
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 5USC8349]

 
             TITLE 5--GOVERNMENT ORGANIZATION AND EMPLOYEES
 
                           PART III--EMPLOYEES
 
                   Subpart G--Insurance and Annuities
 
                         CHAPTER 83--RETIREMENT
 
                SUBCHAPTER III--CIVIL SERVICE RETIREMENT
 
Sec. 8349. Offset relating to certain benefits under the Social 
        Security Act
        
    (a)(1) Notwithstanding any other provision of this subchapter, if an 
individual under section 8402(b)(2) is entitled, or would on proper 
application be entitled, to old-age insurance benefits under title II of 
the Social Security Act, the annuity otherwise payable to such 
individual shall be reduced under this subsection.
    (2) A reduction under this subsection commences beginning with the 
first month for which the individual both--
        (A) is entitled to an annuity under this subchapter; and
        (B) is entitled, or would on proper application be entitled, to 
    old-age insurance benefits under title II of the Social Security 
    Act.

    (3)(A)(i) Subject to clause (ii) and subparagraphs (B) and (C), the 
amount of a reduction under this subsection shall be equal to the 
difference between--
        (I) the old-age insurance benefit which would be payable to the 
    individual for the month referred to in paragraph (2); and
        (II) the old-age insurance benefit which would be so payable, 
    excluding all wages derived from Federal service of the individual, 
    and assuming the individual were fully insured (as defined by 
    section 214(a) of the Social Security Act).

    (ii) For purposes of this subsection, the amount of a benefit 
referred to in subclause (I) or (II) of clause (i) shall be determined 
without regard to subsections (b) through (l) of section 203 of the 
Social Security Act, and without regard to the requirement that an 
application for such benefit be filed.
    (B) A reduction under this subsection--
        (i) may not exceed an amount equal to the product of--
            (I) the old-age insurance benefit to which the individual is 
        entitled (or would on proper application be entitled) for the 
        month referred to in paragraph (2), determined without regard to 
        subsections (b) through (l) of section 203 of the Social 
        Security Act; and
            (II) a fraction, as determined under section 8421(b)(3) with 
        respect to the individual, except that the reference to 
        ``service'' in subparagraph (A) of such section shall be 
        considered to mean Federal service; and

        (ii) may not cause the annuity payment for an individual to be 
    reduced below zero.

    (C) An amount computed under subclause (I) or (II) of subparagraph 
(A)(i), or under subparagraph (B)(i)(I), for purposes of determining the 
amount of a reduction under this subsection shall be adjusted under 
section 8340 of this title.
    (4) A reduction under this subsection applies with respect to the 
annuity otherwise payable to such individual under this subchapter 
(other than under section 8337) for the month involved--
        (A) based on service of such individual; and
        (B) without regard to section 8345(j), if otherwise applicable.

    (5) The operation of the preceding paragraphs of this subsection 
shall not be considered for purposes of applying the provisions of the 
second sentence of section 215(a)(7)(B)(i) or the provisions of section 
215(d)(5)(ii) of the Social Security Act in determining any amount under 
subclause (I) or (II) of paragraph (3)(A)(i) or paragraph (3)(B)(i)(I) 
for purposes of this subsection.
    (b)(1) Notwithstanding any other provision of this subchapter--
        (A) a disability annuity to which an individual described in 
    section 8402(b)(2) is entitled under this subchapter, and
        (B) a survivor annuity to which a person is entitled under this 
    subchapter based on the service of an individual described in 
    section 8402(b)(2),

shall be subject to reduction under this subsection if that individual 
or person is also entitled (or would on proper application also be 
entitled) to any similar benefits under title II of the Social Security 
Act based on the wages and self-employment income of such individual 
described in section 8402(b)(2).
    (2)(A) Subject to subparagraph (B), reductions under this subsection 
shall be made in a manner consistent with the manner in which reductions 
under subsection (a) are computed and otherwise made.
    (B) Reductions under this subsection shall be discontinued if, or 
for so long as, entitlement to the similar benefits under title II of 
the Social Security Act (as referred to in paragraph (1)) is terminated 
(or, in the case of an individual who has not made proper application 
therefor, would be terminated).
    (3) For the purpose of applying section 224 of the Social Security 
Act to the disability insurance benefit used to compute the reduction 
under this subsection, the amount of the CSRS annuity considered shall 
be the amount of the CSRS annuity before application of this section.
    (4) The Office shall prescribe regulations to carry out this 
subsection.
    (c) For the purpose of this section, the term ``Federal service'' 
means service which is employment for the purposes of title II of the 
Social Security Act and chapter 21 of the Internal Revenue Code of 1986 
by reason of the amendments made by section 101 of the Social Security 
Amendments of 1983.
    (d) In administering subsections (a) through (c)--
        (1) the terms ``an individual under section 8402(b)(2)'' and 
    ``an individual described in section 8402(b)(2)'' shall each be 
    considered to include any individual--
            (A) who is subject to this subchapter as a result of any 
        provision of law described in section 8347(o), and
            (B) whose employment (as described in section 8347(o)) is 
        also employment for purposes of title II of the Social Security 
        Act and chapter 21 of the Internal Revenue Code of 1986; and

        (2) the term ``Federal service'', as applied with respect to any 
    individual to whom this section applies as a result of paragraph 
    (1), means any employment referred to in paragraph (1)(B) performed 
    after December 31, 1983.

(Added Pub. L. 99-335, title II, Sec. 201(b)(1), June 6, 1986, 100 Stat. 
589; amended Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095; Pub. 
L. 100-238, title I, Sec. 108(b)(2), Jan. 8, 1988, 101 Stat. 1748.)

                       References in Text

    The Social Security Act, referred to in text, is act Aug. 14, 1935, 
ch. 531, 49 Stat. 620, as amended. Title II of the Social Security Act 
is classified generally to subchapter II (Sec. 401 et seq.) of chapter 7 
of Title 42, The Public Health and Welfare. Sections 203, 214, 215, and 
224 of the Social Security Act are classified to sections 403, 414, 415, 
and 424a, respectively, of Title 42. For complete classification of this 
Act to the Code, see section 1305 of Title 42 and Tables.
    Chapter 21 of the Internal Revenue Code of 1986, referred to in 
subsecs. (c) and (d)(1)(B), is classified to chapter 21 (Sec. 3101 et 
seq.) of Title 26, Internal Revenue Code.
    Section 101 of the Social Security Amendments of 1983 [Pub. L. 98-
21], referred to in subsec. (c), amended section 3121 of Title 26 and 
sections 409 and 410 of Title 42, The Public Health and Welfare, and 
enacted provisions set out as notes under section 3121 of Title 26 and 
section 410 of Title 42.


                               Amendments

    1988--Subsec. (d). Pub. L. 100-238 added subsec. (d).
    1986--Subsec. (c). Pub. L. 99-514 substituted ``Internal Revenue 
Code of 1986'' for ``Internal Revenue Code of 1954''.


                    Effective Date of 1988 Amendment

    Amendment by Pub. L. 100-238 effective Jan. 1, 1987, see section 
108(b)(3) of Pub. L. 100-238, set out as a note under section 8334 of 
this title.


                             Effective Date

    Section effective Jan. 1, 1987, see section 702(a) of Pub. L. 99-
335, set out as a note under section 8401 of this title.


Offsets To Prevent Full Double Coverage for Employees of Park Police and 
                             Secret Service

    For provisions relating to offsets for prevention of full double 
coverage for employees of Park Police and Secret Service, see section 
103(e) of Pub. L. 100-238, set out as a note under section 8334 of this 
title.

                  Section Referred to in Other Sections

    This section is referred to in title 22 section 4046; title 50 
section 2031.
