RB-9, Employee and Spouse Annuities - Events That Must Be Reported

Employee and
Spouse
Annuities Events that
Must Be
Reported

Form RB-9 (03-09)

Introduction
This booklet describes the different events that can affect
your annuity under the Railroad Retirement Act (RRA).
Whether you are receiving your own annuity, or you
receive payments on behalf of another person, it is your
responsibility to be aware of these events and to notify
the Railroad Retirement Board (RRB) immediately when
any apply to you.
Any new circumstances may cause changes in your
entitlement or in the amount of your annuity. Keep this
booklet handy and refer to it to see if you need to report
an event.
If you are not sure if your report is necessary, RRB
representatives will be happy to assist you. To locate
the nearest office, visit out Web site at www.rrb.gov
or call 877-772-5772.
Failure to promptly notify the RRB usually constitutes
"fault" on your part that requires you to repay any
resulting overpayment. This could cause your benefits to
be suspended, and may result in the assessment of interest
and penalties.
Even if an overpayment may not result, some of the
events described in this booklet must be reported to
assure that the RRB provides you with timely information
about your annuity and with the maximum benefits
payable to you.
Other Booklets and Forms of Interest
AB-31 How Work Affects Your Disability Annuity
G-77a How Work Affects Your Railroad Retirement
Benefits
G-179 Special Guaranty in Employee and Spouse
Annuities
RB-1 Age and Service Employee Annuities
RB-30 Spouse/Divorced Spouse Annuity
RRB booklets and forms are available on the RRB’s
website at www.rrb.gov.

1
What to Report and Why
Your annuity entitlement and the amount payable to you
each month is determined according to law and by the
circumstances that exist on the date your annuity begins.
Any later changes in those circumstances are very
important. To guarantee correct payment of the benefits you
are due, you must notify the RRB about all of the events that
are described in this booklet. They are:
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3
4
4
5
5
6
8
9
10
10
11
11
12
13
13
13
14
15
15

Subject
Social Security Benefits
Non-covered Service Pension and Public Service
Pension
Railroad Work
Nonrailroad Earnings after You Attain Full
Retirement Age
Tier 1 Reductions for Nonrailroad Earnings Before
You Attain Full Retirement Age
What Earnings Count for Tier 1 Reduction
When to Report Earnings
Last Pre-Retirement Nonrailroad Employment
(LPE)
LPE Exceptions
Annuity Deductions for LPE
Total and Permanent Disability after Retirement
Disability and Medical Recovery
Disability Work Deductions
Workers Compensation or Other Disability Based
Public Benefits
Marital Status Change
Qualifying Child Status Changes
Conviction for a Criminal Offense
Spouse or Employee Death
Change of Address
Direct Deposit

2
How to Report
You may call, visit, or write to any RRB field office. In
most cases, your reporting can be completely handled by
telephone. If you plan to personally visit one of the RRB
field offices, please call for an appointment. You will not
be refused service if you do not make an appointment, but
the RRB staff may be better able to assist you when an
appointment is made.
Always provide the following when you call, visit or write
to the RRB:
Your name;
Your RRB claim number;
The railroad employee's name, if you are not the
employee;
Your daytime telephone number;
A clear explanation of what you are reporting; and,
The exact month, day and year that the event
occurred or will occur.
G

G

G

G

G

G

Social Security Benefits
The Tier 1 component of your employee, spouse or
divorced spouse annuity already includes credit for
the railroad worker's earnings covered by social security
taxes. When you file for social security benefits, (SS
benefits), the RRB must reduce your Tier 1 component
by the amount of SS benefits you receive.
If you are awarded SS benefits, the RRB usually will pay
them combined with your annuity. We will adjust your
Tier 1 and send you a letter to explain the two benefits. If
SSA notifies you that they, not the RRB, will pay your
SS benefit payments, notify the nearest RRB field office
at once. It is your responsibility to notify us. Do not
expect the Social Security Administration

3
to tell the RRB that you are being paid SS benefits.
Any delay could cause your annuity to be overpaid. In
many cases, filing for SS benefits will not increase your
total benefit rate, because of the reduction in your Tier 1
component.
If your annuity is increased under the Special Guaranty
provision (see booklet G-179, Special Guaranty in
Employee and Spouse Annuities), you must notify the
RRB if any spouse, minor child, disabled child or student
child included in that computation begins to receive SS
benefits, on any account number.
Non-covered Service Pensions and
Public Service Pensions
A Non-covered Service Pension can reduce your employee Tier 1 component and the Tier 1 component of
your spouse, as explained in booklet RB-1, Age and
Service Employee Annuities.
A Public Service Pension can reduce your spouse Tier 1
component, as explained in booklet RB-30, Spouse/Divorced
Spouse Annuity.
If you begin to receive a Non-covered Service Pension or
Public Service Pension, report it to the RRB so we can
make a timely adjustment of your annuity.
If your Tier 1 after reduction for your pension is greater
than zero, also notify us when the pension rate increases.
Exception: You do not need to report increases in your
Civil Service Retirement System (CSRS) pension.
The RRB receives your pension rates from the Office
of Personnel Management after each cost-of-living
increase.

4
Railroad Work
You must notify the RRB immediately if you go to work
in the railroad industry. Do not wait for your employer
to notify the RRB.
If you are the employee annuitant, your regular annuity, or
any supplemental annuity cannot be paid for any month in
which you work for a railroad employer. This law applies
no matter how old you are or how much money you earn
from that work.
If you are the spouse annuitant, your annuity is not
payable for any month you work for a railroad or for any
month the employee annuitant returns to railroad work.
Nonrailroad Earnings
After You Attain Full Retirement Age
This section applies to annuities based on age and service
and disability annuities. For months after you have
attained Full Retirement Age (FRA), your Tier 1 component
is not subject to reductions because of your nonrailroad
earnings.
DETERMINING YOUR FULL RETIREMENT AGE
If you were born:
then your FRA is:
Before 1-2-1938
1-2-1938 thru 1-1-1939
1-2-1939 thru 1-1-1940
1-2-1940 thru 1-1-1941
1-2-1941 thru 1-1-1942
1-2-1942 thru 1-1-1943
1-2-1943 thru 1-1-1955
1-2-1955 thru 1-1-1956
1-2-1956 thru 1-1-1957
1-2-1957 thru 1-1-1958
1-2-1958 thru 1-1-1959
1-2-1959 thru 1-1-1960
1-2-1960 and later

65
65 and 2 months
65 and 4 months
65 and 6 months
65 and 8 months
65 and 10 months
66
66 and 2 months
66 and 4 months
66 and 6 months
66 and 8 months
66 and 10 months
67

5
However, Last Pre-Retirement Nonrailroad Employer
(LPE) work deductions can still apply as explained on
page 10.
Tier 1 Reductions for Nonrailroad Earnings
Before You Attain Full Retirement Age
This section only concerns the Tier 1 component, vested
dual benefit (VDB), and Special Guaranty reductions
for age and service annuitants and their families. Tier 2
reductions for Last Pre-Retirement Nonrailroad Employment
are explained on pages 8-10. The rules for disability
annuitants are explained on page 11.
Your Tier 1 components are not reduced for your nonrailroad
earnings if you are receiving social security benefits.
Otherwise, your nonrailroad earnings over the Annual
Earnings Exempt Amount could reduce your employee or
spouse annuity Tier 1, any VDB, or your Special Guaranty
computation rate if you have not attained Full Retirement
Age.
The employee's nonrailroad earnings also can cause a
reduction to the spouse Tier 1 component. The employee's
nonrailroad earnings also cause a reduction to the
divorced spouse annuity within two years of the date
of the final divorce decree.
What Earnings Count for Tier 1 Reductions
Tier 1 earnings restrictions apply to gross earnings from
your employment for others, plus any net earnings from
self-employment. Your net self-employment amount is the
earnings amount after business expenses that you report to
the Internal Revenue Service.

6
Do not include as earnings, any money you received for
reasons other than for work you performed. Gifts, interest
earned, inheritance, pensions, and investment income do
not count as earnings for this purpose.
When to Report Earnings
You should report your earnings when you begin or
end nonrailroad employment and expect to earn
more than the Annual Earnings Exempt Amount to
allow timely adjustment of your annuity. Also report if
you will earn substantially more or less than you earned in
the previous year.
When you tell us that you have begun nonrailroad
employment or changed your earnings from the previous
year, we apply temporary deductions to your annuity
based on the amount you expect to earn.
Later, if your nonrailroad earnings are covered by the
Federal Insurance Contributions Act (FICA) or the
Self-Employment Contributions Act (SECA), the RRB
will receive an annual report of those earnings from a
tape match with the Social Security Administration.
It sometimes takes longer for the RRB to receive information about nonrailroad earnings that are not covered by
FICA or SECA. If you receive such earnings, you should
report your final earnings for the year by April 15, of the
following year.
Refer to Form G-77a, How Work Affects Your Railroad
Retirement Benefits, for the current Annual Earnings
Exempt Amounts for your age group and refer to the following
chart:

7

HOW EARNINGS DEDUCTIONS ARE ASSESSED
If:

Then the
amount of:

For
months:

Is deducted
from:

employee and
spouse Tier 1,
any employee
VDB, or all
family member
shares in the
calculation of
the Special
Guaranty computation
employees are $1.00 for every up to the employee and
entitled based $3.00 which they month the spouse Tier 1,
on age and at- earn over their
employees any employee
VDB, or all
tain FRA dur- Annual Earnings attain
family member
ing the
Exempt Amount, FRA,
shares in the
calendar year,
calculation of
the Special
Guaranty computation
spouses are
$1.00 for every in the full their spouse
Tier 1 or their
under FRA for $2.00 which
calendar
shares in the
the full calen- spouses earn
year,
calculation of
dar year,
over their Anthe Special
nual Earnings
Guaranty inExempt Amount,
crease.
their spouse
spouses attain $1.00 for every up to the
FRA during
month the Tier 1 or their
$3.00 which
shares in the
the calendar
spouses
spouses earn
calculation of
year,
attain
over their Anthe Special
FRA.
nual Earnings
Guaranty inExempt Amount,
crease.
your minor or
$1.00 for every in the full their shares in
the calculation
student children $2.00 which they calendar
of the Special
work,
earn
year.
Guaranty inover their Ancrease.
nual Earnings
Exempt Amount,
employees are
entitled based
on age and are
under FRA for
the full calendar year,

$1.00 for every in the full
$2.00 which they calendar
year,
earn over their
Annual Earnings
Exempt Amount,

8
Last Pre-Retirement Nonrailroad Employment
Your Last Pre-Retirement Nonrailroad Employer (LPE)
is defined as any nonrailroad individual, company, or
institution for whom you are working on your annuity
beginning date (ABD) or for whom you stopped working
in order to receive an annuity. This includes work for a
Canadian railroad that is not covered under the Railroad
Retirement Act and work as an elected or appointed public
official.
The nonrailroad employer is always your LPE if you are
working in nonrailroad employment on your ABD or, if
you have stopped working, you still hold rights to return
to service of the nonrailroad employer on your ABD.
The nonrailroad employer would be presumed to be your
LPE if:
Youare
arethe
theemployee
employeeannuitant,
annuitant, and
and stopped working
" You
fornonrailroad
the nonrailroad
employer
within
six immedimonths
for the
employer
within six
months
before your
employee
atelyimmediately
before your employee
ABD,
whetherABD,
or not whether
you also
notworking
you also
been working
forata the
railroad
had or
been
forhad
a railroad
employer
same
at the same time, or,
time,employer
or,
G

are are
a spouse
annuitant,
" YouYou
a spouse
annuitant,who
whomay
mayhave
have never
never
worked
a railroad,
and stopped
for
worked
for a for
railroad,
and stopped
workingworking
for the nonthe employer
nonrailroad
employer
within immediately
the six months
railroad
within
the six months
before immediately
your ABD. before your ABD.
G

When applicants were working for two or more persons,
companies, or institutions within the six months preceding
their ABD, all such employers are presumed to be LPE.
When you applied for your annuity, we asked for the
names of your most recent nonrailroad employers, if any.
That information established your LPE for RRB

9
records. Any work for your LPE that continues or is
resumed after your annuity beginning date must be reported
to the RRB at once. Be sure to provide the name and
address of your employer and your estimated monthly
earnings.
If you stop LPE, or you expect a change in your estimated
monthly earnings, contact the nearest RRB office to have
your payments adjusted.
LPE Exceptions
Some types of nonrailroad employment are not counted
as LPE. These types of work do not affect payment of
your Tier 2 component or supplemental annuity. These
exceptions are:
service
" Military
Military
service;
Jury
duty
"
Jury duty;
handling
byby
contract
" MailMail
handling
contractwith
withthe
the U.S.
U.S. Postal
Service
Service;
" Volunteer
Volunteer
work;
work
" Work
Work
whichyou
you only
only receive
of exforfor
which
receivepayment
payment
of
penses;
expenses
"
Work as member (owner) of a Limited Liability
Work as member (owner) of a Limited Liability
Corporation (LLC); or,
Corporation (LLC)
"
Self-employment.
Self-employment
G
G
G

G
G

G

G

NOTE 1: If you claim an LPE exception as a member of
an LLC, you must submit proof, including your statement,
the name of any license, and copies of articles of
organization, the operating agreement, and contracts with
various clients.
NOTE 2: Work as an LLC employee, hired by the members
who own an LLC, is counted as LPE.

10
NOTE 3: If you begin self-employment that has any connection with railroad employment or your LPE employer
(such as consultant work), report this to the nearest RRB
office. We may ask you to complete Form AA-4, SelfEmployment and Substantial Service Questionnaire,
which will help the RRB determine whether to consider
your work self-employment or a continuation of railroad
service or LPE.
Annuity Deductions for LPE
Earnings reductions for LPE occur at any age, even after
attaining Full Retirement Age. There is no Annual Earnings
Exempt Amount for LPE. Even work for minimum pay may
be LPE.
Any LPE earnings received by an employee annuitant
for service in or after the month the annuity begins, will
reduce the amount of the employee's Tier 2 component,
the employee's supplemental annuity, if any, and the
spouse's Tier 2 component. The LPE work deduction is
$1.00 for every $2.00 earned, but not more than 50% of
the Tier 2 components and supplemental annuity.
Any LPE earnings received by a spouse annuitant for
service in or after the month a spouse annuity begins, will
reduce the amount of the spouse's Tier 2 component (up to
50%).
A prompt report will allow for a timely adjustment to
avoid overpayment of your annuity.
Total and Permanent Disability after Retirement
Contact the RRB if you are receiving an age and service
annuity or occupational disability annuity and you become totally disabled before you reach Full Retirement
Age. You may be eligible for early Medicare

11
coverage and other benefits if you meet the requirements
for total and permanent disability.
Disability and Medical Recovery
You must report ANY new employment. It is important
that your report includes:
"
of work
doing;
TheThe
kindkind
of work
youyou
are are
doing;
" How
How
much
you
expect
to
earn
month;
much you expect to earn eacheach
month;
"
The period of time you expect to be working;
The period of time you expect to be working;
"
How many hours you expect to work; and,
many
hoursofyou
expect
to work; and,work ex" How
The
amount
any
disability-related
The amount of any disability-related work expenses.
penses.
G
G
G
G

G

Your work and earnings will be evaluated to see if you
are able to perform regular work. ANY work after your
annuity begins, regardless of your amount of earnings,
may raise questions about medical recovery.
If you return to work, or your doctor tells you that you are
able to work, notify your local RRB field office. We will
ask for more information about your condition and possibly
request new medical examinations. Failure to promptly
contact the RRB about changes in your disability status
could result in large annuity overpayments with penalties.
Disability Work Deductions
If you are less than Full Retirement Age and you receive
a disability-based annuity, the Annual Earnings Exempt
Amount does not apply to your disability Tier 1
component.
Your disability annuity cannot be paid for any month
you work and have earnings over the disability earnings
limit (refer to Form AB-31, How Work Affects Your
Disability). "Earnings" are defined on page 5. Certain
disability-related work expenses are subtracted from your

12
earnings, such as the costs of special transportation,
medicine used to control the impairment that caused the
disability, attendant care, medical devices, and prosthetic
devices.
When you tell us that you will have earnings over the
disability earnings limit, we apply temporary deductions
to your annuity for the calendar year based on the
amount you expect to earn. We will send you a form after
the end of that year to report your actual monthly and
total earnings for that year.
G

If your total earnings are less than the disability
earnings maximum for that calendar year, any
monthly benefits that we withheld will be paid to you.

G

If your total earnings are greater than the disability
earnings maximum during that year, you will not be
entitled to an annuity for some months in that year.
How long your annuity is not payable depends on
how much you earn, but the number of months withheld will not exceed the actual number of months that
you worked in that year.
Workers Compensation or Other
Disability-Based Public Benefits

Your disability annuity Tier 1 component is subject to a
reduction if you also receive worker's compensation or
another public, disability-based, benefit before you reach
Full Retirement Age. This reduction requirement may
apply even if you received a lump sum or an amount
divided and paid in several payments. If you receive a
public disability or worker's compensation award, or if
the amount you receive changes, notify the RRB as soon
as possible. Delay may cause a large annuity overpayment
of your annuity.

13
Marital Status Change
If your marriage ends by divorce or annulment, notify the
RRB to have your records updated (including any name
change) and to assure that any spouse annuity is adjusted
or terminated timely. Also report if a child, included in the
Special Guaranty computation, marries.
If a stepchild is included in your Special Guaranty
computation, and your marriage to the child's natural
parent ends by divorce or annulment, notify the RRB. We
are required to exclude the stepchild from the Special
Guaranty computation.
If you are receiving a divorced spouse annuity, your
entitlement ends the month that you remarry.
Qualifying Child Status Changes
If your spouse annuity is based on a child in your care,
your benefit eligibility ends if certain events occur before
you qualify for an annuity based on your age. If the
child attains age 18 or is no longer disabled, or if the
child enters military service, marries, dies, or leaves
your care before age 18, your payments must stop.
Your spouse annuity termination is automatically
processed when RRB records show the child is age 18,
but you must report events that could end your spouse
annuity eligibility earlier. You must also notify your local
RRB field office if you receive an annuity payment after
your entitlement ends.
Conviction for a Criminal Offense
A prison sentence or confinement due to a conviction for
a criminal offense changes the income tax liability for
annuity payments and the reports required by the RRB to
the IRS.

14
If you or your spouse are confined due to a conviction for
a criminal offense, report this to the RRB. The RRB will
then determine if any payment changes are required. Also
report if you receive a spouse annuity based on a child in
your care or the Special Guaranty computation including
a child and that child is confined due to a conviction for a
criminal offense.
Places of confinement include prisons, jails, hospitals,
schools, halfway houses, or other facilities in which a person
is under the control and jurisdiction of a penal system. The
period of confinement ends when the prisoner is paroled or
released because the sentence has ended, been suspended, or
overturned.
Spouse or Employee Death
Promptly notify the RRB when an employee or spouse
dies, to avoid possible overpayment. An annuity is not
payable for the month in which an employee or spouse
dies. It is against the law to cash an annuity check issued
to a person who has died. If a payment by check is received
after that person's date of death, it must be returned to the
RRB or to the Treasury Department address shown on the
envelope.
It is also against the law to use direct deposit funds
received by a financial institution for a person who has
died. If a direct deposit annuity payment is received after
that person's date of death, your financial institution is
required to return it to the Treasury Department at once.
When an employee dies, survivor benefits may be payable.

15
Change of Address
Even though your payments may be sent by direct deposit,
notify both the RRB and the financial institution that
receives your payment as soon as possible, if your
home address changes.
We need your home address to mail important information
about RRB benefit increases, earnings allowances,
Medicare, and your income tax statements. If you do not
report your change of address, the RRB is not responsible
for information you do not receive.
To report an address change, write the RRB and provide
the following information:
G
G
G
G
G

G

Your RRB claim number;
Your name;
Your new address;
Your old address;
The date you will start receiving mail at the new
address; and,
If your spouse also receives an annuity from the
RRB, a statement that your change of address applies
for both you and your spouse or applies to you alone.
Direct Deposit

An address change report does not change your direct
deposit information. If you are changing bank accounts,
or wish your payments to go to a different financial
institution, you must tell the RRB your new account
number and the new bank's routing number. (The routing
number appears at the bottom of your new checks or the
bank will give it to you.)

16
Do not close your old account until you receive the first
RRB payment in your new account.
Reminder
A prompt report of any of the events described in this
booklet will allow the RRB to provide you with accurate
and timely benefits and service. For your convenience,
most of this reporting may be handled completely by
telephone without a trip to the RRB field office. If additional
action is required on your part, our RRB field office staff
will be glad to assist you.
Use the following chart to keep a record of the events that
you report to the RRB; the method used to report the event
(i.e., telephone, mail); and the date that you reported the
event. When writing to the RRB, we recommend that you
keep a copy of your report.

Event

Method Used
to Report

Date
Reported

Nondiscrimination on the Basis of Disability
Under Section 504 of the Rehabilitation Act of 1973 and Railroad
Retirement Board (RRB) regulations, no qualified person may
be discriminated against on the basis of disability. RRB programs
and activities must be accessible to all qualified applicants and
beneficiaries, including those with impaired vision or hearing.
Disabled persons needing assistance (including auxiliary aids or
program information in accessible formats) should contact the
nearest RRB office. Complaints of alleged discrimination by the
RRB on the basis of disability must be filed within 90 days in
writing with the Director of Administration, Railroad Retirement
Board, 844 North Rush Street, Chicago, Illinois, 60611-2092.
Questions about individual rights under this regulation may be
directed to the RRB's Director of Equal Opportunity at the same
address.

Fraud and Abuse Hot Line
Call the toll-free Fraud and Abuse Hot Line if you have reason
to believe that someone is receiving railroad retirement or
unemployment-sickness benefits to which (s)he is not entitled; that persons responsible for the financial affairs of minors
or incompetent beneficiaries are misappropriating benefits; or
that a doctor, hospital, or other provider of health care services
is performing unnecessary or inappropriate services or is billing
Medicare for services not received. You may also use the Hot
Line to report any suspected misconduct by a Railroad Retirement
Board (RRB) employee. The Hot Line has been installed by the
RRB's Inspector General to receive any evidence of fraud or abuse
of the RRB's benefit programs.
Call (toll-free) 1-800-772-4258. Or you may send your
complaints in writing to the Railroad Retirement Board,
OIG, Hot Line Officer, 844 North Rush Street, Chicago, Illinois,
60611-2092. Please do not call the Hot Line with questions about
eligibility requirements, delayed claims, or similar problems.
Such matters should be directed to the nearest RRB field office.