---
kind: "range"
citation: "20 C.F.R. §§ 404.231–404.233"
title: "20"
from: "404.231"
to: "404.233"
count: 3
url: "https://uscodex.org/cfr/20/404.231..404.233"
---

# §404.231. Steps in computing your primary insurance amount under the guaranteed alternative—general.


If you reach age 62 after 1978 but before 1984, we follow three major steps in finding your guaranteed alternative:

- (a) First, we compute your average monthly wage, as described in [§ 404.232](/cfr/20/404.232.md);
- (b) Second, we find the primary insurance amount that corresponds to your average monthly wage in the benefit table in appendix III.
- (c) Then we apply any automatic cost-of-living or ad hoc increases in primary insurance amounts that have become effective in or after the year you reached age 62.

# §404.232. Computing your average monthly wage under the guaranteed alternative.

- (a) **General.** With the exception described in [paragraph (b)](#b) of this section, we follow the rules in [§ 404.221](/cfr/20/404.221.md) to compute your average monthly wage.
- (b) **Exception.** We do not use any year after the year you reach age 61 as a computation base year in computing your average monthly wage for purposes of the guaranteed alternative.

# §404.233. Adjustment of your guaranteed alternative when you become entitled after age 62.

- (a) If you do not become entitled to benefits at the time you reach age 62, we adjust the guaranteed alternative computed for you under [§ 404.232](/cfr/20/404.232.md) as described in [paragraph (b)](#b) of this section.
- (b) To the primary insurance amount computed under the guaranteed alternative, we apply any automatic cost-of-living or ad hoc increases in primary insurance amounts that go into effect in the year you reach age 62 and in years up through the year you become entitled to benefits. (See appendix VI for a list of the percentage increases in primary insurance amounts since December 1978.)