Residual Lump-Sum Payment The railroad retirement system also provides, under certain conditions, a residual lump-sum death benefit which ensures that a railroad family receives at least as much in benefits as the employee paid in railroad retirement taxes before 1975.

To receive an occupational disability annuity, you must: have a current connection with the railroad industry, and; have 240 months of creditable railroad service, or have 120 months of creditable railroad service and be at least age 60, and; be "permanently disabled" for work in your "regular railroad occupation".

Disability annuities are not payable for any month in which the annuitant earns more than $1,050 in 2022 in any employment or self-employment, exclusive of work-related expenses. Withheld payments will be restored if earnings for 2022 are less than $13,125 after deduction of disability-related work expenses.

The spouse annuity formula is based on percentages of the employee's tier I and tier II amounts. The first tier of a spouse annuity, before any applicable reductions, is 50 percent of the railroad employee's unreduced tier I amount.

A widow(er), surviving divorced spouse, or remarried widow(er) whose annuity begins at full retirement age or later receives the full tier I amount unless the deceased employee received an annuity that was reduced for early retirement.

The first tier of a spouse annuity, before any applicable reductions, is 50 percent of the railroad employee's unreduced tier I amount. The second tier amount, before any reductions, is 45 percent of the employee's unreduced tier II amount.

U.S. Railroad Retirement Board Monthly annuities are payable to widow(er)s, remarried widow(er)s, surviving divorced spouses, children, grandchildren, students, and parents that meet eligibility requirements based on either age, disability or having a child in care.