430,000", respectively. 
(e) The amendments made by subsections (a), (b), and (c) of this 
section shall apply only in the case of expenditures made after Sep-
tember 30,1961, and before July 1, 1962, under a State plan approved 
ujider title I, X, or XIV, as the case may be, of the Social Security 
Act 
^2 u s e 30 1, 
t, 
„ 
1201. 1351. 
MEANING o r 
TERM 
"SECRETARY" 
SEC. 304. As used in this title and title I, and in the provisions of 
the Social Security Act amended thereby, the term "Secretary", unless 
the context otherwise requires, means the Secretary of Health, Educa-
tion, and Welfare. 
Approved June 30, 1961, 10:45 a.m.