20 CFR § 234.53 - Computation of the lump-sum refund payment.

---
identifier: "/us/cfr/t20/s234.53"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "20 CFR § 234.53 - Computation of the lump-sum refund payment."
title_number: 20
title_name: "Employees' Benefits"
section_number: "234.53"
section_name: "Computation of the lump-sum refund payment."
chapter_name: "RAILROAD RETIREMENT BOARD"
subchapter_number: "B"
subchapter_name: "REGULATIONS UNDER THE RAILROAD RETIREMENT ACT"
part_number: "234"
part_name: "LUMP-SUM PAYMENTS"
positive_law: false
currency: "2026-04-05"
last_updated: "2026-04-05"
format_version: "1.1.0"
generator: "[email protected]"
authority: "45 U.S.C. 231f."
regulatory_source: "51 FR 3036, Jan. 23, 1986, unless otherwise noted."
cfr_part: "234"
---


# 234.53 Computation of the lump-sum refund payment.

(a) The lump-sum refund payment is calculated as follows:

(1) Combine the railroad employee's creditable earnings, including military service, under the Social Security Act and Railroad Retirement Act for each of the years 1951 through 1974;

(2) Determine the amount of the employee's creditable earnings in excess of the amounts for each year shown in the chart in paragraph (b) of this section;

(3) Multiply the results of paragraph (a)(2) of this section by the percentage shown in the chart in paragraph (b) of this section; and

(4) Add the results of paragraph (a)(3) of this section. The total is the amount of the lump-sum refund payment.

(b) *Chart for calculation of lump-sum refund payment.*

| Year | Amount | Percentage |
| --- | --- | --- |
| 1951-53 | $3,600 | 1.5 |
| 1954-56 | 4,200 | 2.0 |
| 1957-58 | 4,200 | 2.25 |
| 1959 | 4,800 | 2.5 |
| 1960-61 | 4,800 | 3.0 |
| 1962 | 4,800 | 3.125 |
| 1963-65 | 5,400 | 3.625 |
| 1966 | 6,600 | 4.2 |
| 1967 | 6,600 | 4.4 |
| 1968 | 7,800 | 3.3 |
| 1969-70 | 7,800 | 4.2 |
| 1971 | 7,800 | 4.6 |
| 1972 | 9,000 | 4.6 |
| 1973 | 10,800 | 4.85 |
| 1974 | 13,200 | 4.95 |