Railroad Retirement Board
One-Time Economic
Recovery Payments
April 2009
The American Recovery and Reinvestment Act of 2009
(Recovery Act) was signed into law by President Obama on
contains a number of provisions that affect railroad
retirement annuitants and railroad workers. Among these is a provision for a
one-time economic recovery payment of $250 to be paid to most adults (including
disabled adult children) who receive railroad retirement benefits. The following questions and answers provide
information about these one-time payments.
1. Who will receive a one-time economic
recovery payment from the Railroad Retirement Board (RRB)?
Nearly 540,000 railroad retirement
beneficiaries will receive a one-time payment of $250 each. To receive a payment, the beneficiary’s
address of record must be in one of the 50 States, the
2. Are beneficiaries from other Federal
programs eligible for this one-time economic recovery payment?
Yes, individuals receiving certain
benefits from the U.S. Department of Veterans Affairs (VA) and the Social
Security Administration (SSA) may be eligible for these one-time payments.
3.
Are individuals entitled to more than a single one-time economic
recovery payment?
No, individuals may receive only one
$250 payment regardless of how many types of benefits they receive.
4.
Who decides whether I get a one-time economic recovery payment?
The RRB, VA and SSA will determine
who's eligible under their respective programs.
5. If I receive railroad retirement benefits
as well as social security benefits, Supplemental Security Income (SSI)
payments or VA benefits, who decides whether I get an economic recovery
payment?
If you receive benefits from the RRB
and another Federal agency, the RRB will determine if you are entitled to the
payment. Remember, you will receive only
one payment regardless of how many different benefits you currently receive.
6. When can I expect to receive my one-time
economic recovery payment?
We plan to pay all eligible railroad
retirement beneficiaries by late May 2009, so you should expect to receive your
payment no later than the first week of June 2009. The one-time payment will be a separate
payment, which will not be included in your regular monthly benefit payment.
7. How will I receive my one-time economic
recovery payment?
We will deliver your payment in the
same way we currently deliver your railroad retirement benefit. If you are enrolled in direct deposit, that
is how you will receive your one-time payment.
If we deliver your monthly benefit by check, we will deliver your
one-time payment by check.
8.
What must I do to receive my one-time economic recovery payment?
No action is necessary. We have all
the information we need to get your payment to you.
9.
My spouse and I both receive railroad retirement benefits; will we each
get a one-time recovery payment?
Yes, if you are married and both you
and your spouse are receiving benefits from the RRB, you will each get the
one-time payment.
10.
I became eligible for benefits in February 2009. Will I receive the
one-time economic recovery payment?
No. Only individuals eligible for
railroad retirement, social security, SSI or veteran’s disability benefits at
any time during the months of November 2008, December 2008, or January 2009 can
receive the one-time payment.
11.
Are children who receive railroad retirement benefits eligible for the
one-time economic recovery payment?
No, children under the age of 18 (19
if still in high school) who receive railroad retirement benefits are NOT
eligible for the one-time payment.
However, disabled adult children will receive a payment.
12.
Will the one-time economic recovery payment count as gross income for
Federal income tax purposes?
No, it will not. The amount of the one-time payment will not
appear on your RRB-1099 tax statement.
13.
Will the one-time economic recovery payment count as income when
determining eligibility for extra help with Medicare prescription drug plan
costs?
No, it will not.
14.
Will I receive a one-time economic recovery payment if I have a
delinquent Federal debt?
The law requires the U.S. Department
of the Treasury to offset the one-time payments to collect delinquent child
support and debts owed to State and Federal agencies.
15.
Will the one-time economic recovery payment change the amount or
delivery date of my regular railroad retirement benefit?
No, the one-time payment will have NO
effect on your regular railroad retirement benefit. We will deliver the one-time payment
separately from your regular benefit.
16.
If I have a representative payee, who will receive my one-time economic
recovery payment?
If you have a representative payee,
we will deliver your one-time payment to your representative payee. Your representative payee is required by law
to use the payment for your benefit.
17.
If I don’t receive my one-time economic recovery payment during the
first week of June, what should I do?
After
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