Old-Age and Survivors Insurance: Retirement Test Experience

T HE old-age and survivors insurance program combines three types of protection for workers and their families-retirement protection for those between the ages of 65 and 75, annuities for those aged 75 or over, and survivor insurance, payable on the death of an insured worker at any age. The retirement test (or work clause) is applicable when the beneficiary is under age 75, both for retirement benefits and for survivor benefits. The test is that provision of the Social Security Act under which old-age and survivors insurance benefits are withheld from an otherwise eligible beneficiary if he (or the individual upon whose earnings benefits are based) performs substantial work in covered employment. This article considers the actual operating experience under the retirement test and gives a brief outline of its history.