The primary insurance amount of an individual who attained or would have attained age 22 after 1950 and who has six quarters of coverage after 1950 shall be 50 per centum of his average monthly wage if such average monthly wage exceeds $49 but does not exceed $100. If the average monthly wage exceeds $100, his primary insurance amount shall be 50 per centum of $100. plus 15 per centum of the amount by which the average monthly wage exceeds $100 but does not exceed $300. Any primary insurance amount which is not a multiple of 10 cents shall be raised to the next higher multiple of 10 cents. If the individual's average monthly wage is less than $50, the primary insurance amount is that amount in column II of the following table, which is on the line on which appears the individual's average monthly wage in column I of such table:

(2) Effect of Social Security Act Amendments of 1952. The Social Security Act Amendments of 1952 change the benefit formula which appears in subparagraph (1) of this paragraph. Under this new formula, the primary insurance amount is 55 per centum of the individual's average monthly wage if such average monthly wage exceeds $47, but does not exceed $100. If the average monthly wage exceeds $100, his primary insurance amount is 55 per centum of $100 plus 15 per centum of the amount by which the average monthly wage exceeds $100 but does not exceed $300. Any primary insurance amount which is not a multiple of 10 cents shall be raised to the next higher multiple of 10 cents. If the individual's average monthly wage is less than $48, his primary insurance amount is as follows: for an average monthly wage of $34 or less, a primary insurance amount of $25; for an average monthly wage of $35 through $47, a primary insurance amount of $26. This formula is effective with respect to monthly benefits payable under section 202 of the act for months after August 1952 and with respect to lump sums payable under section 202 (i) of the act on

the basis of deaths occurring after such month.

(b) Individual attained age 22 prior to 1951 and has six quarters of coverage after 1950. The primary insurance amount of an individual who attained age 22 prior to 1951 and who has six quarters of coverage after 1950 is the larger of the following:

(1) The primary insurance amount as computed under paragraph (a) of this section, or

(2) The primary insurance amount as determined by use of the conversion table in § 404.203.

(c) All other cases. The primary insurance amount of all other individuals shall be determined by the use of the conversion table in § 404.203.

[16 F.R. 13041, Dec. 28, 1951, as amended at 17 F.R. 10284, Nov. 13, 1952; 29 F.R. 15510, Nov. 19, 1964]

§ 404.203 Use of conversion table to determine primary insurance

amount.

(a) Prior to effective date of Social Security Act Amendments of 1952. For the purpose of paragraphs (b) (2) and (c) of § 404.202, the primary insurance amount of an individual is the amount appearing in column II of the following table on the line on which in column I appears his primary insurance benefit as determined by $ 404.204. The average monthly wage of any individual shall, for purposes of section 203 (a) of the act (see § 404.402) be the amount appearing in column III of the following table on the line on which in column I appears his primary insurance benefit. CONVERSION TABLE

(b) Effect of Social Security Act Amendments of 1952. The Social Security Act Amendments of 1952 provide a new conversion table to determine the primary insurance amount of an individual. This new table, which appears as Appendix 1 to this subpart, is applied to monthly benefits payable under section 202 of the act for months after August 1952 and to lump sums payable under section 202 (i) of the act on the basis of deaths occurring after such month. Each primary insurance amount appearing in column II of this table is equal to the corresponding primary insurance amount under column Ia (both amounts being derived from the same range of primary insurance benefits appearing in column I) increased by 122 per centum or $5, whichever is the larger, and further increased, if such amount is not then a multiple of $0.10, to the next higher multiple of $0.10. For purposes of computing the maximum amount of benefits payable under section 203 (a) of the act with respect to the wages and self-employment income of an individual whose primary insurance amount is determined from column II, the average monthly wage of such individual shall be the average monthly wage in column III on the same line as appears his primary insurance amount.

[16 F.R. 13041, Dec. 28, 1951, as amended at 17 F.R. 989, Feb. 2, 1952; 17 F.R. 10284, Nov. 13, 1952]

§ 404.204 Determination of primary insurance benefit for conversion table. Except as provided in § 404.204a, for purposes of § 404.203 the primary insurance benefit of an individual shall be as follows:

(a) Individual entitled to primary insurance benefit on August 1950. If the individual was entitled to a primary insurance benefit (see § 403.301 of Regulations No. 3 (20 CFR, 1961 ed., Part 403)) for August 1950 his primary insurance benefit shall be the primary insurance benefit to which he was entitled for such month, except that if such individual is a World War II veteran (see § 404.1304) or he had rendered services for wages of $15 or more in August 1950, his primary insurance benefit shall be the larger of the following:

(1) The primary insurance benefit to which he was entitled for August 1940;

or

(2) The primary insurance benefit to which he was entitled for August 1950 as recomputed under section 209 (q) of the act in effect prior to the Social Security Act Amendments of 1950 (§ 403.304 of Regulations No. 3 (20 CFR, 1961 ed., Part 403)), or in the case of a World War II veteran as recomputed to include wage credits allowable for World War II service under § 404.1308. Such recomputation is to be made as though application has been filed therefor on August 31, 1950.

The primary insurance benefit determined under the preceding provisions of this paragraph shall, for purposes of § 404.203 (b), be redetermined to include wages deemed paid to an individual by reason of his active military or naval service of the United States on or after July 25, 1947, provided such wages are otherwise creditable under the provisions of Subpart N of this part.

(b) Individual died prior to September 1950. The primary insurance benefit of an individual who died prior to September 1950 is his primary insurance benefit as computed under the act in effect prior to the Social Security Act Amendments of 1950 (see § 403.301 et seq. of Regulations No. 3 (20 CFR, 1961 ed., Part 403)), except that if the individual served in the active military or naval service of the United States after September 15, 1940, his primary insurance benefit shall be computed so as to include wage credits for such service, provided they are otherwise creditable under the provisions of Subpart N of this part, but only if it results in a primary insurance benefit higher than that obtained under section 210 of the act in effect prior to the Social Security Act Amendments of 1950.