RB-5, Your Duties as Representative Payee

form Approved
OMB NO. 3220-0052

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Nondiscriminationon the Basis
of Disability

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Under Section 504 of the Rehabilitation Act of WB"' and Railroad Retirement Board regulations, no qilali- ., _ fied person may be discrimhated against on the basis
of disability. The Board's programs and activities must
be accessible to all qualified applicants and beneficia- _
ries, including those who are vision or hearingimpaired. Disabled persons needing assistance should
contact the nearest Board office. Complaints of alleged
discrimination by the Board on the basis of disability
must be filed within 90 days in writing with the
Director of Administration and Operations, R&w&
Retirement Board, 844 North Rush Street, Cleicago,
Illinois 60611-2092. Questions about individual rights
under this regulation may be directed to tbe Board's
Equal Opportunity Manager at the same address.

Your Duties
Representative Payee

Represenfafive's Payee
Record

Railroad Retirement Board
Chicago, lllinois 606 1 1

Events which Must Be Reported to the RRB
A representative payee is responsible for knowing what events will
affect the beneficiary's continuing right to monthly benefits. The
payee is also responsible for promptly reporting the occmrrence of
such events to the RRB. The events are as follows:
The beneficiary marries, remarries, or divorces.
Your address changes.
The beneficiary's address changes.
The beneficiary is convicted of a felony.

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The beneficiary performs any work, including

nt.

An application for social security benefits is filed
person's earnings
- record.

The beneficiary dies.
A student beneficiary graduates from high school or
time attendance.

Payments will be ma& to you for the beneficiary because it has
been decided that this will best serve the interest of the beneficiary.
When payments are made in this way through a representative
payee, it is generally because they are for a child, or an adult who
is incapable of using the benefits in his own interest.
This booklet discusses your responsibility in handling the other
person's railroad retirement check. The nearest Railroad
Retirement ~ o a r doffice will be glad to answer any questions you
have. Most Railroad Retirement Board offices are open to the
public from 9:00 a.m. to 3:30 p.m., Monday through Friday.

The beneficiary begins to receive a public
or there is a change in the amount of the pension.

The beneficiary is outside the United States fix
consecutive days.

Y o u have accepted the responsibility of receiving and using
Railroad ~etirementAct annuity payments or health insurance
benefits for another person.

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Note: If you live outside the United States, you will want to keep
in touch with your nearest U.S. Foreign Service post or other
ofice which distributes the check you receive.

1. What are my duties as a representative payee?
Your job is to use the railroad retirement benefits you receive for
the beneficiary in his best interest. To do this you must keep
yourself informed of what the beneficiary needs. This is particularly important when the beneficiary does not live in your home.
You must also report (for the beneficiary) certain events which
can affect the payment of his railroad retirement benefits, and,
upon request, you must be able to account for what you did with
the benefits paid to you on behalf of the beneficiary.

2. What should I do with the Railroad retirement benefits?

Since railroad retirement benefits are intended to replace part of
the income on which most families are dependent and which is
lost because of the disability, retirement, or death of the worker,
the benefits will ordinarily be used to provide for the beneficiary's basic needs. First consideration must always be given to
using the benefits for the person's day-to-day maintenance. This
includes paying the expenses of food, shelter, clothing, and
meeting personal needs, such as pocket money if the person is
able to use it. Beyond this, benefits may be used to take care of
special needs the person may have, such as school expenses,
rehabilitation or medical expenses, and other purposes that are in
the beneficiary's best interest.

See that the proper claims are made for Medicare benefits.
You can get health insurance information at Railroad Retirement
Board (RRB) offices.
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Railroad retirement benefits which are not lrecfoired for the beneficiary's current support and needs, beaweyarr me your own or
~ otherwise
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other money to support him, must e i k i u m or
invested. However, the money may sometbws be used for the
support of a legally-dependent spouse, c w or parent. (See
question 6).
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4. How must I account for the railroad retirement benefits?

Your relationship to the beneficiary has become like that of a
trustee now that you have been chosen as a representative payee.
One of your key fiduciary responsibilities in this relationship is to
maintain appropriate records and documentation pertaining to your
use of benefit payments on the beneficiary's behalf. At the RRB's
request, you will be expected to provide the necessary information
to account for your use of the funds. Periodically, you will be
asked to complete a representative payee report which will include .
the following questions:
How were the railroad retirement benefits available during the
year used for the support of the beneficiary (room, board,
clothing, medical and dental care, personal needs, etc.)?

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If you decide to use your own or other m%teyinste6d of the railp@
~ beneficiai
b
road retirement benefits for the c w r e n ~ m p t
ry and save or invest the benefits for hino, pole
ordinarily
use the conserved benefits to repay others or youm@late~:

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Read "Your Medicare Handbook," Form RB-23.

What was the annuitant's amount of income form other
sources during the year?
%

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$

Have the person's health insurance card available.
Keep records of the services received and of the eZ#tSBB
incurred or paid.

How did you invest the savings? (See question 8 of this
pamphlet.)
Where did the annuitant live during the year?

3. What should I do if the beneficiary is d v i n g h d f h care
under the Medicare health insurance program?

When a person having health insurance protection receives medical treatment or care, you should:

How much of the railroad retirement benefits did you save for
the beneficiary?.

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In order to complete the questionnaire correctly, it is a good idea
to keep current records of railroad retirement payments you
receive and of what you do for the beneficiary with the proceeds
of the payments. This booklet contains a representative payee's
record designed to help you keep accurate records. Additional
records may be obtained from any RRB field office. You should
retain these records for four years.

5. How should I use the railroad retirement benefits of a
person who is in a nursing home or other institution?
Priority should be given to using benefits for "current maintenance
needs" of a beneficiary who is a patient in a Federal, State, or private institution because of his physical or mental incapacity.
''Current maintenance" includes the usual charges the institution
makes for providing care and maintenance.

Personal clothing which is clean, well fitting, and in
good style.

You should communicate with an official of the institution or the
designated State officer and arrange, if required, to pay part of the
benefits to meet the charges for the beneficiary's care and support.
You may not be required to use the benefits to pay maintenance
charges when:

Eyeglasses, false teeth, hearing aids, medical and dental care.

The beneficiary's total assets are small, or
The beneficiary's legally dependent spouse or children need to
use part of the benefits for their own support, and maintenance
charges are waived because of the needs of the beneficiary's
family.
You are not required to use the railroad retirement benefits to pay
maintenance charges when:
The beneficiary is in a veteran's hospital, or
The beneficiary has insurance or other assets that are being
used to meet the charges.
When arranging to pay a certain amount regularly for the beneficiary's care and maintenance, you should make sure you will still
have enough money left to pay for some of the things the beneficiary needs that are not customarily provided by the institution.
You can find out about these things by talking or writing to the
hospital superintendent, the doctor in charge, or the social worker.
The following are most often needed by patients in public hospitals and may be paid from railroad retirement benefi9
keep up their morale, self-respect, and confide~;e.~

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Supplies and articles necessary for personal grooming
and care.
Other things not supplied by the hospital such as books,
and magazines.

Transportation for trial visits to relatives or to places where the
patent can be helped to recover. A little each month may be
saved to pay the expenses of these visits.
llansportation of a close relative, or the representative payee
to visit the patient in the hospital. Use of benefits for transportation will be allowed when costs are reasonable and necessary and the visits are in the beneficiary's best interests.
Supplies and equipment to help the patient learn a trade or
hobby; such as materials for metal or leather work, needlework, or fiuniture making.
6. When may railroad retirement benefits be used to support
the beneficiary's legally dependent spouse, legally dependent
child, or legally dependent parent?
If the current maintenance needs of a beneficiary are being met,
you may use part of the railroad retirement benefit payments you
are receiving for him to support his legally dependent spouse,
child, or parent If you are not sure of an expenditure, consult your
railroad retkment office before using the railroad retirement benefits to support the beneficiary's legally dependent spouse, legally
dependent child, or legally dependent parent.

7. May I pay old bills of the person for whom I am receiving

railroad retirement benefits?
Under the Railroad Retirement Act benefits you are receiving on
behalf of another person generally may not be taken away from
you by someone who is trying to collect old bills. This provision
makes sure that the beneficiary will have his benefits available to
pay his day-to-day expenses. Therefore, the benefits you are
receiving on behalf of another person should not ordinarily be
used to pay bills owed by that person before the first month for
which railroad retirement benefits were payable to a representative
payee. Railroad retirement benefits may, however, be used to make
payments on the beneficiary's house and to pay his taxes and
insurance premiums. If you feel that the beneficiary's daily needs
are being fully met and payment of an old bill would be in his best
interest, discuss the situation with representatives at the nearest
RRB office before paying the bill.
8. How should I invest the railroad retirement benefits I am
receiving on behalf of another person?
You should invest the amount of the railroad retirement benefits
that will not be needed by the beneficiary in the near future as a
trustee would invest money from an estate. Preferred investments are U.S. savings Bonds, but you may also, for example,
deposit money in an insured account in a bank, trust company, or
savings and loan association where it can draw interest. You
should not keep money in your home where it may be lost or
stolen. Neither should you mingle it with your own or other
funds. U.S. Savings Bonds bought for a minor beneficiary should
be registered as follows:

"(Name of Beneficiary-HQ Social Security Number) a minor
beneficiary for whom (Your Name) has been designated representative payee by the Railroad Retirement Board."

U.S. Savings Bonds bought for an incapacitated adult beneficiary
should be registered as follows:
"(Name of Beneficiary-His Social Security Number) an incapacitated adult beneficiary for whom (Your Name) has been designated representative payee by the Railroad Retirement Board."
Because the money you receive as a representative payee belongs
to another person, bank accounts and other accounts should be
registered in a way that shows the money in trust for the true
owner. For example:
"(Name of Beneficiary) by (Your Name), representative payee,"
and "Name of Beneficiary) by (Your Name), trustee."
9. What should I do with the railroad retirement benefits I
have saved if I cease to be the representative payee for the beneficiary or if the beneficiary dies?
If you are no longer going to serve as representative payee, you
will generally be required by the RRB to turn over a l l the railroad
retirement benefits you have saved to a new representative payee.
However, you may instead be required to turn over all the railtoad
retirement benefits you have saved to the beneficiary himself. If
the beneficiary dies, any of his benefits which you have saved or
invested belong to his estate, and must be turned over to the legal
representative of the estate for distribution in accordance with
State law or must otherwise be handled in accordance with State
law. You should be able to get information about State law on this
matter from your probate court or attorney.
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10. What must I report about changes in the care and
guardianship of the beneficiary?

Payments to a representative payee are made on the basis of his
current responsibility for the benefickuy or his relationship to the
beneficiary. The following events which may affect the basis of
the initial selection of a representative payee must be reported to
the Railroad Retirement Board:

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The annuitant is restored to competency by a State court.
You are discharged as the legal guardian.
A legal guardian is appointed or guardianship changes.

You are no longer responsible for the beneficiary's care
and welfare.
The beneficiary leaves your custody.

11. Where can I get additional infomation?
If you are uncertain that a proposed use of benefit is proper,
write, phone, or visit the nearest Railroad Retirement Board
office. Most Railroad Retirement Board offices are open to the
public from 9:00 A.M. to 3:30 P.M., Monday through Friday.

Representative Payee's Record
for the Period
From:
Through:
Purpose of This Account Record
You have accepted the responsibility of ~ceivingand using railroad retirement benefits for another person. Periodically the
Railroad Retirement Board (RRB) will ask you to report:
The amount of railroad retirement benefits you receive on
behalf of the beneficiary; and
How you use the money in the interest of the beneficiary.
(Note: %u also will be asked the amount of the beneficiary's
income other than railroad retirement benefits, but you will not
be asked how you speat these other funds.)
You should keep a record showing the beneficiary's total income,
how much in railroad retirement benefits you receive on his
behalf, and how these benefits are used. You already may have a
method of keeping track of it; if not, this booklet may help you. If
you keep records in the manner shown i this account book, you
will be able to complete your report promptly when you are asked
to do so.
The RRB will let you h o w when your report is needed and how
to make it. (Note: Since this account book is for your convenience, do not sent it in with your payee repor&)
If you find that this booklet is useful, you can get additional copies
fiom the nearest RRB office. In addition, the people there will be
glad to answer any questions you have about your responsibilities
as a representative payee.

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Name and addressof each pason or MMlon
where benefldary lhredwhen notwilh you
Dates not with you

1. Information about Beneficiary
If the beneficiary does not live with you during any part
of the report period, complete the following:
Name and address of each person or lnstltutlon
where beneticlary lived when not with you
Dat85notwith~

1

2

3
4

From

2. Total Income Received

,

Durina Accountina Period
Month
and
Year

To
From
To
From
To
From
To
From

5

To
From

6

7

8

To
From
To
From
To

Totals

Amount of
I Retirement
Railroad I
Benefits

Other lncome
Name of Agency or
Other Source

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Amount
Received

3. Total Expenditures for Months
Complete the following if the beneficiary lives with you during
include health insurance premiums and any medical expenses

Total

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Beneficiary Lives with You
part of the accounting period. (Under "Medical and Dental Care,"
not reimbursed by insurance.)

4. Total Expenditures for Months
Complete the following if the beneficiary does not live with you
Care and

Maintenance (or

roomand board)

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Clothlng

Medlcaland
Dental Care

PersonalNeeds
(spending
money. canteen
or commissary
funds, etc.)

Beneficiary Does Not Live with You
during any part of the accounting period.
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Wife and
Chlld Support

Other Purposes (W
l e inwrance, taws, savlngs, travel costs for you to vW beneflcbry or beneflclaryto
vlslt home, etc.). Speclfy Each Purpose and
Amount.)

Date lArnountl

Purpose

5. Summary of Railroad Retirement
Funds Received and Spent
During the accounting Period
A. Railroad retirement funds on hand at beginning
of period. (Include cash, checking and savings
accounts, bonds, etc.)
$
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B. Add total railroad retirement benefits received
+$
during period.
C. Total railroad retirement funds available.

$

D. Subtract total amount used during the account-$
ing period.

$

E. Balance remaining at end of period.
(This amount will be shown as the total amount

of railroad retirement benefits you have on hand
at the beginning of the next accounting period.)
Show below how the balance from "EWis held, saved, or invested:
Manner in which held,
saved, or invested
ChecWng account:
Bank name:
Address:
Insured savlngs account:
Bank name:
Address:
U.S. Savings Bonds
(Face value)

Other-Speclfy

Amount

How titie or ownership
is shown

NOTES
You may wish to use this space to add figures or write down
reminders. If the beneficiary does not live with you during
some months, you may wish to jot down information which
shows how you know about his needs during those months
(such as names of persons giving you this information, dates
you visit the beneficiary, or dates you get in touch with the
hospital or person caring for him).