Social Security Law
 
[Code of Federal Regulations]
[Title 20, Volume 2, Parts 400 to 499]
[Revised as of April 1, 1997]
From the U.S. Government Printing Office via GPO Access
[CITE: 20CFR404]
 
[Page 334-495]
 
                        TITLE 20--EMPLOYEES' BENEFITS
 
                 CHAPTER III--SOCIAL SECURITY ADMINISTRATION
 
PART 404--FEDERAL OLD-AGE, SURVIVORS AND DISABILITY INSURANCE (1950-    )--Table of Contents
 
Subpart P--Determining Disability and Blindness
 
    Authority:  Secs. 202, 205(a), (b), and (d)-(h), 216(i), 221(a) and 
(i), 222(c), 223, 225, and 702(a)(5) of the Social Security Act (42 
U.S.C. 402, 405(a), (b), and (d)-(h), 416(i), 421(a) and (i), 422(c), 
423, 425, and 902(a)(5)); sec. 211(b), Pub. L. 104-193, 110 Stat. 2105, 
2189.
 
     Source:  45 FR 55584, Aug. 20, 1980, unless otherwise noted.
 
[[Page 335]]
 
                                 General
 
Sec. 404.1501  Scope of subpart.
 
    In order for you to become entitled to any benefits based upon 
disability or blindness or to have a period of disability established, 
you must be disabled or blind as defined in title II of the Social 
Security Act. This subpart explains how we determine whether you are 
disabled or blind. We discuss a period of disability in subpart D of 
this part. We have organized the rules in the following way.
    (a) We define general terms, then discuss who makes our disability 
determinations and state that disability determinations made under other 
programs are not binding on our determinations.
    (b) We explain the term disability and note some of the major 
factors that are considered in determining whether you are disabled in 
Secs. 404.1505 through 404.1510.
    (c) Sections 404.1512 through 404.1518 contain our rules on 
evidence. We explain your responsibilities for submitting evidence of 
your impairment, state what we consider to be acceptable sources of 
medical evidence, and describe what information should be included in 
medical reports.
    (d) Our general rules on evaluating disability if you are filing a 
new application are stated in Secs. 404.1520 through 404.1523. We 
describe the steps that we go through and the order in which they are 
considered.
    (e) Our rules on medical considerations are found in Secs. 404.1525 
through 404.1530. We explain in these rules--
    (1) The purpose of the Listing of Impairments found in appendix 1 of 
this subpart and how to use it;
    (2) What we mean by the term medical equivalence and how we 
determine medical equivalence;
    (3) The effect of a conclusion by your physician that you are 
disabled;
    (4) What we mean by symptoms, signs, and laboratory findings;
    (5) How we evaluate pain and other symptoms; and
    (6) The effect on your benefits if you fail to follow treatment that 
is expected to restore your ability to work, and how we apply the rule.
    (f) In Secs. 404.1545 through 404.1546 we explain what we mean by 
the term residual functional capacity, state when an assessment of 
residual functional capacity is required, and who may make it.
    (g) Our rules on vocational considerations are found in 
Secs. 404.1560 through 404.1569a. We explain when vocational factors 
must be considered along with the medical evidence, discuss the role of 
residual functional capacity in evaluating your ability to work, discuss 
the vocational factors of age, education, and work experience, describe 
what we mean by work which exists in the national economy, discuss the 
amount of exertion and the type of skill required for work, describe and 
tell how to use the Medical-Vocational Guidelines in appendix 2 of this 
subpart, and explain when, for purposes of applying the guidelines in 
appendix 2, we consider the limitations or restrictions imposed by your 
impairment(s) and related symptoms to be exertional, nonexertional, or a 
combination of both.
    (h) Our rules on substantial gainful activity are found in 
Secs. 404.1571 through 404.1574. These explain what we mean by 
substantial gainful activity and how we evaluate your work activity.
    (i) In Secs. 404.1577, 404.1578, and 404.1579, we explain the 
special rules covering disability for widows, widowers, and surviving 
divorced spouses for monthly benefits payable for months prior to 
January 1991, and in Secs. 404.1581 through 404.1587 we discuss 
disability due to blindness.
    (j) Our rules on when disability continues and stops are contained 
in Sec. 404.1579 and Secs. 404.1588 through 404.1598. We explain what 
your responsibilities are in telling us of any events that may cause a 
change in your disability status, when you may have a trial work period, 
and when we will review to see if you are still disabled. We also 
explain how we consider the issue of medical improvement (and the 
exceptions to medical improvement) in deciding whether you are still 
disabled.
 
[45 FR 55584, Aug. 20, 1980, as amended at 50 FR 50126, Dec. 6, 1985; 56 
FR 57941, Nov. 14, 1991; 57 FR 30120, July 8, 1992]
 
[[Page 336]]
 
Sec. 404.1502  General definitions and terms for this subpart.
 
     As used in the subpart--
    Medical sources refers to treating sources, sources of record, and 
consultative examiners for us. See Sec. 404.1513.
    Secretary means the Secretary of Health and Human Services.
    Source of record means a hospital, clinic or other source that has 
provided you with medical treatment or evaluation, as well as a 
physician or psychologist who has treated or evaluated you but does not 
have or did not have an ongoing treatment relationship with you.
    State agency means that agency of a State which has been designated 
by the State to carry out the disability or blindness determination 
function.
    Treating source means your own physician or psychologist who has 
provided you with medical treatment or evaluation and who has or has had 
an ongoing treatment relationship with you. Generally, we will consider 
that you have an ongoing treatment relationship with a physician or 
psychologist when the medical evidence establishes that you see or have 
seen the physician or psychologist with a frequency consistent with 
accepted medical practice for the type of treatment and evaluation 
required for your medical condition(s). We may consider a physician or 
psychologist who has treated you only a few times or only after long 
intervals (e.g., twice a year) to be your treating source if the nature 
and frequency of the treatment is typical for your condition(s). We will 
not consider a physician or psychologist to be your treating physician 
if your relationship with the physician or psychologist is not based on 
your need for treatment, but solely on your need to obtain a report in 
support of your claim for disability. In such a case, we will consider 
the physician or psychologist to be a consulting physician or 
psychologist.
    We or us refers to either the Social Security Administration or the 
State agency making the disability or blindness determination.
    You refers to the person who has applied for benefits or for a 
period of disability or is receiving benefits based on disability or 
blindness.
 
[56 FR 36954, Aug. 1, 1991]
 
                              Determinations
 
 Sec. 404.1503  Who makes disability and blindness determinations.
 
    (a) State agencies. State agencies make disability and blindness 
determinations for the Secretary for most persons living in the State. 
State agencies make these disability and blindness determinations under 
regulations containing performance standards and other administrative 
requirements relating to the disability and blindness determination 
function. States have the option of turning the function over to the 
Federal Government if they no longer want to make disability 
determinations. Also, the Secretary may take the function away from any 
State which has substantially failed to make disability and blindness 
determinations in accordance with these regulations. Subpart Q of this 
part contains the rules the States must follow in making disability and 
blindness determinations.
    (b) Social Security Administration. The Social Security 
Administration will make disability and blindness determinations for the 
Secretary for--
    (1) Any person living in a State which is not making for the 
Secretary any disability and blindness determinations or which is not 
making those determinations for the class of claimants to which that 
person belongs; and
    (2) Any person living outside the United States.
    (c) What determinations are authorized. The Secretary has authorized 
the State agencies and the Social Security Administration to make 
determinations about--
    (1) Whether you are disabled or blind;
    (2) The date your disability or blindness began; and
    (3) The date your disability or blindness stopped.
    (d) Review of State Agency determinations. On review of a State 
agency determination or redetermination of disability or blindness we 
may find that--
    (1) You are, or are not, disabled or blind, regardless of what the 
State agency found;
 
[[Page 337]]
 
    (2) Your disability or blindness began earlier or later than the 
date found by the State agency; and
    (3) Your disability or blindness stopped earlier or later than the 
date found by the State agency.
    (e) Initial determinations for mental impairments. An initial 
determination by a State agency or the Social Security Administration 
that you are not disabled (or a Social Security Administration review of 
a State agency's initial determination), in any case where there is 
evidence which indicates the existence of a mental impairment, will be 
made only after every reasonable effort has been made to ensure that a 
qualified psychiatrist or psychologist has completed the medical portion 
of the case review and any applicable residual functional capacity 
assessment. (See Sec. 404.1616 for the qualifications we consider 
necessary for a psychologist to be a psychological consultant and 
Sec. 404.1617 for what we consider reasonable effort.) If the services 
of qualified psychiatrists or psychologists cannot be obtained because 
of impediments at the State level, the Secretary may contract directly 
for the services. In a case where there is evidence of mental and 
nonmental impairments and a qualified psychologist serves as a 
psychological consultant, the psychologist will evaluate only the mental 
impairment, and a physician will evaluate the nonmental impairment. The 
overall determination of impairment severity in combined mental and 
nonmental impairment cases will be made by a medical consultant and not 
a psychological consultant unless the mental impairment alone would 
justify a finding of disability.
 
[46 FR 29204, May 29, 1981, as amended at 52 FR 33926, Sept. 9, 1987]
 
Sec. 404.1503a  Program integrity.
 
    We will not use in our program any individual or entity, except to 
provide existing medical evidence, who is currently excluded, suspended, 
or otherwise barred from participation in the Medicare or Medicaid 
programs, or any other Federal or Federally-assisted program; whose 
license to provide health care services is currently revoked or 
suspended by any State licensing authority pursuant to adequate due 
process procedures for reasons bearing on professional competence, 
professional conduct, or financial integrity; or who, until a final 
determination is made, has surrendered such a license while formal 
disciplinary proceedings involving professional conduct are pending. By 
individual or entity we mean a medical or psychological consultant, 
consultative examination provider, or diagnostic test facility. Also see 
Secs. 404.1519 and 404.1519g(b).
 
[56 FR 36954, Aug. 1, 1991]
 
Sec. 404.1504  Determinations by other organizations and agencies.
 
    A decision by any nongovernmental agency or any other governmental 
agency about whether you are disabled or blind is based on its rules and 
is not our decision about whether you are disabled or blind. We must 
make a disability or blindness determination based on social security 
law. Therefore, a determination made by another agency that you are 
disabled or blind is not binding on us.
 
                        Definition of Disability
 
Sec. 404.1505  Basic definition of disability.
 
    (a) The law defines disability as the inability to do any 
substantial gainful activity by reason of any medically determinable 
physical or mental impairmentich can be expected to result in death or 
which has lasted or can be expected to last for a continuous period of 
not less than 12 months. To meet this definition, you must have a severe 
impairment, which makes you unable to do your previous work or any other 
substantial gainful activity which exists in the national economy. To 
determine whether you are able to do any other work, we consider your 
residual functional capacity and your age, education, and work 
experience. We will use this definition of disability if you are 
applying for a period of disability, or disability insurance benefits as 
a disabled worker, or child's insurance benefits based on disability 
before age 22 or, with respect to disability benefits payable for months 
after December 1990, as a widow, widower, or surviving divorced spouse.
 
[[Page 338]]
 
    (b) There are different rules for determining disability for 
individuals who are statutorily blind. We discuss these in 
Secs. 404.1581 through 404.1587. There are also different rules for 
determining disability for widows, widowers, and surviving divorced 
spouses for monthly benefits for months prior to January 1991. We 
discuss these rules in Secs. 404.1577, 404.1578, and 404.1579.
 
[45 FR 55584, Aug. 20, 1980, as amended at 51 FR 10616, Mar. 28, 1986; 
57 FR 30120, July 8, 1992]
 
Sec. 404.1506  When we will not consider your impairment.
 
    (a) Permanent exclusion of felony-related impairment. In determining 
whether you are under a disability, we will not consider any physical or 
mental impairment, or any increase in severity (aggravation) of a 
preexisting impairment, which arises in connection with your commission 
of a felony after October 19, 1980, if you are subsequently convicted of 
this crime.Your subsequent conviction will invalidate any prior 
determination establishing disability if that determination was based 
upon any impairment, or aggravation, which we must exclude under this 
rule.
    (b) Limited use of impairment arising in prison. In determining 
whether you are under a disability for purposes of benefit payments, we 
will not consider any physical or mental impairment, or any increase in 
severity (aggravation) of a preexisting impairment, which arises in 
connection with your confinement in a jail, prison, or other penal 
institution or correctional facility for conviction of a felony 
committed after October 19, 1980. The exclusion of the impairment, or 
aggravation, applies in determining disability for benefits payable for 
any month during which you are confined. This rule does not preclude the 
establishment of a period of disability based upon the impairment or 
aggravation. You may become entitled to benefits upon release from 
prison provided that you apply and are under a disability at the time.
    (c) Felonious offenses. We will consider an offense a felony if--
    (1) It is a felony under applicable law; or
    (2) In a jurisdiction which does not classify any crime as a felony, 
it is an offense punishable by death or imprisonment for a term 
exceeding one year.
    (d) Confinement. In general, a jail, prison, or other penal 
institution or correctional facility is a facility which is under the 
control and jurisdiction of the agency in charge of the penal system or 
in which convicted criminals can be incarcerated. Confinement in such a 
facility continues as long as you are under a sentence of confinement 
and have not been released due to parole or pardon. You are considered 
confined even though you are temporarily or intermittently outside of 
the facility (e.g., on work release, attending school, or hospitalized).
 
[48 FR 5714, Feb. 8, 1983]
 
Sec. 404.1508  What is needed to show an impairment.
 
    If you are not doing substantial gainful activity, we always look 
first at your physical or mental impairment(s) to determine whether you 
are disabled or blind. Your impairment must result from anatomical, 
physiological, or psychological abnormalities which can be shown by 
medically acceptable clinical and laboratory diagnostic techniques. A 
physical or mental impairment must be established by medical evidence 
consisting of signs, symptoms, and laboratory findings, not only by your 
statement of symptoms (see Sec. 404.1527). (See Sec. 404.1528 for 
further information about what we mean by symptoms, signs, and 
laboratory findings.)
 
[45 FR 55584, Aug. 20, 1980, as amended at 56 FR 36954, Aug. 1, 1991]
 
Sec. 404.1509  How long the impairment must last.
 
    Unless your impairment is expected to result in death, it must have 
lasted or must be expected to last for a continuous period of at least 
12 months. We call this the duration requirement.
 
Sec. 404.1510  Meaning of substantial gainful activity.
 
    Substantial gainful activity means work that--
    (a) Involves doing significant and productive physical or mental 
duties; and
 
[[Page 339]]
 
    (b) Is done (or intended) for pay or profit.
    (See Sec. 404.1572 for further details about what we mean by 
substantial gainful activity.)
 
Sec. 404.1511  Definition of a disabling impairment.
 
    (a) Disabled workers, persons disabled since childhood and, for 
months after December 1990, disabled widows, widowers, and surviving 
divorced spouses. If you are entitled to disability cash benefits as a 
disabled worker, or to child's insurance benefits, or, for monthly 
benefits payable after December 1990, to widow's, widower's, or 
surviving divorced spouse's monthly benefits, a disabling impairment is 
an impairment (or combination of impairments) which, of itself, is so 
severe that it meets or equals a set of criteria in the Listing of 
Impairments in appendix 1 of this subpart or which, when considered with 
your age, education, and work experience, would result in a finding that 
you are disabled under Sec. 404.1594. In determining whether you have a 
disabling impairment, earnings are not considered.
    (b) Disabled widows, widowers, and surviving divorced spouses, for 
monthly benefits for months prior to January 1991. If you have been 
entitled to disability benefits as a disabled widow, widower, or 
surviving divorced spouse and we must decide whether you had a disabling 
impairment for any time prior to January 1991, a disabling impairment is 
an impairment (or combination of impairments) which, of itself, was so 
severe that it met or equaled a set of criteria in the Listing of 
Impairments in appendix 1 of this subpart, or results in a finding that 
you were disabled under Sec. 404.1579. In determining whether you had a 
disabling impairment, earnings are not considered.
 
[57 FR 30120, July 8, 1992]
 
                                Evidence
 
Sec. 404.1512  Evidence of your impairment.
 
    (a) General. In general, you have to prove to us that you are blind 
or disabled. Therefore, you must bring to our attention everything that 
shows that you are blind or disabled. This means that you must furnish 
medical and other evidence that we can use to reach conclusions about 
your medical impairment(s) and, if material to the determination of 
whether you are blind or disabled, its effect on your ability to work on 
a sustained basis. We will consider only impairment(s) you say you have 
or about which we receive evidence.
    (b) What we mean by ``evidence.'' Evidence is anything you or anyone 
else submits to us or that we obtain that relates to your claim. This 
includes, but is not limited to:
    (1) Objective medical evidence, that is, medical signs and 
laboratory findings as defined in Sec. 404.1528 (b) and (c);
    (2) Other evidence from medical sources, such as medical history, 
opinions, and statements about treatment you have received;
    (3) Statements you or others make about your impairment(s), your 
restrictions, your daily activities, your efforts to work, or any other 
relevant statements you make to medical sources during the course of 
examination or treatment, or to us during interviews, on applications, 
in letters, and in testimony in our administrative proceedings;
    (4) Information from other sources, as described in 
Sec. 404.1513(e);
    (5) Decisions by any governmental or nongovernmental agency about 
whether you are disabled or blind; and
    (6) At the administrative law judge and Appeals Council levels, 
certain findings, other than the ultimate determination about whether 
you are disabled, made by State agency medical or psychological 
consultants and other program physicians or psychologists, and opinions 
expressed by medical advisors based on their review of the evidence in 
your case record. See Sec. 404.1527(f) (2) and (3).
    (c) Your responsibility. You must provide medical evidence showing 
that you have an impairment(s) and how severe it is during the time you 
say that you are disabled. If we ask you, you must also provide evidence 
about:
    (1) Your age;
    (2) Your education and training;
    (3) Your work experience;
 
[[Page 340]]
 
    (4) Your daily activities both before and after the date you say 
that you became disabled;
    (5) Your efforts to work; and
    (6) Any other factors showing how your impairment(s) affects your 
ability to work. In Secs. 404.1560 through 404.1569, we discuss in more 
detail the evidence we need when we consider vocational factors.
    (d) Our responsibility. Before we make a determination that you are 
not disabled, we will develop your complete medical history for at least 
the 12 months preceding the month in which you file your application 
unless there is a reason to believe that development of an earlier 
period is necessary or unless you say that your disability began less 
than 12 months before you filed your application. We will make every 
reasonable effort to help you get medical reports from your own medical 
sources when you give us permission to request the reports.
    (1) ``Every reasonable effort'' means that we will make an initial 
request for evidence from your medical source and, at any time between 
10 and 20 calendar days after the initial request, if the evidence has 
not been received, we will make one followup request to obtain the 
medical evidence necessary to make a determination. The medical source 
will have a minimum of 10 calendar days from the date of our followup 
request to reply, unless our experience with that source indicates that 
a longer period is advisable in a particular case.
    (2) By ``complete medical history,'' we mean the records of your 
medical source(s) covering at least the 12 months preceding the month in 
which you file your application. If you say that your disability began 
less than 12 months before you filed your application, we will develop 
your complete medical history beginning with the month you say your 
disability began unless we have reason to believe your disability began 
earlier. If applicable, we will develop your complete medical history 
for the 12-month period prior to (1) the month you were last insured for 
disability insurance benefits (see Sec. 404.130), (2) the month ending 
the 7-year period you may have to establish your disability and you are 
applying for widow's or widower's benefits based on disability (see 
Sec. 404.335(c)(1)), or (3) the month you attain age 22 and you are 
applying for child's benefits based on disability (see Sec. 404.350(e)).
    (e) Recontacting medical sources. When the evidence we receive from 
your treating physician or psychologist or other medical source is 
inadequate for us to determine whether you are disabled, we will need 
additional information to reach a determination or a decision. To obtain 
the information, we will take the following actions.
    (1) We will first recontact your treating physician or psychologist 
or other medical source to determine whether the additional information 
we need is readily available. We will seek additional evidence or 
clarification from your medical source when the report from your medical 
source contains a conflict or ambiguity that must be resolved, the 
report does not contain all the necessary information, or does not 
appear to be based on medically acceptable clinical and laboratory 
diagnostic techniques. We may do this by requesting copies of your 
medical source's records, a new report, or a more detailed report from 
your medical source, including your treating source, or by telephoning 
your medical source. In every instance where medical evidence is 
obtained over the telephone, the telephone report will be sent to the 
source for review, signature and return.
    (2) We may not seek additional evidence or clarification from a 
medical source when we know from past experience that the source either 
cannot or will not provide the necessary findings.
    (f) Need for consultative examination. If the information we need is 
not readily available from the records of your medical treatment source, 
or we are unable to seek clarification from your medical source, we will 
ask you to attend one or more consultative examinations at our expense. 
See Secs. 404.1517 through 404.1519t for the rules governing the 
consultative examination process. Generally, we will not request a 
consultative examination until we have made every reasonable effort to 
obtain evidence from your own medical sources. However, in some 
instances, such as when a source is known to be unable to
 
[[Page 341]]
 
provide certain tests or procedures or is known to be nonproductive or 
uncooperative, we may order a consultative examination while awaiting 
receipt of medical source evidence. We will not evaluate this evidence 
until we have made every reasonable effort to obtain evidence from your 
medical sources.
 
[56 FR 36954, Aug. 1, 1991]
 
Sec. 404.1513  Medical evidence of your impairment.
 
    (a) Acceptable sources. We need reports about your impairments from 
acceptable medical sources. Acceptable medical sources are--
    (1) Licensed physicians;
    (2) Licensed osteopaths;
    (3) Licensed or certified psychologists;
    (4) Licensed optometrists for the measurement of visual acuity and 
visual fields (we may need a report from a physician to determine other 
aspects of eye diseases); and
    (5) Persons authorized to send us a copy or summary of the medical 
records of a hospital, clinic, sanitorium, medical institution, or 
health care facility. Generally, the copy or summary should be certified 
as accurate by the custodian or by any authorized employee of the Social 
Security Administration, Veterans' Administration, or State agency. 
However, we will not return an uncertified copy or summary for 
certification unless there is some question about the document.
    (b) Medical reports. Medical reports should include--
    (1) Medical history;
    (2) Clinical findings (such as the results of physical or mental 
status examinations);
    (3) Laboratory findings (such as blood pressure, x-rays);
    (4) Diagnosis (statement of disease or injury based on its signs and 
symptoms);
    (5) Treatment prescribed with response, and prognosis; and
    (6) A statement about what you can still do despite your 
impairment(s) based on the medical source's findings on the factors 
under paragraphs (b)(1) through (b)(5) of this section (except in 
statutory blindness claims). Although we will request a medical source 
statement about what you can still do despite your impairment(s), the 
lack of the medical source statement will not make the report 
incomplete. See Sec. 404.1527.
    (c) Statements about what you can still do. Statements about what 
you can still do (based on the medical source's findings on the factors 
under paragraphs (b)(1) through (b)(5) of this section) should describe, 
but are not limited to, the kinds of physical and mental capabilities 
listed below. See Secs. 404.1527 and 404.1545(c).
    (1) The medical source's opinion about your ability, despite your 
impairment(s), to do work-related activities such as sitting, standing, 
walking, lifting, carrying, handling objects, hearing, speaking, and 
traveling; and
    (2) In cases of mental impairment(s), the medical source's opinion 
about your ability to understand, to carry out and remember 
instructions, and to respond appropriately to supervision, coworkers, 
and work pressures in a work setting.
    (d) Completeness. The medical evidence, including the clinical and 
laboratory findings, must be complete and detailed enough to allow us to 
make a determination about whether you are disabled or blind. It must 
allow us to determine--
    (1) The nature and limiting effects of your impairment(s) for any 
period in question;
    (2) The probable duration of your impairment; and
    (3) Your residual functional capacity to do work-related physical 
and mental activities.
    (e) Information from other sources. Information from other sources 
may also help us to understand how your impairment affects your ability 
to work. Other sources include--
    (1) Public and private social welfare agencies;
    (2) Observations by non-medical sources; and
    (3) Other practitioners (for example, naturopaths, chiropractors, 
audiologists, etc.).
 
[45 FR 55584, Aug. 20, 1980, as amended at 56 FR 36955, Aug. 1, 1991]
 
[[Page 342]]
 
Sec. 404.1514  When we will purchase existing evidence.
 
    We need specific medical evidence to determine whether you are 
disabled or blind. You are responsible for providing that evidence. 
However, we will pay physicians not employed by the Federal government 
and other non-Federal providers of medical services for the reasonable 
cost of providing us with existing medical evidence that we need and ask 
for after November 30, 1980.
 
[46 FR 45757, Sept. 15, 1981]
 
Sec. 404.1515  Where and how to submit evidence.
 
    You may give us evidence about your impairment at any of our offices 
or at the office of any State agency authorized to make disability 
determinations. You may also give evidence to one of our employees 
authorized to accept evidence at another place. For more information 
about this, see subpart H of this part.
 
Sec. 404.1516  If you fail to submit medical and other evidence.
 
    If you do not give us the medical and other evidence that we need 
and request, we will have to make a decision based on information 
available in your case. We will not excuse you from giving us evidence 
because you have religious or personal reasons against medical 
examinations, tests, or treatment.
 
Sec. 404.1517  Consultative examination at our expense.
 
    If your medical sources cannot or will not give us sufficient 
medical evidence about your impairment for us to determine whether you 
are disabled or blind, we may ask you to have one or more physical or 
mental examinations or tests. We will pay for these examinations. 
However, we will not pay for any medical examination arranged by you or 
your representative without our advance approval. If we arrange for the 
examination or test, we will give you reasonable notice of the date, 
time, and place the examination or test will be given, and the name of 
the person or facility who will do it. We will also give the examiner 
any necessary background information about your condition.
 
[56 FR 36956, Aug. 1, 1991]
 
Sec. 404.1518  If you do not appear at a consultative examination.
 
    (a) General. If you are applying for benefits and do not have a good 
reason for failing or refusing to take part in a consultative 
examination or test which we arrange for you to get information we need 
to determine your disability or blindness, we may find that you are not 
disabled or blind. If you are already receiving benefits and do not have 
a good reason for failing or refusing to take part in a consultative 
examination or test which we arranged for you, we may determine that 
your disability or blindness has stopped because of your failure or 
refusal. Therefore, if you have any reason why you cannot go for the 
scheduled appointment, you should tell us about this as soon as possible 
before the examination date. If you have a good reason, we will schedule 
another examination. We will consider your physical, mental, 
educational, and linguistic limitations (including any lack of facility 
with the English language) when determining if you have a good reason 
for failing to attend a consultative examination.
    (b) Examples of good reasons for failure to appear. Some examples of 
what we consider good reasons for not going to a scheduled examination 
include--
    (1) Illness on the date of the scheduled examination or test;
    (2) Not receiving timely notice of the scheduled examination or 
test, or receiving no notice at all;
    (3) Being furnished incorrect or incomplete information, or being 
given incorrect information about the physician involved or the time or 
place of the examination or test, or;
    (4) Having had death or serious illness occur in your immediate 
family.
    (c) Objections by your physician. If any of your treating physicians 
tell you that you should not take the examination or test, you should 
tell us at once. In many cases, we may be able to get the information we 
need in another
 
[[Page 343]]
 
way. Your physician may agree to another type of examination for the 
same purpose.
 
[45 FR 55584, Aug. 20, 1980, as amended at 59 FR 1635, Jan. 12, 1994]
 
Standards To Be Used in Determining When a Consultative Examination Will 
        Be Obtained in Connection With Disability Determinations
 
Sec. 404.1519  The consultative examination.
 
    A consultative examination is a physical or mental examination or 
test purchased for you at our request and expense from a treating 
physician or psychologist, another source of record, or an independent 
source, including a pediatrician when appropriate. The decision to 
purchase a consultative examination will be made on an individual case 
basis in accordance with the provisions of Secs. 404.1519a through 
404.1519f. Selection of the source for the examination will be 
consistent with the provisions of Sec. 404.1503a and Secs. 404.1519g 
through 404.1519j. The rules and procedures for requesting consultative 
examinations set forth in Secs. 404.1519a and 404.1519b are applicable 
at the reconsideration and hearing levels of review, as well as the 
initial level of determination.
 
[56 FR 36956, Aug. 1, 1991]
 
Sec. 404.1519a  When we will purchase a consultative examination and how 
          we will use it.
 
    (a)(1) General. The decision to purchase a consultative examination 
for you will be made after we have given full consideration to whether 
the additional information needed (e.g., clinical findings, laboratory 
tests, diagnosis, and prognosis) is readily available from the records 
of your medical sources. See Sec. 404.1512 for the procedures we will 
follow to obtain evidence from your medical sources. Before purchasing a 
consultative examination, we will consider not only existing medical 
reports, but also the disability interview form containing your 
allegations as well as other pertinent evidence in your file.
    (2) When we purchase a consultative examination, we will use the 
report from the consultative examination to try to resolve a conflict or 
ambiguity if one exists. We will also use a consultative examination to 
secure needed medical evidence the file does not contain such as 
clinical findings, laboratory tests, a diagnosis or prognosis necessary 
for decision.
    (b) Situations requiring a consultative examination. A consultative 
examination may be purchased when the evidence as a whole, both medical 
and nonmedical, is not sufficient to support a decision on your claim. 
Other situations, including but not limited to the situations listed 
below, will normally require a consultative examination:
    (1) The additional evidence needed is not contained in the records 
of your medical sources;
    (2) The evidence that may have been available from your treating or 
other medical sources cannot be obtained for reasons beyond your 
control, such as death or noncooperation of a medical source;
    (3) Highly technical or specialized medical evidence that we need is 
not available from your treating or other medical sources;
    (4) A conflict, inconsistency, ambiguity or insufficiency in the 
evidence must be resolved, and we are unable to do so by recontacting 
your medical source; or
    (5) There is an indication of a change in your condition that is 
likely to affect your ability to work, but the current severity of your 
impairment is not established.
 
[56 FR 36956, Aug. 1, 1991]
 
Sec. 404.1519b  When we will not purchase a consultative examination.
 
    We will not purchase a consultative examination in situations 
including, but not limited to, the following situations:
    (a) In period of disability and disability insurance benefit claims, 
when you do not meet the insured status requirement in the calendar 
quarter you allege you became disabled or later and there is no 
possibility of establishing an earlier onset;
    (b) In claims for widow's or widower's benefits based on disability, 
when your alleged month of disability is after the end of the 7-year 
period specified in
 
[[Page 344]]
 
Sec. 404.335(c)(1) and there is no possibility of establishing an 
earlier onset date, or when the 7-year period expired in the past and 
there is no possibility of establishing an onset date prior to the date 
the 7-year period expired;
    (c) In disability insurance benefit claims, when your insured status 
expired in the past and there is no possibility of establishing an onset 
date prior to the date your insured status expired;
    (d) When any issues about your actual performance of substantial 
gainful activity or gainful activity have not been resolved;
    (e) In claims for child's benefits based on disability, when it is 
determined that your alleged disability did not begin before the month 
you attained age 22, and there is no possibility of establishing an 
onset date earlier than the month in which you attained age 22;
    (f) In claims for child's benefits based on disability that are 
filed concurrently with the insured individual's claim and entitlement 
cannot be established for the insured individual;
    (g) In claims for child's benefits based on disability where 
entitlement is precluded based on other nondisability factors.
 
[56 FR 36956, Aug. 1, 1991]
 
        Standards for the Type of Referral and for Report Content
 
Sec. 404.1519f  Type of purchased examinations.
 
    We will purchase only the specific examinations and tests we need to 
make a determination in your claim. For example, we will not authorize a 
comprehensive medical examination when the only evidence we need is a 
special test, such as an X-ray, blood studies, or an electrocardiogram.
 
[56 FR 36956, Aug. 1, 1991]
 
Sec. 404.1519g  Who we will select to perform a consultative 
          examination.
 
    (a) We will purchase a consultative examination only from a 
qualified medical source. The medical source may be your own physician 
or psychologist, or another source. If you are a child, the medical 
source we choose may be a pediatrician. For a more complete list of 
medical sources, see Sec. 404.1513(a).
    (b) By ``qualified,'' we mean that the medical source must be 
currently licensed in the State and have the training and experience to 
perform the type of examination or test we will request; the medical 
source must not be barred from participation in our programs under the 
provisions of Sec. 404.1503a. The medical source must also have the 
equipment required to provide an adequate assessment and record of the 
existence and level of severity of your alleged impairments.
    (c) The physician or psychologist we choose may use support staff to 
help perform the consultative examination. Any such support staff (e.g., 
X-ray technician, nurse) must meet appropriate licensing or 
certification requirements of the State. See Sec. 404.1503a.
 
[56 FR 36957, Aug. 1, 1991]
 
Sec. 404.1519h  Your treating physician or psychologist.
 
    When in our judgment your treating physician or psychologist is 
qualified, equipped, and willing to perform the additional examination 
or tests for the fee schedule payment, and generally furnishes complete 
and timely reports, your treating physician or psychologist will be the 
preferred source to do the purchased examination. Even if only a 
supplemental test is required, your treating physician or psychologist 
is ordinarily the preferred source.
 
[56 FR 36957, Aug. 1, 1991]
 
Sec. 404.1519i  Other sources for consultative examinations.
 
    We will use a source other than your treating physician or 
psychologist for a purchased examination or test in situations 
including, but not limited to, the following situations:
    (a) Your treating physician or psychologist prefers not to perform 
such an examination or does not have the equipment to provide the 
specific data needed;
    (b) There are conflicts or inconsistencies in your file that cannot 
be resolved by going back to your treating physician or psychologist;
    (c) You prefer a source other than your treating physician or 
psychologist
 
[[Page 345]]
 
and have a good reason for your preference;
    (d) We know from prior experience that your treating physician or 
psychologist may not be a productive source, e.g., he or she has 
consistently failed to provide complete or timely reports.
 
[56 FR 36957, Aug. 1, 1991]
 
Sec. 404.1519j  Objections to the designated physician or psychologist.
 
    You or your representative may object to your being examined by a 
designated physician or psychologist. If there is a good reason for the 
objection, we will schedule the examination with another physician or 
psychologist. A good reason may be that the consultative examination 
physician or psychologist had previously represented an interest adverse 
to you. For example, the physician or psychologist may have represented 
your employer in a workers' compensation case or may have been involved 
in an insurance claim or legal action adverse to you. Other things we 
will consider include: the presence of a language barrier, the 
physician's or psychologist's office location (e.g., 2nd floor, no 
elevator), travel restrictions, and whether the physician or 
psychologist had examined you in connection with a previous disability 
determination or decision that was unfavorable to you. If your objection 
is because a physician or psychologist allegedly ``lacks objectivity'' 
in general, but not in relation to you personally, we will review the 
allegations. See Sec. 404.1519s. To avoid a delay in processing your 
claim, the consultative examination in your case will be changed to 
another physician or psychologist while a review is being conducted. We 
will handle any objection to use of the substitute physician or 
psychologist in the same manner. However, if we had previously conducted 
such a review and found that the reports of the consultative physician 
or psychologist in question conformed to our guidelines, we will not 
change your examination.
 
[56 FR 36957, Aug. 1, 1991]
 
Sec. 404.1519k  Purchase of medical examinations, laboratory tests, and 
          other services.
 
    We may purchase medical examinations, including psychiatric and 
psychological examinations, X-rays and laboratory tests (including 
specialized tests such as pulmonary function studies, 
electrocardiograms, stress tests, etc.) from a licensed physician or 
psychologist, hospital or clinic.
    (a) The rate of payment to be used for purchasing medical or other 
services necessary to make determinations of disability may not exceed 
the highest rate paid by Federal or public agencies in the State for the 
same or similar types of service. See Secs. 404.1624 and 404.1626.
    (b) If a physician's bill or a request for payment for a physician's 
services includes a charge for a laboratory test for which payment may 
be made under this part, the amount payable with respect to the test 
shall be determined as follows:
    (1) If the bill or request for payment indicates that the test was 
personally performed or supervised by the physician who submitted the 
bill (or for whose services the request for payment was made) or by 
another physician with whom that physician shares his or her practice, 
the payment will be based on the physician's usual and customary charge 
for the test or the rates of payment which the State uses for purchasing 
such services, whichever is the lesser amount.
    (2) If the bill or request for payment indicates that the test was 
performed by an independent laboratory, the amount of reimbursement will 
not exceed the billed cost of the independent laboratory or the rate of 
payment which the State uses for purchasing such services, whichever is 
the lesser amount. A nominal payment may be made to the physician for 
collecting, handling and shipping a specimen to the laboratory if the 
physician bills for such a service. The total reimbursement may not 
exceed the rate of payment which the State uses for purchasing such 
services.
    (c) The State will assure that it can support the rate of payment it 
uses. The State shall also be responsible for monitoring and overseeing 
the rate of
 
[[Page 346]]
 
payment it uses to ensure compliance with paragraphs (a) and (b) of this 
section.
 
[56 FR 36957, Aug. 1, 1991]
 
Sec. 404.1519m  Diagnostic tests or procedures.
 
    We will request the results of any diagnostic tests or procedures 
that have been performed as part of a workup by your treating physician 
or psychologist or other medical source and will use the results to help 
us evaluate impairment severity or prognosis. However, we will not order 
diagnostic tests or procedures that involve significant risk to you, 
such as myelograms, arteriograms, or cardiac catheterizations for the 
evaluation of disability under the Social Security program. Also, a 
State agency medical consultant must approve the ordering of any 
diagnostic test or procedure when there is a chance it may involve 
significant risk. The responsibility for deciding whether to perform the 
examination rests with the consultative examining physician or 
psychologist.
 
[56 FR 36957, Aug. 1, 1991]
 
Sec. 404.1519n  Informing the examining physician or psychologist of 
          examination scheduling, report content, and signature 
          requirements.
 
    The physicians or psychologists who perform consultative 
examinations will have a good understanding of our disability programs 
and their evidentiary requirements. They will be made fully aware of 
their responsibilities and obligations regarding confidentiality as 
described in Sec. 401.105(e). We will fully inform consulting physicians 
or psychologists at the time we first contact them, and at subsequent 
appropriate intervals, of the following obligations:
    (a) In scheduling full consultative examinations, sufficient time 
should be allowed to permit the examining physician or psychologist to 
take a case history and perform the examination, including any needed 
tests. The following minimum scheduling intervals (i.e., time set aside 
for the individual, not the actual duration of the consultative 
examination) should be used.
    (1) Comprehensive general medical examination--at least 30 minutes;
    (2) Comprehensive musculoskeletal or neurological examination--at 
least 20 minutes;
    (3) Comprehensive psychiatric examination--at least 40 minutes;
    (4) Psychological examination--at least 60 minutes (Additional time 
may be required depending on types of psychological tests administered); 
and
    (5) All others--at least 30 minutes, or in accordance with accepted 
medical practices.
 
 
We recognize that actual practice will dictate that some examinations 
may require longer scheduling intervals depending on the circumstances 
in a particular situation. We also recognize that these minimum 
intervals may have to be adjusted to allow for those claimants who do 
not attend their scheduled examination. The purpose of these minimum 
scheduling timeframes is to ensure that such examinations are complete 
and that sufficient time is made available to obtain the information 
needed to make an accurate determination in your case. State agencies 
will monitor the scheduling of examinations (through their normal 
consultative examination oversight activities) to ensure that any 
overscheduling is avoided, as overscheduling may lead to examinations 
that are not thorough.
    (b) Report content. The reported results of your medical history, 
examination, requested laboratory findings, discussions and conclusions 
must conform to accepted professional standards and practices in the 
medical field for a complete and competent examination. The facts in a 
particular case and the information and findings already reported in the 
medical and other evidence of record will dictate the extent of detail 
needed in the consultative examination report for that case. Thus, the 
detail and format for reporting the results of a purchased examination 
will vary depending upon the type of examination or testing requested. 
The reporting of information will differ from one type of examination to 
another when the requested examination relates to the performance of 
tests such as ventilatory function tests, treadmill exercise tests, or 
audiological tests. The medical report must be complete
 
[[Page 347]]
 
enough to help us determine the nature, severity, and duration of the 
impairment, and residual functional capacity. The report should reflect 
your statements of your symptoms, not simply the physician's or 
psychologist's statements or conclusions. The examining physician's or 
psychologist's report of the consultative examination should include the 
objective medical facts as well as observations and opinions.
    (c) Elements of a complete consultative examination. A complete 
consultative examination is one which involves all the elements of a 
standard examination in the applicable medical specialty. When the 
report of a complete consultative examination is involved, the report 
should include the following elements:
    (1) Your major or chief complaint(s);
    (2) A detailed description, within the area of specialty of the 
examination, of the history of your major complaint(s);
    (3) A description, and disposition, of pertinent ``positive'' and 
``negative'' detailed findings based on the history, examination and 
laboratory tests related to the major complaint(s), and any other 
abnormalities or lack thereof reported or found during examination or 
laboratory testing;
    (4) The results of laboratory and other tests (e.g., X-rays) 
performed according to the requirements stated in the Listing of 
Impairments (see appendix 1 of this subpart P);
    (5) The diagnosis and prognosis for your impairment(s);
    (6) A statement about what you can still do despite your 
impairment(s), unless the claim is based on statutory blindness. This 
statement should describe the opinion of the consultative physician or 
psychologist about your ability, despite your impairment(s), to do work-
related activities such as sitting, standing, walking, lifting, 
carrying, handling objects, hearing, speaking, and traveling; and, in 
cases of mental impairment(s), the opinion of the consultative physician 
or psychologist about your ability to understand, to carry out and 
remember instructions, and to respond appropriately to supervision, 
coworkers and work pressures in a work setting; and
    (7) In addition, the consultative physician or psychologist will 
consider, and provide some explanation or comment on, your major 
complaint(s) and any other abnormalities found during the history and 
examination or reported from the laboratory tests. The history, 
examination, evaluation of laboratory test results, and the conclusions 
will represent the information provided by the physician or psychologist 
who signs the report.
    (d) When a complete consultative examination is not required. When 
the evidence we need does not require a complete consultative 
examination (for example, we need only a specific laboratory test result 
to complete the record), we may not require a report containing all of 
the elements in paragraph (c).
    (e) Signature requirements. All consultative examination reports 
will be personally reviewed and signed by the physician or psychologist 
who actually performed the examination. This attests to the fact that 
the physician or psychologist doing the examination or testing is solely 
responsible for the report contents and for the conclusions, 
explanations or comments provided with respect to the history, 
examination and evaluation of laboratory test results. The signature of 
the examining physician or psychologist on a report annotated ``not 
proofed'' or ``dictated but not read'' is not acceptable. A rubber stamp 
signature of a physician or psychologist or the physician's or 
psychologist's signature entered by any other person is not acceptable.
 
[56 FR 36958, Aug. 1, 1991]
 
Sec. 404.1519o  When a properly signed consultative examination report 
          has not been received.
 
    If a consultative examination report is received unsigned or 
improperly signed we will take the following action.
    (a) When we will make determinations and decisions without a 
properly signed report. We will make a determination or decision in the 
circumstances specified in paragraphs (a)(1) and (a)(2) of this section 
without waiting for a properly signed consultative examination report. 
After we have made the determination or decision, we will obtain a
 
[[Page 348]]
 
properly signed report and include it in the file unless the physician 
or psychologist who performed the original consultative examination has 
died.
    (1) Continuous period of disability allowance with an onset date as 
alleged or earlier than alleged; or
    (2) Continuance of disability.
    (b) When we will not make determinations and decisions without a 
properly signed report. We will not use an unsigned or improperly signed 
consultative examination report to make the determinations or decisions 
specified in paragraphs (b)(1), (b)(2), (b)(3), and (b)(4) of this 
section. When we need a properly signed consultative examination report 
to make these determinations or decisions, we must obtain such a report. 
If the signature of the physician or psychologist who performed the 
original examination cannot be obtained because the physician or 
psychologist is out of the country for an extended period of time, on an 
extended vacation, seriously ill, deceased, or for any other reason, the 
consultative examination will be rescheduled with another physician or 
psychologist.
    (1) Denial; or
    (2) Cessation; or
    (3) Allowance of a period of disability which has ended; or
    (4) Allowance with an onset date later than alleged.
 
[56 FR 36958, Aug. 1, 1991]
 
Sec. 404.1519p  Reviewing reports of consultative examinations.
 
    (a) We will review the report of the consultative examination to 
determine whether the specific information requested has been furnished. 
We will consider the following factors in reviewing the report:
    (1) Whether the report provides evidence which serves as an adequate 
basis for decisionmaking in terms of the impairment it assesses;
    (2) Whether the report is internally consistent; Whether all the 
diseases, impairments and complaints described in the history are 
adequately assessed and reported in the clinical findings; Whether the 
conclusions correlate the findings from your medical history, clinical 
examination and laboratory tests and explain all abnormalities;
    (3) Whether the report is consistent with the other information 
available to us within the specialty of the examination requested; 
Whether the report fails to mention an important or relevant complaint 
within that specialty that is noted in other evidence in the file (e.g., 
your blindness in one eye, amputations, pain, alcoholism, depression);
    (4) Whether this is an adequate report of examination as compared to 
standards set out in the course of a medical education; and
    (5) Whether the report is properly signed.
    (b) If the report is inadequate or incomplete, we will contact the 
examining consultative physician or psychologist, give an explanation of 
our evidentiary needs, and ask that the physician or psychologist 
furnish the missing information or prepare a revised report.
    (c) With your permission, or where the examination discloses new 
diagnostic information or test results that reveal potentially life-
threatening situations, we will refer the consultative examination 
report to your treating physician or psychologist. When we refer the 
consultative examination report to your treating physician or 
psychologist without your permission, we will notify you that we have 
done so.
    (d) We will perform ongoing special management studies on the 
quality of consultative examinations purchased from major medical 
sources and the appropriateness of the examinations authorized.
    (e) We will take steps to ensure that consultative examinations are 
scheduled only with medical sources who have access to the equipment 
required to provide an adequate assessment and record of the existence 
and level of severity of your alleged impairments.
 
[56 FR 36959, Aug. 1, 1991]
 
Sec. 404.1519q  Conflict of interest.
 
    All implications of possible conflict of interest between medical or 
psychological consultants and their medical or psychological practices 
will be avoided. Such consultants are not only those physicians and 
psychologists who work for us directly but are also those who do review 
and adjudication work
 
[[Page 349]]
 
in the State agencies. Physicians and psychologists who work for us 
directly as employees or under contract will not work concurrently for a 
State agency. Physicians and psychologists who do review work for us 
will not perform consultative examinations for us without our prior 
approval. In such situations, the physician or psychologist will 
disassociate himself or herself from further involvement in the case and 
will not participate in the evaluation, decision, or appeal actions. In 
addition, neither they, nor any member of their families, will acquire 
or maintain, either directly or indirectly, any financial interest in a 
medical partnership, corporation, or similar relationship in which 
consultative examinations are provided. Sometimes physicians and 
psychologists who do review work for us will have prior knowledge of a 
case; for example, when the claimant was a patient. Where this is so, 
the physician or psychologist will not participate in the review or 
determination of the case. This does not preclude the physician or 
psychologist from submitting medical evidence based on treatment or 
examination of the claimant.
 
[56 FR 36959, Aug. 1, 1991]
 
             Authorizing and Monitoring the Referral Process
 
Sec. 404.1519s  Authorizing and monitoring the consultative examination.
 
    (a) Day-to-day responsibility for the consultative examination 
process rests with the State agencies that make disability 
determinations for us.
    (b) The State agency will maintain a good working relationship with 
the medical community in order to recruit sufficient numbers of 
physicians and other providers of medical services to ensure ready 
availability of consultative examination providers.
    (c) Consistent with Federal and State laws, the State agency 
administrator will work to achieve appropriate rates of payment for 
purchased medical services.
    (d) Each State agency will be responsible for comprehensive 
oversight management of its consultative examination program, with 
special emphasis on key providers.
    (e) A key consultative examination provider is a provider that meets 
at least one of the following conditions:
    (1) Any consultative examination provider with an estimated annual 
billing to the Social Security disability programs of at least $100,000; 
or
    (2) Any consultative examination provider with a practice of 
medicine, osteopathy, or psychology directed primarily towards 
evaluation examinations rather than the treatment of patients; or
    (3) Any consultative examination provider that does not meet the 
above criteria, but is one of the top five consultative examination 
providers in the State by dollar volume, as evidenced by prior year 
data.
    (f) State agencies have flexibility in managing their consultative 
examination programs, but at a minimum will provide:
    (1) An ongoing active recruitment program for consultative 
examination providers;
    (2) A process for orientation, training, and review of new 
consultative examination providers, with respect to SSA's program 
requirements involving consultative examination report content and not 
with respect to medical techniques;
    (3) Procedures for control of scheduling consultative examinations;
    (4) Procedures to ensure that close attention is given to specific 
evaluation issues involved in each case;
    (5) Procedures to ensure that only required examinations and tests 
are authorized in accordance with the standards set forth in this 
subpart;
    (6) Procedures for providing medical or supervisory approval for the 
authorization or purchase of consultative examinations and for 
additional tests or studies requested by consulting physicians and 
psychologists. This includes physician approval for the ordering of any 
diagnostic test or procedure where the question of significant risk to 
the claimant/beneficiary might be raised. See Sec. 404.1519m.
    (7) Procedures for the ongoing review of consultative examination 
results to ensure compliance with written guidelines;
 
[[Page 350]]
 
    (8) Procedures to encourage active participation by physicians in 
the consultative examination oversight program;
    (9) Procedures for handling complaints;
    (10) Procedures for evaluating claimant reactions to key providers; 
and
    (11) A program of systematic, onsite reviews of key providers that 
will include annual onsite reviews of such providers when claimants are 
present for examinations. This provision does not contemplate that such 
reviews will involve participation in the actual examinations but, 
rather, offer an opportunity to talk with claimants at the provider's 
site before and after the examination and to review the provider's 
overall operation.
    (g) The State agencies will cooperate with us when we conduct 
monitoring activities in connection with their oversight management of 
their consultative examination programs.
 
[56 FR 36959, Aug. 1, 1991]
 
           Procedures To Monitor the Consultative Examination
 
Sec. 404.1519t  Consultative examination oversight.
 
    (a) We will ensure that referrals for consultative examinations and 
purchases of consultative examinations are made in accordance with our 
policies. We will also monitor both the referral processes and the 
product of the consultative examinations obtained. This monitoring may 
include reviews by independent medical specialists under direct contract 
with SSA.
    (b) Through our regional offices, we will undertake periodic 
comprehensive reviews of each State agency to evaluate each State's 
management of the consultative examination process. The review will 
involve visits to key providers, with State staff participating, 
including a program physician when the visit will deal with medical 
techniques or judgment, or factors that go to the core of medical 
professionalism.
    (c) We will also perform ongoing special management studies of the 
quality of consultative examinations purchased from key providers and 
other sources and the appropriateness of the examinations authorized.
 
[56 FR 36960, Aug. 1, 1991]
 
                        Evaluation of Disability
 
Sec. 404.1520  Evaluation of disability in general.
 
    (a) Steps in evaluating disability. We consider all evidence in your 
case record when we make a determination or decision whether you are 
disabled. When you file a claim for a period of disability and/or 
disability insurance benefits or for child's benefits based on 
disability, we use the following evaluation process. If you are doing 
substantial gainful activity, we will determine that you are not 
disabled. If you are not doing substantial gainful activity, we will 
first consider the effect of your physical or mental impairment; if you 
have more than one impairment, we will also consider the combined effect 
of your impairments. Your impairment(s) must be severe and meet the 
duration requirement before we can find you to be disabled. We follow a 
set order to determine whether you are disabled. We review any current 
work activity, the severity of your impairment(s), your residual 
functional capacity, your past work, and your age, education, and work 
experience. If we can find that you are disabled or not disabled at any 
point in the review, we do not review your claim further. Once you have 
been found entitled to disability benefits, we follow a somewhat 
different order of evaluation to determine whether your entitlement 
continues, as explained in Sec. 404.1594(f)(6).
    (b) If you are working. If you are working and the work you are 
doing is substantial gainful activity, we will find that you are not 
disabled regardless of your medical condition or your age, education, 
and work experience.
    (c) You must have a severe impairment. If you do not have any 
impairment or combination of impairments which significantly limits your 
physical or mental ability to do basic work activities, we will find 
that you do not have a severe impairment and are, therefore, not 
disabled. We will not consider your age, education, and work experience. 
However, it is possible for you to have a period of disability for a 
time in the
 
[[Page 351]]
 
past even though you do not now have a severe impairment.
    (d) When your impairment(s) meets or equals a listed impairment in 
appendix 1. If you have an impairment(s) which meets the duration 
requirement and is listed in appendix 1 or is equal to a listed 
impairment(s), we will find you disabled without considering your age, 
education, and work experience.
    (e) Your impairments(s) must prevent you from doing past relevant 
work. If we cannot make a decision based on your current work activity 
or on medical facts alone, and you have a severe impairment(s), we then 
review your residual functional capacity and the physical and mental 
demands of the work you have done in the past. If you can still do this 
kind of work, we will find that you are not disabled.
    (f) Your impairment(s) must prevent you from doing any other work. 
(1) If you cannot do any work you have done in the past because you have 
a severe impairment(s), we will consider your residual functional 
capacity and your age, education, and past work experience to see if you 
can do other work. If you cannot, we will find you disabled.
    (2) If you have only a marginal education, and long work experience 
(i.e., 35 years or more) where you only did arduous unskilled physical 
labor, and you can no longer do this kind of work, we use a different 
rule (see Sec. 404.1562).
 
[50 FR 8727, Mar. 5, 1985; 50 FR 19164, May 7, 1985, as amended at 56 FR 
36960, Aug. 1, 1991]
 
Sec. 404.1520a  Evaluation of mental impairments.
 
    (a) General. The steps outlined in Sec. 404.1520 apply to the 
evaluation of physical and mental impairments. In addition, in 
evaluating the severity of mental impairments for adults (persons age 18 
and over) and in persons under age 18 when Part A of the Listing of 
Impairments is used, a special procedure must be followed by us at each 
level of adminstrative review. Following this procedure will assist us 
in:
    (1) Identifying additional evidence necessary for the determination 
of impairment severity;
    (2) Considering and evaluating aspects of the mental disorder(s) 
relevant to your ability to work; and
    (3) Organizing and presenting the findings in a clear, concise, and 
consistent manner.
    (b) Use of the procedure to record pertinent findings and rate the 
degree of functional loss. (1) This procedure requires us to record the 
pertinent signs, symptoms, findings, functional limitations, and effects 
of treatment contained in your case record. This will assist us in 
determining if a mental impairment(s) exists. Whether or not a mental 
impairment(s) exists is decided in the same way the question of a 
physical impairment is decided, i.e., the evidence must be carefully 
reviewed and conclusions supported by it. The mental status examination 
and psychiatric history will ordinarily provide the needed information. 
(See Sec. 404.1508 for further information about what is needed to show 
an impairment.)
    (2) If we determine that a mental impairment(s) exists, this 
procedure then requires us to indicate whether certain medical findings 
which have been found especially relevant to the ability to work are 
present or absent.
    (3) The procedure then requires us to rate the degree of functional 
loss resulting from the impairment(s). Four areas of function considered 
by us as essential to work have been identified, and the degree of 
functional loss in those areas must be rated on a scale that ranges from 
no limitation to a level of severity which is incompatible with the 
ability to perform those work-related functions. For the first two areas 
(activities of daily living and social functioning), the rating of 
limitation must be done based upon the following five point scale: none, 
slight, moderate, marked, and extreme. For the third area 
(concentration, persistence, or pace) the following five point scale 
must be used: never, seldom, often, frequent, and constant. For the 
fourth area (deterioration or decompensation in work or work-like 
settings), the following four point scale must be used: never, once or 
twice, repeated (three or more), and continual. The last two points for 
each of these scales represent a degree of limitation which is 
incompatible with the ability to perform the work-related function.
 
[[Page 352]]
 
    (c) Use of the procedure to evaluate mental impairments. Following 
the rating of the degree of functional loss resulting from the 
impairment, we must then determine the severity of the mental 
impairment(s).
    (1) If the four areas considered by us as essential to work have 
been rated to indicate a degree of limitation as none or slight in the 
first and second areas, never or seldom in the third area, and never in 
the fourth area, we can generally conclude that the impairment is not 
severe, unless the evidence otherwise indicates there is significant 
limitation of your mental ability to do basic work activities (see 
Sec. 404.1521).
    (2) If your mental impairment(s) is severe, we must then determine 
if it meets or equals a listed mental disorder. This is done by 
comparing our prior conclusions based on this procedure (i.e., the 
presence of certain medical findings considered by us as especially 
relevant to your ability to work and our rating of functional loss 
resulting from the mental impairment(s)) against the paragraph A and B 
criteria of the appropriate listed mental disorder(s). If we determine 
that paragraph C criteria will be used in lieu of paragraph B criteria 
(see listings 12.03 and 12.06), we will, by following this procedure, 
indicate on the document whether the evidence is sufficient to establish 
the presence or absence of the criteria. (See paragraph (d) of this 
section).
    (3) If you have a severe impairment(s), but the impairment(s) 
neither meets nor equals the listings, we must then do a residual 
functional capacity assessment.
    (4) At all adjudicative levels we must, in each case, incorporate 
the pertinent findings and conclusions based on this procedure in our 
decision rationale. Our rationale must show the significant history, 
including examination, laboratory findings, and functional limitations 
that we considered in reaching conclusions about the severity of the 
mental impairment(s).
    (d) Preparation of the document. A standard document outlining the 
steps of this procedure must be completed by us in each case at the 
initial, reconsideration, administrative law judge hearing, and Appeals 
Council levels (when the Appeals Council issues a decision).
    (1) At the initial and reconsideration levels the standard document 
must be completed and signed by our medical consultant. At the 
administrative law judge hearing level, several options are available:
    (i) The administrative law judge may complete the document without 
the assistance of a medical advisor;
    (ii) The administrative law judge may call a medical advisor for 
assistance in preparing the document; or
    (iii) Where new evidence is received that is not merely cumulative 
of evidence already in your case file or where the issue of a mental 
impairment arises for the first time at the administrative law judge 
hearing level, the administrative law judge may decide to remand the 
case to the State agency for completion of the document and a new 
determination. Remand may also be made in situations where the services 
of a medical advisor are determined necessary but unavailable to the 
administrative law judge. In such circumstances, however, a remand may 
ordinarily be made only once.
    (2) For all cases involving mental disorders at the administrative 
law judge hearing or Appeals Council levels, the standard document will 
be appended to the decision.
 
(Approved by the Office of Management and Budget under control number 
0960-0413)
 
 
[50 FR 35065, Aug. 28, 1985, as amended at 55 FR 51229, Dec. 12, 1990; 
57 FR 30120, July 8, 1992]
 
Sec. 404.1521  What we mean by an impairment(s) that is not severe.
 
    (a) Non-severe impairment(s). An impairment or combination of 
impairments is not severe if it does not significantly limit your 
physical or mental ability to do basic work activities.
    (b) Basic work activities. When we talk about basic work activities, 
we mean the abilities and aptitudes necessary to do most jobs. Examples 
of these include--
    (1) Physical functions such as walking, standing, sitting, lifting, 
pushing, pulling, reaching, carrying, or handling;
 
[[Page 353]]
 
    (2) Capacities for seeing, hearing, and speaking;
    (3) Understanding, carrying out, and remembering simple 
instructions;
    (4) Use of judgment;
    (5) Responding appropriately to supervision, co-workers and usual 
work situations; and
    (6) Dealing with changes in a routine work setting.
 
[50 FR 8728, Mar. 5, 1985]
 
Sec. 404.1522  When you have two or more unrelated impairments--initial 
          claims.
 
    (a) Unrelated severe impairments. We cannot combine two or more 
unrelated severe impairments to meet the 12-month duration test. If you 
have a severe impairment(s) and then develop another unrelated severe 
impairment(s) but neither one is expected to last for 12 months, we 
cannot find you disabled, even though the two impairments in combination 
last for 12 months.
    (b) Concurrent impairments. If you have two or more concurrent 
impairments which, when considered in combination, are severe, we must 
also determine whether the combined effect of your impairments can be 
expected to continue to be severe for 12 months. If one or more of your 
impairments improves or is expected to improve within 12 months, so that 
the combined effect of your remaining impairments is no longer severe, 
we will find that you do not meet the 12-month duration test.
 
[50 FR 8728, Mar. 5, 1985]
 
Sec. 404.1523  Multiple impairments.
 
    In determining whether your physical or mental impairment or 
impairments are of a sufficient medical severity that such impairment or 
impairments could be the basis of eligibility under the law, we will 
consider the combined effect of all of your impairments without regard 
to whether any such impairment, if considered separately, would be of 
sufficient severity. If we do find a medically severe combination of 
impairments, the combined impact of the impairments will be considered 
throughout the disability determination process. If we do not find that 
you have a medically severe combination of impairments, we will 
determine that you are not disabled (see Sec. 404.1520).
 
[50 FR 8728, Mar. 5, 1985]
 
                         Medical Considerations
 
Sec. 404.1525  Listing of Impairments in appendix 1.
 
    (a) Purpose of the Listing of Impairments. The Listing of 
Impairments describes, for each of the major body systems, impairments 
which are considered severe enough to prevent a person from doing any 
gainful activity. Most of the listed impairments are permanent or 
expected to result in death, or a specific statement of duration is 
made. For all others, the evidence must show that the impairment has 
lasted or is expected to last for a continuous period of at least 12 
months.
    (b) Adult and childhood diseases. The Listing of Impairments 
consists of two parts:
    (1) Part A contains medical criteria that apply to adult persons age 
18 and over. The medical criteria in part A may also be applied in 
evaluating impairments in persons under age 18 if the disease processes 
have a similar effect on adults and younger persons.
    (2) Part B contains additional medical criteria that apply only to 
the evaluation of impairments of persons under age 18. Certain criteria 
in part A do not give appropriate consideration to the particular 
effects of the disease processes in childhood; i.e., when the disease 
process is generally found only in children or when the disease process 
differs in its effect on children than on adults. Additional criteria 
are included in part B, and the impairment categories are, to the extent 
possible, numbered to maintain a relationship with their counterparts in 
part A. In evaluating disability for a person under age 18, part B will 
be used first. If the medical criteria in part B do not apply, then the 
medical criteria in part A will be used.
    (c) How to use the Listing of Impairments. Each section of the 
Listing of Impairments has a general introduction containing definitions 
of key concepts used in that section. Certain specific medical findings, 
some of which are required in establishing a diagnosis
 
[[Page 354]]
 
or in confirming the existence of an impairment for the purpose of this 
Listing, are also given in the narrative introduction. If the medical 
findings needed to support a diagnosis are not given in the introduction 
or elsewhere in the listing, the diagnosis must still be established on 
the basis of medically acceptable clinical and laboratory diagnostic 
techniques. Following the introduction in each section, the required 
level of severity of impairment is shown under ``Category of 
Impairments'' by one or more sets of medical findings. The medical 
findings consist of symptoms, signs, and laboratory findings.
    (d) Diagnosis of impairments. We will not consider your impairment 
to be one listed in appendix 1 solely because it has the diagnosis of a 
listed impairment. It must also have the findings shown in the Listing 
of that impairment.
    (e) Addiction to alcohol or drugs. If you have a condition diagnosed 
as addiction to alcohol or drugs, this will not, by itself, be a basis 
for determining whether you are, or are not, disabled. As with any other 
medical condition, we will decide whether you are disabled based on 
symptoms, signs, and laboratory findings.
    (f) Symptoms as criteria of listed impairment(s). Some listed 
impairment(s) include symptoms usually associated with those 
impairment(s) as criteria. Generally, when a symptom is one of the 
criteria in a listed impairment, it is only necessary that the symptom 
be present in combination with the other criteria. It is not necessary, 
unless the listing specifically states otherwise, to provide information 
about the intensity, persistence or limiting effects of the symptom as 
long as all other findings required by the specific listing are present.
 
[45 FR 55584, Aug. 20, 1980, as amended at 56 FR 57941, Nov. 14, 1991]
 
Sec. 404.1526  Medical equivalence.
 
    (a) How medical equivalence is determined. We will decide that your 
impairment(s) is medically equivalent to a listed impairment in appendix 
1 if the medical findings are at least equal in severity and duration to 
the listed findings. We will compare the symptoms, signs, and laboratory 
findings about your impairment(s), as shown in the medical evidence we 
have about your claim, with the medical criteria shown with the listed 
impairment. If your impairment is not listed, we will consider the 
listed impairment most like your impairment to decide whether your 
impairment is medically equal. If you have more than one impairment, and 
none of them meets or equals a listed impairment, we will review the 
symptoms, signs, and laboratory findings about your impairments to 
determine whether the combination of your impairments is medically equal 
to any listed impairment.
    (b) Medical equivalence must be based on medical findings. We will 
always base our decision about whether your impairment(s) is medically 
equal to a listed impairment on medical evidence only. Any medical 
findings in the evidence must be supported by medically acceptable 
clinical and laboratory diagnostic techniques. We will also consider the 
medical opinion given by one or more medical or psychological 
consultants designated by the Secretary in deciding medical equivalence. 
(See Sec. 404.1616.)
    (c) Who is a designated medical or psychological consultant. A 
medical or psychological consultant designated by the Secretary includes 
any medical or psychological consultant employed or engaged to make 
medical judgments by the Social Security Administration, the Railroad 
Retirement Board, or a State agency authorized to make disability 
determinations. A medical consultant must be a physician. A 
psychological consultant used in cases where there is evidence of a 
mental impairment must be a qualified psychologist. (See Sec. 404.1616 
for the qualifications we consider necessary for a psychologist to be a 
consultant.)
 
[45 FR 55584, Aug. 20, 1980, as amended at 52 FR 33926, Sept. 9, 1987]
 
[[Page 355]]
 
Sec. 404.1527  Evaluating medical opinions about your impairment(s) or 
          disability.
 
    (a) General. (1) You can only be found disabled if you are unable to 
do any substantial gainful activity by reason of any medically 
determinable physical or mental impairment which can be expected to 
result in death or which has lasted or can be expected to last for a 
continuous period of not less than 12 months. See Sec. 404.1505. Your 
impairment must result from anatomical, physiological, or psychological 
abnormalities which are demonstrable by medically acceptable clinical 
and laboratory diagnostic techniques. See Sec. 404.1508.
    (2) Evidence that you submit or that we obtain may contain medical 
opinions. Medical opinions are statements from physicians and 
psychologists or other acceptable medical sources that reflect judgments 
about the nature and severity of your impairment(s), including your 
symptoms, diagnosis and prognosis, what you can still do despite 
impairment(s), and your physical or mental restrictions.
    (b) How we consider medical opinions. In deciding whether you are 
disabled, we will always consider the medical opinions in your case 
record together with the rest of the relevant evidence we receive.
    (c) Making disability determinations. After we review all of the 
evidence relevant to your claim, including medical opinions, we make 
findings about what the evidence shows.
    (1) If all of the evidence we receive, including all medical 
opinion(s), is consistent, and there is sufficient evidence for us to 
decide whether you are disabled, we will make our determination or 
decision based on that evidence.
    (2) If any of the evidence in your case record, including any 
medical opinion(s), is inconsistent with other evidence or is internally 
inconsistent, we will weigh all of the evidence and see whether we can 
decide whether you are disabled based on the evidence we have.
    (3) If the evidence is consistent but we do not have sufficient 
evidence to decide whether you are disabled, or if after weighing the 
evidence we decide we cannot reach a conclusion about whether you are 
disabled, we will try to obtain additional evidence under the provisions 
of Secs. 404.1512 and 404.1519 through 404.1519h. We will request 
additional existing records, recontact your treating sources or any 
other examining sources, ask you to undergo a consultative examination 
at our expense, or ask you or others for more information. We will 
consider any additional evidence we receive together with the evidence 
we already have.
    (4) When there are inconsistencies in the evidence that cannot be 
resolved, or when despite efforts to obtain additional evidence the 
evidence is not complete, we will make a determination or decision based 
on the evidence we have.
    (d) How we weigh medical opinions. Regardless of its source, we will 
evaluate every medical opinion we receive. Unless we give a treating 
source's opinion controlling weight under paragraph (d)(2) of this 
section, we consider all of the following factors in deciding the weight 
we give to any medical opinion.
    (1) Examining relationship. Generally, we give more weight to the 
opinion of a source who has examined you than to the opinion of a source 
who has not examined you.
    (2) Treatment relationship. Generally, we give more weight to 
opinions from your treating sources, since these sources are likely to 
be the medical professionals most able to provide a detailed, 
longitudinal picture of your medical impairment(s) and may bring a 
unique perspective to the medical evidence that cannot be obtained from 
the objective medical findings alone or from reports of individual 
examinations, such as consultative examinations or brief 
hospitalizations. If we find that a treating source's opinion on the 
issue(s) of the nature and severity of your impairment(s) is well-
supported by medically acceptable clinical and laboratory diagnostic 
techniques and is not inconsistent with the other substantial evidence 
in your case record, we will give it controlling weight. When we do not 
give the treating source's opinion controlling weight, we apply the 
factors listed below, as well as the factors in paragraphs (d) (3) 
through (5) of this section in determining the weight to give the 
opinion. We will always give good reasons in our notice of determination 
or
 
[[Page 356]]
 
decision for the weight we give your treating source's opinion.
    (i) Length of the treatment relationship and the frequency of 
examination. Generally, the longer a treating source has treated you and 
the more times you have been seen by a treating source, the more weight 
we will give to the source's medical opinion. When the treating source 
has seen you a number of times and long enough to have obtained a 
longitudinal picture of your impairment, we will give the source's 
opinion more weight than we would give it if it were from a nontreating 
source.
    (ii) Nature and extent of the treatment relationship. Generally, the 
more knowledge a treating source has about your impairment(s) the more 
weight we will give to the source's medical opinion. We will look at the 
treatment the source has provided and at the kinds and extent of 
examinations and testing the source has performed or ordered from 
specialists and independent laboratories. For example, if your 
ophthalmologist notices that you have complained of neck pain during 
your eye examinations, we will consider his or her opinion with respect 
to your neck pain, but we will give it less weight than that of another 
physician who has treated you for the neck pain. When the treating 
source has reasonable knowledge of your impairment(s), we will give the 
source's opinion more weight than we would give it if it were from a 
nontreating source.
    (3) Supportability. The more a medical source presents relevant 
evidence to support an opinion, particularly medical signs and 
laboratory findings, the more weight we will give that opinion. The 
better an explanation a source provides for an opinion, the more weight 
we will give that opinion. Furthermore, because nonexamining sources 
have no examining or treating relationship with you, the weight we will 
give their opinions will depend on the degree to which they provide 
supporting explanations for their opinions. We will evaluate the degree 
to which these opinions consider all of the pertinent evidence in your 
claim, including opinions of treating and other examining sources.
    (4) Consistency. Generally, the more consistent an opinion is with 
the record as a whole, the more weight we will give to that opinion.
    (5) Specialization. We generally give more weight to the opinion of 
a specialist about medical issues related to his or her area of 
specialty than to the opinion of a source who is not a specialist.
    (6) Other factors. When we consider how much weight to give to a 
medical opinion, we will also consider any factors you or others bring 
to our attention, or of which we are aware, which tend to support or 
contradict the opinion.
    (e) Medical source opinions on issues reserved to the Secretary. (1) 
Opinions that you are disabled. We are responsible for making the 
determination or decision about whether you meet the statutory 
definition of disability. In so doing, we review all of the medical 
findings and other evidence that support a medical source's statement 
that you are disabled. A statement by a medical source that you are 
``disabled'' or ``unable to work'' does not mean that we will determine 
that you are disabled.
    (2) Other opinions on issues reserved to the Secretary. We use 
medical sources, including your treating source, to provide evidence, 
including opinions, on the nature and severity of your impairment(s). 
Although we consider opinions from treating and examining sources on 
issues such as whether your impairment(s) meets or equals the 
requirements of any impairment(s) in the Listing of Impairments in 
appendix 1 of this subpart, your residual functional capacity (see 
Secs. 404.1545 and 404.1546), or the application of vocational factors, 
the final responsibility for deciding these issues is reserved to the 
Secretary. We will not give any special significance to the source of 
the opinion on these issues.
    (f) Opinions of nonexamining medical and psychological consultants 
and other nonexamining physicians and psychologists. We consider all 
evidence from nonexamining physicians and psychologists to be opinion 
evidence. When we consider the opinions of nonexamining sources on the 
nature and severity of your impairments, we apply the rules set forth in 
paragraphs (a) through (e)
 
[[Page 357]]
 
of this section. In addition, the following rules apply to State agency 
medical and psychological consultants, and to medical advisors we 
consult in connection with administrative law judge hearings and Appeals 
Council review.
    (1) At the initial and reconsideration steps in the administrative 
review process, except in disability hearings, State agency medical and 
psychological consultants are members of the teams that make the 
determinations of disability. A State agency medical or psychological 
consultant will consider the evidence in your case record and make 
findings of fact about the medical issues, including, but not limited 
to, the existence and severity of your impairment(s), the existence and 
severity of your symptoms, whether your impairment(s) meets or equals 
the requirements for any impairment listed in appendix 1 to this 
subpart, and your residual functional capacity. These administrative 
findings of fact are based on the evidence in your case record but are 
not themselves evidence at these steps.
    (2) Administrative law judges are responsible for reviewing the 
evidence and making findings of fact and conclusions of law. 
Administrative law judges are not bound by any findings made by State 
agency medical or psychological consultants. However, these findings are 
considered at the hearing level. See Sec. 404.1512(b)(6). When 
administrative law judges consider these findings, they will evaluate 
them using the rules set forth in paragraphs (a) through (e) of this 
section. Also, administrative law judges may ask for and consider the 
opinions of medical advisors on the nature and severity of your 
impairment(s) and whether your impairment(s) equals the requirements of 
any listed impairment in appendix 1 to this subpart.
    (3) When the Appeals Council makes a decision, it will follow the 
same rules for considering opinion evidence as administrative law judges 
follow.
 
[56 FR 36960, Aug. 1, 1991]
 
Sec. 404.1528  Symptoms, signs, and laboratory findings.
 
    Medical findings consist of symptoms, signs, and laboratory 
findings:
    (a) Symptoms are your own description of your physical or mental 
impairment. Your statements alone are not enough to establish that there 
is a physical or mental impairment.
    (b) Signs are anatomical, physiological, or psychological 
abnormalities which can be observed, apart from your statements 
(symptoms). Signs must be shown by medically acceptable clinical 
diagnostic techniques. Pyschiatric signs are medically demonstrable 
phenomena which indicate specific abnormalities of behavior, affect, 
thought, memory, orientation and contact with reality. They must also be 
shown by observable facts that can be medically described and evaluated.
    (c) Laboratory findings are anatomical, physiological, or 
psychological phenomena which can be shown by the use of medically 
acceptable laboratory diagnostic techniques. Some of these diagnostic 
techniques include chemical tests, electrophysiological studies 
(electrocardiogram, electroencephalogram, etc.), roentgenological 
studies (X-rays), and psychological tests.
 
Sec. 404.1529  How we evaluate symptoms, including pain.
 
    (a) General. In determining whether you are disabled, we consider 
all your symptoms, including pain, and the extent to which your symptoms 
can reasonably be accepted as consistent with the objective medical 
evidence and other evidence. By objective medical evidence, we mean 
medical signs and laboratory findings as defined in Sec. 404.1528 (b) 
and (c). By other evidence, we mean the kinds of evidence described in 
Secs. 404.1512(b) (2) through (6) and 404.1513(b) (1), (4), and (5) and 
(e). These include statements or reports from you, your treating or 
examining physician or psychologist, and others about your medical 
history, diagnosis, prescribed treatment, daily activities, efforts to 
work, and any other evidence showing how your impairment(s) and any 
related symptoms affect your ability to work. We will consider all of 
your statements about your symptoms, such as pain, and any description 
you, your physician, your psychologist, or other persons may provide 
about how the symptoms affect your activities of
 
[[Page 358]]
 
daily living and your ability to work. However, statements about your 
pain or other symptoms will not alone establish that you are disabled; 
there must be medical signs and laboratory findings which show that you 
have a medical impairment(s) which could reasonably be expected to 
produce the pain or other symptoms alleged and which, when considered 
with all of the other evidence (including statements about the intensity 
and persistence of your pain or other symptoms which may reasonably be 
accepted as consistent with the medical signs and laboratory findings), 
would lead to a conclusion that you are disabled. In evaluating the 
intensity and persistence of your symptoms, including pain, we will 
consider all of the available evidence, including your medical history, 
the medical signs and laboratory findings and statements about how your 
symptoms affect you. (Section 404.1527 explains how we consider opinions 
of your treating source and other medical opinions on the existence and 
severity of your symptoms, such as pain.) We will then determine the 
extent to which your alleged functional limitations and restrictions due 
to pain or other symptoms can reasonably be accepted as consistent with 
the medical signs and laboratory findings and other evidence to decide 
how your symptoms affect your ability to work.
    (b) Need for medically determinable impairment that could reasonably 
be expected to produce your symptoms, such as pain. Your symptoms, such 
as pain, fatigue, shortness of breath, weakness, or nervousness, will 
not be found to affect your ability to do basic work activities unless 
medical signs or laboratory findings show that a medically determinable 
impairment(s) is present. Medical signs and laboratory findings, 
established by medically acceptable clinical or laboratory diagnostic 
techniques, must show the existence of a medical impairment(s) which 
results from anatomical, physiological, or psychological abnormalities 
and which could reasonably be expected to produce the pain or other 
symptoms alleged. At the initial or reconsideration step in the 
administrative review process (except in disability hearings), a State 
agency medical or psychological consultant (or other medical or 
psychological consultant designated by the Secretary) directly 
participates in determining whether your medically determinable 
impairment(s) could reasonably be expected to produce your alleged 
symptoms. In the disability hearing process, a medical or psychological 
consultant may provide an advisory assessment to assist a disability 
hearing officer in determining whether your impairment(s) could 
reasonably be expected to produce your alleged symptoms. At the 
administrative law judge hearing or Appeals Council level, the 
administrative law judge or the Appeals Council may ask for and consider 
the opinion of a medical advisor concerning whether your impairment(s) 
could reasonably be expected to produce your alleged symptoms. The 
finding that your impairment(s) could reasonably be expected to produce 
your pain or other symptoms does not involve a determination as to the 
intensity, persistence, or functionally limiting effects of your 
symptoms. We will develop evidence regarding the possibility of a 
medically determinable mental impairment when we have information to 
suggest that such an impairment exists, and you allege pain or other 
symptoms but the medical signs and laboratory findings do not 
substantiate any physical impairment(s) capable of producing the pain or 
other symptoms.
    (c) Evaluating the intensity and persistence of your symptoms, such 
as pain, and determining the extent to which your symptoms limit your 
capacity for work--(1) General. When the medical signs or laboratory 
findings show that you have a medically determinable impairment(s) that 
could reasonably be expected to produce your symptoms, such as pain, we 
must then evaluate the intensity and persistence of your symptoms so 
that we can determine how your symptoms limit your capacity for work. In 
evaluating the intensity and persistence of your symptoms, we consider 
all of the available evidence, including your medical history, the 
medical signs and laboratory findings, and statements from you, your 
treating or examining physician or psychologist, or other persons about 
how your symptoms affect you. We also consider the medical opinions of 
your treating
 
[[Page 359]]
 
source and other medical opinions as explained in Sec. 404.1527. 
Paragraphs (c)(2) through (c)(4) of this section explain further how we 
evaluate the intensity and persistence of your symptoms and how we 
determine the extent to which your symptoms limit your capacity for 
work, when the medical signs or laboratory findings show that you have a 
medically determinable impairment(s) that could reasonably be expected 
to produce your symptoms, such as pain.
    (2) Consideration of objective medical evidence. Objective medical 
evidence is evidence obtained from the application of medically 
acceptable clinical and laboratory diagnostic techniques, such as 
evidence of reduced joint motion, muscle spasm, sensory deficit or motor 
disruption. Objective medical evidence of this type is a useful 
indicator to assist us in making reasonable conclusions about the 
intensity and persistence of your symptoms and the effect those 
symptoms, such as pain, may have on your ability to work. We must always 
attempt to obtain objective medical evidence and, when it is obtained, 
we will consider it in reaching a conclusion as to whether you are 
disabled. However, we will not reject your statements about the 
intensity and persistence of your pain or other symptoms or about the 
effect your symptoms have on your ability to work solely because the 
available objective medical evidence does not substantiate your 
statements.
    (3) Consideration of other evidence. Since symptoms sometimes 
suggest a greater severity of impairment than can be shown by objective 
medical evidence alone, we will carefully consider any other information 
you may submit about your symptoms. The information that you, your 
treating or examining physician or psychologist, or other persons 
provide about your pain or other symptoms (e.g., what may precipitate or 
aggravate your symptoms, what medications, treatments or other methods 
you use to alleviate them, and how the symptoms may affect your pattern 
of daily living) is also an important indicator of the intensity and 
persistence of your symptoms. Because symptoms, such as pain, are 
subjective and difficult to quantify, any symptom-related functional 
limitations and restrictions which you, your treating or examining 
physician or psychologist, or other persons report, which can reasonably 
be accepted as consistent with the objective medical evidence and other 
evidence, will be taken into account as explained in paragraph (c)(4) of 
this section in reaching a conclusion as to whether you are disabled. We 
will consider all of the evidence presented, including information about 
your prior work record, your statements about your symptoms, evidence 
submitted by your treating, examining or consulting physician or 
psychologist, and observations by our employees and other persons. 
Section 404.1527 explains in detail how we consider and weigh treating 
source and other medical opinions about the nature and severity of your 
impairment(s) and any related symptoms, such as pain. Factors relevant 
to your symptoms, such as pain, which we will consider include:
    (i) Your daily activities;
    (ii) The location, duration, frequency, and intensity of your pain 
or other symptoms;
    (iii) Precipitating and aggravating factors;
    (iv) The type, dosage, effectiveness, and side effects of any 
medication you take or have taken to alleviate your pain or other 
symptoms;
    (v) Treatment, other than medication, you receive or have received 
for relief of your pain or other symptoms;
    (vi) Any measures you use or have used to relieve your pain or other 
symptoms (e.g., lying flat on your back, standing for 15 to 20 minutes 
every hour, sleeping on a board, etc.); and
    (vii) Other factors concerning your functional limitations and 
restrictions due to pain or other symptoms.
    (4) How we determine the extent to which symptoms, such as pain, 
affect your capacity to perform basic work activities. In determining 
the extent to which your symptoms, such as pain, affect your capacity to 
perform basic work activities, we consider all of the available evidence 
described in paragraphs (c)(1) through (c)(3) of this section. We will 
consider your statements about the intensity, persistence, and limiting 
effects of your symptoms, and
 
[[Page 360]]
 
we will evaluate your statements in relation to the objective medical 
evidence and other evidence, in reaching a conclusion as to whether you 
are disabled. We will consider whether there are any inconsistencies in 
the evidence and the extent to which there are any conflicts between 
your statements and the rest of the evidence, including your medical 
history, the medical signs and laboratory findings, and statements by 
your treating or examining physician or psychologist or other persons 
about how your symptoms affect you. Your symptoms, including pain, will 
be determined to diminish your capacity for basic work activities to the 
extent that your alleged functional limitations and restrictions due to 
symptoms, such as pain, can reasonably be accepted as consistent with 
the objective medical evidence and other evidence.
    (d) Consideration of symptoms in the disability determination 
process. We follow a set order of steps to determine whether you are 
disabled. If you are not doing substantial gainful activity, we consider 
your symptoms, such as pain, to evaluate whether you have a severe 
physical or mental impairment(s), and at each of the remaining steps in 
the process. Sections 404.1520 and 404.1520a explain this process in 
detail. We also consider your symptoms, such as pain, at the appropriate 
steps in our review when we consider whether your disability continues. 
Sections 404.1579 and 404.1594 explain the procedure we follow in 
reviewing whether your disability continues.
    (1) Need to establish a severe medically determinable impairment(s). 
Your symptoms, such as pain, fatigue, shortness of breath, weakness, or 
nervousness, are considered in making a determination as to whether your 
impairment or combination of impairment(s) is severe. (See 
Sec. 404.1520(c).)
    (2) Decision whether the Listing of Impairments is met. Some listed 
impairment(s) include symptoms, such as pain, as criteria. Section 
404.1525(f) explains how we consider your symptoms when your symptoms 
are included as criteria for a listed impairment.
    (3) Decision whether the Listing of Impairments is equaled. If your 
impairment is not the same as a listed impairment, we must determine 
whether your impairment(s) is medically equivalent to a listed 
impairment. Section 404.1526 explains how we make this determination. 
Under Sec. 404.1526(b), we will consider equivalence based on medical 
evidence only. In considering whether your symptoms, signs, and 
laboratory findings are medically equal to the symptoms, signs, and 
laboratory findings of a listed impairment, we will look to see whether 
your symptoms, signs, and laboratory findings are at least equal in 
severity to the listed criteria. However, we will not substitute your 
allegations of pain or other symptoms for a missing or deficient sign or 
laboratory finding to raise the severity of your impairment(s) to that 
of a listed impairment. If the symptoms, signs, and laboratory findings 
of your impairment(s) are equivalent in severity to those of a listed 
impairment, we will find you disabled. If it does not, we will consider 
the impact of your symptoms on your residual functional capacity. (See 
paragraph (d)(4) of this section.)
    (4) Impact of symptoms (including pain) on residual functional 
capacity. If you have a medically determinable severe physical or mental 
impairment(s), but your impairment(s) does not meet or equal an 
impairment listed in appendix 1 of this subpart, we will consider the 
impact of your impairment(s) and any related symptoms, including pain, 
on your residual functional capacity. (See Sec. 404.1545.)
 
[56 FR 57941, Nov. 14, 1991]
 
Sec. 404.1530  Need to follow prescribed treatment.
 
    (a) What treatment you must follow. In order to get benefits, you 
must follow treatment prescribed by your physician if this treatment can 
restore your ability to work.
    (b) When you do not follow prescribed treatment. If you do not 
follow the prescribed treatment without a good reason, we will not find 
you disabled or, if you are already receiving benefits, we will stop 
paying you benefits.
    (c) Acceptable reasons for failure to follow prescribed treatment. 
We will consider your physical, mental, educational, and linguistic 
limitations (including any lack of facility with the English language) 
when determining if
 
[[Page 361]]
 
you have an acceptable reason for failure to follow prescribed 
treatment. The following are examples of a good reason for not following 
treatment:
    (1) The specific medical treatment is contrary to the established 
teaching and tenets of your religion.
    (2) The prescribed treatment would be cataract surgery for one eye, 
when there is an impairment of the other eye resulting in a severe loss 
of vision and is not subject to improvement through treatment.
    (3) Surgery was previously performed with unsuccessful results and 
the same surgery is again being recommended for the same impairment.
    (4) The treatment because of its magnitude (e.g. open heart 
surgery), unusual nature (e.g., organ transplant), or other reason is 
very risky for you; or
    (5) The treatment involves amputation of an extremity, or a major 
part of an extremity.
 
[45 FR 55584, Aug. 20, 1980, as amended at 59 FR 1635, Jan. 12, 1994]
 
Sec. 404.1535  How we will determine whether your drug addiction or 
          alcoholism is a contributing factor material to the 
          determination of disability.
 
    (a) General. If we find that you are disabled and have medical 
evidence of your drug addiction or alcoholism, we must determine whether 
your drug addiction or alcoholism is a contributing factor material to 
the determination of disability.
    (b) Process we will follow when we have medical evidence of your 
drug addiction or alcoholism. (1) The key factor we will examine in 
determining whether drug addiction or alcoholism is a contributing 
factor material to the determination of disability is whether we would 
still find you disabled if you stopped using drugs or alcohol.
    (2) In making this determination, we will evaluate which of your 
current physical and mental limitations, upon which we based our current 
disability determination, would remain if you stopped using drugs or 
alcohol and then determine whether any or all of your remaining 
limitations would be disabling.
    (i) If we determine that your remaining limitations would not be 
disabling, we will find that your drug addiction or alcoholism is a 
contributing factor material to the determination of disability.
    (ii) If we determine that your remaining limitations are disabling, 
you are disabled independent of your drug addiction or alcoholism and we 
will find that your drug addiction or alcoholism is not a contributing 
factor material to the determination of disability.
 
[60 FR 8147, Feb. 10, 1995]
 
Sec. 404.1536  Treatment required for individuals whose drug addiction 
          or alcoholism is a contributing factor material to the 
          determination of disability.
 
    (a) If we determine that you are disabled and drug addiction or 
alcoholism is a contributing factor material to the determination of 
disability (as described in Sec. 404.1535), you must avail yourself of 
appropriate treatment for your drug addiction or alcoholism at an 
institution or facility approved by us when this treatment is available 
and make progress in your treatment. Generally, you are not expected to 
pay for this treatment. You will not be paid benefits for any month 
after the month we have notified you in writing that--
    (1) You did not comply with the terms, conditions and requirements 
of the treatment which has been made available to you; or
    (2) You did not avail yourself of the treatment after you had been 
notified that it is available to you.
    (b) If your benefits are suspended for failure to comply with 
treatment requirements, your benefits can be reinstated in accordance 
with the rules in Sec. 404.470.
 
[60 FR 8147, Feb. 10, 1995]
 
Sec. 404.1537  What we mean by appropriate treatment.
 
    By appropriate treatment, we mean treatment for drug addiction or 
alcoholism that serves the needs of the individual in the least 
restrictive setting possible consistent with your treatment plan. These 
settings range from outpatient counseling services through a variety of 
residential treatment settings including acute detoxification,
 
[[Page 362]]
 
short-term intensive residential treatment, long-term therapeutic 
residential treatment, and long-term recovery houses. Appropriate 
treatment is determined with the involvement of a State licensed or 
certified addiction professional on the basis of a detailed assessment 
of the individual's presenting symptomatology, psychosocial profile, and 
other relevant factors. This assessment may lead to a determination that 
more than one treatment modality is appropriate for the individual. The 
treatment will be provided or overseen by an approved institution or 
facility. This treatment may include (but is not limited to)--
    (a) Medical examination and medical management;
    (b) Detoxification;
    (c) Medication management to include substitution therapy (e.g., 
methadone);
    (d) Psychiatric, psychological, psychosocial, vocational, or other 
substance abuse counseling in a residential or outpatient treatment 
setting; or
    (e) Relapse prevention.
 
[60 FR 8148, Feb. 10, 1995]
 
Sec. 404.1538  What we mean by approved institutions or facilities.
 
    Institutions or facilities that we may approve include--
    (a) An institution or facility that furnishes medically recognized 
treatment for drug addiction or alcoholism in conformity with applicable 
Federal or State laws and regulations;
    (b) An institution or facility used by or licensed by an appropriate 
State agency which is authorized to refer persons for treatment of drug 
addiction or alcoholism;
    (c) State licensed or certified care providers;
    (d) Programs accredited by the Commission on Accreditation for 
Rehabilitation Facilities (CARF) and/or the Joint Commission for the 
Accreditation of Healthcare Organizations (JCAHO) for the treatment of 
drug addiction or alcoholism;
    (e) Medicare or Medicaid certified care providers; or
    (f) Nationally recognized self-help drug addiction or alcoholism 
recovery programs (e.g., Alcoholics Anonymous or Narcotics Anonymous) 
when participation in these programs is specifically prescribed by a 
treatment professional at an institution or facility described in 
paragraphs (a) through (e) of this section as part of an individual's 
treatment plan.
 
[60 FR 8148, Feb. 10, 1995]
 
Sec. 404.1539  How we consider whether treatment is available.
 
    Our determination about whether treatment is available to you for 
your drug addiction or your alcoholism will depend upon--
    (a) The capacity of an approved institution or facility to admit you 
for appropriate treatment;
    (b) The location of the approved institution or facility, or the 
place where treatment, services or resources could be provided to you;
    (c) The availability and cost of transportation for you to the place 
of treatment;
    (d) Your general health, including your ability to travel and 
capacity to understand and follow the prescribed treatment;
    (e) Your particular condition and circumstances; and
    (f) The treatment that is prescribed for your drug addiction or 
alcoholism.
 
[60 FR 8148, Feb. 10, 1995]
 
Sec. 404.1540  Evaluating compliance with the treatment requirements.
 
    (a) General. Generally, we will consider information from the 
treatment institution or facility to evaluate your compliance with your 
treatment plan. The treatment institution or facility will:
    (1) Monitor your attendance at and participation in treatment 
sessions;
    (2) Provide reports of the results of any clinical testing (such as, 
hematological or urinalysis studies for individuals with drug addiction 
and hematological studies and breath analysis for individuals with 
alcoholism) when such tests are likely to yield important information;
    (3) Provide observational reports from the treatment professionals 
familiar with your individual case (subject to verification and Federal 
confidentiality requirements); or
 
[[Page 363]]
 
    (4) Provide their assessment or views on your noncompliance with 
treatment requirements.
    (b) Measuring progress. Generally, we will consider information from 
the treatment institution or facility to evaluate your progress in 
completing your treatment plan. Examples of milestones for measuring 
your progress with the treatment which has been prescribed for your drug 
addiction or alcoholism may include (but are not limited to)--
    (1) Abstinence from drug or alcohol use (initial progress may 
include significant reduction in use);
    (2) Consistent attendance at and participation in treatment 
sessions;
    (3) Improved social functioning and levels of gainful activity;
    (4) Participation in vocational rehabilitation activities; or
    (5) Avoidance of criminal activity.
 
[60 FR 8148, Feb. 10, 1995]
 
Sec. 404.1541  Establishment and use of referral and monitoring 
          agencies.
 
    We will contract with one or more agencies in each of the States, 
Puerto Rico and the District of Columbia to provide services to 
individuals whose disabilities are based on a determination that drug 
addiction or alcoholism is a contributing factor material to the 
determination of disability (as described in Sec. 404.1535) and to 
submit information to us which we will use to make decisions about these 
individuals' benefits. These agencies will be known as referral and 
monitoring agencies. Their duties and responsibilities include (but are 
not limited to)--
    (a) Identifying appropriate treatment placements for individuals we 
refer to them;
    (b) Referring these individuals for treatment;
    (c) Monitoring the compliance and progress with the appropriate 
treatment of these individuals; and
    (d) Promptly reporting to us any individual's failure to comply with 
treatment requirements as well as failure to achieve progress through 
the treatment.
 
[60 FR 8148, Feb. 10, 1995]
 
                      Residual Functional Capacity
 
Sec. 404.1545  Your residual functional capacity.
 
    (a) General. Your impairment(s), and any related symptoms, such as 
pain, may cause physical and mental limitations that affect what you can 
do in a work setting. Your residual functional capacity is what you can 
still do despite your limitations. If you have more than one impairment, 
we will consider all of your impairment(s) of which we are aware. We 
will consider your ability to meet certain demands of jobs, such as 
physical demands, mental demands, sensory requirements, and other 
functions, as described in paragraphs (b), (c), and (d) of this section. 
Residual functional capacity is an assessment based upon all of the 
relevant evidence. It may include descriptions (even your own) of 
limitations that go beyond the symptoms, such as pain, that are 
important in the diagnosis and treatment of your medical condition. 
Observations by your treating or examining physicians or psychologists, 
your family, neighbors, friends, or other persons, of your limitations, 
in addition to those observations usually made during formal medical 
examinations, may also be used. These descriptions and observations, 
when used, must be considered along with your medical records to enable 
us to decide to what extent your impairment(s) keeps you from performing 
particular work activities. This assessment of your remaining capacity 
for work is not a decision on whether you are disabled, but is used as 
the basis for determining the particular types of work you may be able 
to do despite your impairment(s). Then, using the guidelines in 
Secs. 404.1560 through 404.1569a, your vocational background is 
considered along with your residual functional capacity in arriving at a 
disability determination or decision. In deciding whether your 
disability continues or ends, the residual functional capacity 
assessment may also be used to determine whether any medical improvement 
you have experienced is related to your ability to work as discussed in 
Sec. 404.1594.
    (b) Physical abilities. When we assess your physical abilities, we 
first assess
 
[[Page 364]]
 
the nature and extent of your physical limitations and then determine 
your residual functional capacity for work activity on a regular and 
continuing basis. A limited ability to perform certain physical demands 
of work activity, such as sitting, standing, walking, lifting, carrying, 
pushing, pulling, or other physical functions (including manipulative or 
postural functions, such as reaching, handling, stooping or crouching), 
may reduce your ability to do past work and other work.
    (c) Mental abilities. When we assess your mental abilities, we first 
assess the nature and extent of your mental limitations and restrictions 
and then determine your residual functional capacity for work activity 
on a regular and continuing basis. A limited ability to carry out 
certain mental activities, such as limitations in understanding, 
remembering, and carrying out instructions, and in responding 
appropriately to supervision, co-workers, and work pressures in a work 
setting, may reduce your ability to do past work and other work.
    (d) Other abilities affected by impairment(s). Some medically 
determinable impairment(s), such as skin impairment(s), epilepsy, 
impairment(s) of vision, hearing or other senses, and impairment(s) 
which impose environmental restrictions, may cause limitations and 
restrictions which affect other work-related abilities. If you have this 
type of impairment(s), we consider any resulting limitations and 
restrictions which may reduce your ability to do past work and other 
work in deciding your residual functional capacity.
    (e) Total limiting effects. When you have a severe impairment(s), 
but your symptoms, signs, and laboratory findings do not meet or equal 
those of a listed impairment in appendix 1 of this subpart, we will 
consider the limiting effects of all your impairment(s), even those that 
are not severe, in determining your residual functional capacity. Pain 
or other symptoms may cause a limitation of function beyond that which 
can be determined on the basis of the anatomical, physiological or 
psychological abnormalities considered alone; e.g., someone with a low 
back disorder may be fully capable of the physical demands consistent 
with those of sustained medium work activity, but another person with 
the same disorder, because of pain, may not be capable of more than the 
physical demands consistent with those of light work activity on a 
sustained basis. In assessing the total limiting effects of your 
impairment(s) and any related symptoms, we will consider all of the 
medical and nonmedical evidence, including the information described in 
Sec. 404.1529(c).
 
[56 FR 57943, Nov, 14, 1991]
 
Sec. 404.1546  Responsibility for assessing and determining residual 
          functional capacity.
 
    The State agency staff medical or psychological consultants or other 
medical or psychological consultants designated by the Secretary are 
responsible for ensuring that the State agency makes a decision about 
your residual functional capacity. In cases where the State agency makes 
the disability determination, a State agency staff medical or 
psychological consultant must assess residual functional capacity where 
it is required. This assessment is based on all of the evidence we have, 
including any statements regarding what you can still do that have been 
provided by treating or examining physicians, consultative physicians, 
or any other medical or psychological consultant designated by the 
Secretary. See Sec. 404.1545. For cases in the disability hearing 
process, the responsibility for deciding your residual functional 
capacity rests with either the disability hearing officer or, if the 
disability hearing officer's reconsidered determination is changed under 
Sec. 404.918, with the Director of the Office of Disability Hearings or 
his or her delegate. For cases at the Administrative Law Judge hearing 
or Appeals Council level, the responsibility for deciding your residual 
functional capacity rests with the Administrative Law Judge or Appeals 
Council.
 
[56 FR 36962, Aug. 1, 1991]
 
[[Page 365]]
 
                        Vocational Considerations
 
Sec. 404.1560  When your vocational background will be considered.
 
    (a) General. If you are applying for a period of disability, or 
disability insurance benefits as a disabled worker, or child's insurance 
benefits based on disability which began before age 22, or widow's or 
widower's benefits based on disability for months after December 1990, 
and we cannot decide whether you are disabled on medical evidence alone, 
we will consider your residual functional capacity together with your 
vocational background.
    (b) Past relevant work. We will first compare your residual 
functional capacity with the physical and mental demands of the kind of 
work you have done in the past. If you still have the residual 
functional capacity to do your past relevant work, we will find that you 
can still do your past work, and we will determine that you are not 
disabled, without considering your vocational factors of age, education, 
and work experience.
    (c) Other work. If we find that you can no longer do the kind of 
work you have done in the past, we will then consider your residual 
functional capacity together with your vocational factors of age, 
education, and work experience to determine whether you can do other 
work. By other work we mean jobs that exist in significant numbers in 
the national economy.
 
[55 FR 11011, Mar. 26, 1990, as amended at 57 FR 30120, July 8, 1992]
 
Sec. 404.1561  Your ability to do work depends upon your residual 
          functional capacity.
 
    If you can do your previous work (your usual work or other 
applicable past work), we will determine that you are not disabled. 
However, if your residual functional capacity is not enough to enable 
you to do any of your previous work, we must still decide if you can do 
any other work. To do this, we consider your residual functional 
capacity, and your age, education, and work experience. Any work (jobs) 
that you can do must exist in significant numbers in the national 
economy (either in the region where you live or in several regions of 
the country). Sections 404.1563 through 404.1565 explain how we evaluate 
your age, education, and work experience when we are deciding whether or 
not you are able to do other work.
 
Sec. 404.1562  If you have done only arduous unskilled physical labor.
 
    If you have only a marginal education and work experience of 35 
years or more during which you did arduous unskilled physical labor, and 
you are not working and are no longer able to do this kind of work 
because of a severe impairment(s), we will consider you unable to do 
lighter work, and therefore, disabled. However, if you are working or 
have worked despite your impairment(s) (except where the work is 
sporadic or is not medically advisable), we will review all the facts in 
your case, and we may find that you are not disabled. In addition, we 
will consider that you are not disabled if the evidence shows that you 
have training or past work experience which enables you to do 
substantial gainful activity in another occupation with your impairment, 
either on a full-time or a reasonably regular part-time basis.
    Example:  B is a 60-year-old miner with a fourth grade education who 
has a life-long history of arduous physical labor. B says that he is 
disabled because of arthritis of the spine, hips, and knees, and other 
impairments. Medical evidence shows a combination of impairments and 
establishes that these impairments prevent B from performing his usual 
work or any other type of arduous physical labor. His vocational 
background does not show that he has skills or capabilities needed to do 
lighter work which would be readily transferable to another work 
setting. Under these circumstances, we will find that B is disabled.
 
Sec. 404.1563  Your age as a vocational factor.
 
    (a) General. Age refers to how old you are (your chronological age) 
and the extent to which your age affects your ability to adapt to a new 
work situation and to do work in competition with others. However, we do 
not determine disability on your age alone. We must also consider your 
residual functional capacity, education, and work experience. If you are 
unemployed because of your age and you can still do a significant number 
of jobs which
 
[[Page 366]]
 
exist in the national economy, we will find that you are not disabled. 
We explain in detail how we consider your age as a vocational factor in 
appendix 2. However, we will not apply these age categories mechanically 
in a borderline situation.
    (b) Younger person. If you are under age 50, we generally do not 
consider that your age will seriously affect your ability to adapt to a 
new work situation. In some circumstances, however, we consider age 45 a 
handicap in adapting to a new work setting (see Rule 201.17 in appendix 
2).
    (c) Person approaching advanced age. If you are closely approaching 
advanced age (50-54), we will consider that your age, along with a 
severe impairment and limited work experience, may seriously affect your 
ability to adjust to a significant number of jobs in the national 
economy.
    (d) Person of advanced age. We consider that advanced age (55 or 
over) is the point where age significantly affects a person's ability to 
do substantial gainful activity. If you are severely impaired and of 
advanced age and you cannot do medium work (see Sec. 404.1567(c)), you 
may not be able to work unless you have skills that can be used in 
(transferred to) less demanding jobs which exist in significant numbers 
in the national economy. If you are close to retirement age (60-64) and 
have a severe impairment, we will not consider you able to adjust to 
sedentary or light work unless you have skills which are highly 
marketable.
    (e) Information about your age. We will usually not ask you to prove 
your age. However, if we need to know your exact age to determine 
whether you get disability benefits or if the amount of your benefit 
will be affected, we will ask you for evidence of your age.
 
Sec. 404.1564  Your education as a vocational factor.
 
    (a) General. Education is primarily used to mean formal schooling or 
other training which contributes to your ability to meet vocational 
requirements, for example, reasoning ability, communication skills, and 
arithmetical ability. However, if you do not have formal schooling, this 
does not necessarily mean that you are uneducated or lack these 
abilities. Past work experience and the kinds of responsibilities you 
had when you were working may show that you have intellectual abilities, 
although you may have little formal education. Your daily activities, 
hobbies, or the results of testing may also show that you have 
significant intellectual ability that can be used to work.
    (b) How we evaluate your education. The importance of your 
educational background may depend upon how much time has passed between 
the completion of your formal education and the beginning of your 
physical or mental impairment(s) and by what you have done with your 
education in a work or other setting. Formal education that you 
completed many years before your impairment began, or unused skills and 
knowledge that were a part of your formal education, may no longer be 
useful or meaningful in terms of your ability to work. Therefore, the 
numerical grade level that you completed in school may not represent 
your actual educational abilities. These may be higher or lower. 
However, if there is no other evidence to contradict it, we will use 
your numerical grade level to determine your educational abilities. The 
term education also includes how well you are able to communicate in 
English since this ability is often acquired or improved by education. 
In evaluating your educational level, we use the following categories:
    (1) Illiteracy. Illiteracy means the inability to read or write. We 
consider someone illiterate if the person cannot read or write a simple 
message such as instructions or inventory lists even though the person 
can sign his or her name. Generally, an illiterate person has had little 
or no formal schooling.
    (2) Marginal education. Marginal education means ability in 
reasoning, arithmetic, and language skills which are needed to do 
simple, unskilled types of jobs. We generally consider that formal 
schooling at a 6th grade level or less is a marginal education.
    (3) Limited education. Limited education means ability in reasoning, 
arithmetic, and language skills, but not enough to allow a person with 
these educational qualifications to do
 
[[Page 367]]
 
most of the more complex job duties needed in semi-skilled or skilled 
jobs. We generally consider that a 7th grade through the 11th grade 
level of formal education is a limited education.
    (4) High school education and above. High school education and above 
means abilities in reasoning, arithmetic, and language skills acquired 
through formal schooling at a 12th grade level or above. We generally 
consider that someone with these educational abilities can do semi-
skilled through skilled work.
    (5) Inability to communicate in English. Since the ability to speak, 
read and understand English is generally learned or increased at school, 
we may consider this an educational factor. Because English is the 
dominant language of the country, it may be difficult for someone who 
doesn't speak and understand English to do a job, regardless of the 
amount of education the person may have in another language. Therefore, 
we consider a person's ability to communicate in English when we 
evaluate what work, if any, he or she can do. It generally doesn't 
matter what other language a person may be fluent in.
    (6) Information about your education. We will ask you how long you 
attended school and whether you are able to speak, understand, read and 
write in English and do at least simple calculations in arithmetic. We 
will also consider other information about how much formal or informal 
education you may have had through your previous work, community 
projects, hobbies, and any other activities which might help you to 
work.
 
Sec. 404.1565  Your work experience as a vocational factor.
 
    (a) General. Work experience means skills and abilities you have 
acquired through work you have done which show the type of work you may 
be expected to do. Work you have already been able to do shows the kind 
of work that you may be expected to do. We consider that your work 
experience applies when it was done within the last 15 years, lasted 
long enough for you to learn to do it, and was substantial gainful 
activity. We do not usually consider that work you did 15 years or more 
before the time we are deciding whether you are disabled (or when the 
disability insured status requirement was last met, if earlier) applies. 
A gradual change occurs in most jobs so that after 15 years it is no 
longer realistic to expect that skills and abilities acquired in a job 
done then continue to apply. The 15-year guide is intended to insure 
that remote work experience is not currently applied. If you have no 
work experience or worked only ``off-and-on'' or for brief periods of 
time during the 15-year period, we generally consider that these do not 
apply. If you have acquired skills through your past work, we consider 
you to have these work skills unless you cannot use them in other 
skilled or semi-skilled work that you can now do. If you cannot use your 
skills in other skilled or semi-skilled work, we will consider your work 
background the same as unskilled. However, even if you have no work 
experience, we may consider that you are able to do unskilled work 
because it requires little or no judgment and can be learned in a short 
period of time.
    (b) Information about your work. Under certain circumstances, we 
will ask you about the work you have done in the past. If you cannot 
give us all of the information we need, we will try, with your 
permission, to get it from your employer or other person who knows about 
your work, such as a member of your family or a co-worker. When we need 
to consider your work experience to decide whether you are able to do 
work that is different from what you have done in the past, we will ask 
you to tell us about all of the jobs you have had in the last 15 years. 
You must tell us the dates you worked, all of the duties you did, and 
any tools, machinery, and equipment you used. We will need to know about 
the amount of walking, standing, sitting, lifting and carrying you did 
during the work day, as well as any other physical or mental duties of 
your job. If all of your work in the past 15 years has been arduous and 
unskilled, and you have very little education, we will ask you to tell 
us about all of your work from the time you first began working. This 
information could help you to get disability benefits.
 
[[Page 368]]
 
Sec. 404.1566  Work which exists in the national economy.
 
    (a) General. We consider that work exists in the national economy 
when it exists in significant numbers either in the region where you 
live or in several other regions of the country. It does not matter 
whether--
    (1) Work exists in the immediate area in which you live;
    (2) A specific job vacancy exists for you; or
    (3) You would be hired if you applied for work.
    (b) How we determine the existence of work. Work exists in the 
national economy when there is a significant number of jobs (in one or 
more occupations) having requirements which you are able to meet with 
your physical or mental abilities and vocational qualifications. 
Isolated jobs that exist only in very limited numbers in relatively few 
locations outside of the region where you live are not considered ``work 
which exists in the national economy''. We will not deny you disability 
benefits on the basis of the existence of these kinds of jobs. If work 
that you can do does not exist in the national economy, we will 
determine that you are disabled. However, if work that you can do does 
exist in the national economy, we will determine that you are not 
disabled.
    (c) Inability to obtain work. We will determine that you are not 
disabled if your residual functional capacity and vocational abilities 
make it possible for you to do work which exists in the national 
economy, but you remain unemployed because of--
    (1) Your inability to get work;
    (2) Lack of work in your local area;
    (3) The hiring practices of employers;
    (4) Technological changes in the industry in which you have worked;
    (5) Cyclical economic conditions;
    (6) No job openings for you;
    (7) You would not actually be hired to do work you could otherwise 
do; or
    (8) You do not wish to do a particular type of work.
    (d) Administrative notice of job data. When we determine that 
unskilled, sedentary, light, and medium jobs exist in the national 
economy (in significant numbers either in the region where you live or 
in several regions of the country), we will take administrative notice 
of reliable job information available from various governmental and 
other publications. For example, we will take notice of--
    (1) Dictionary of Occupational Titles, published by the Department 
of Labor;
    (2) County Business Patterns, published by the Bureau of the Census;
    (3) Census Reports, also published by the Bureau of the Census;
    (4) Occupational Analyses, prepared for the Social Security 
Administration by various State employment agencies; and
    (5) Occupational Outlook Handbook, published by the Bureau of Labor 
Statistics.
    (e) Use of vocational experts and other specialists. If the issue in 
determining whether you are disabled is whether your work skills can be 
used in other work and the specific occupations in which they can be 
used, or there is a similarly complex issue, we may use the services of 
a vocational expert or other specialist. We will decide whether to use a 
vocational expert or other specialist.
 
Sec. 404.1567  Physical exertion requirements.
 
    To determine the physical exertion requirements of work in the 
national economy, we classify jobs as sedentary, light, medium, heavy, 
and very heavy. These terms have the same meaning as they have in the 
Dictionary of Occupational Titles, published by the Department of Labor. 
In making disability determinations under this subpart, we use the 
following definitions:
    (a) Sedentary work. Sedentary work involves lifting no more than 10 
pounds at a time and occasionally lifting or carrying articles like 
docket files, ledgers, and small tools. Although a sedentary job is 
defined as one which involves sitting, a certain amount of walking and 
standing is often necessary in carrying out job duties. Jobs are 
sedentary if walking and standing are required occasionally and other 
sedentary criteria are met.
    (b) Light work. Light work involves lifting no more than 20 pounds 
at a time with frequent lifting or carrying of objects weighing up to 10 
pounds. Even though the weight lifted may be
 
[[Page 369]]
 
very little, a job is in this category when it requires a good deal of 
walking or standing, or when it involves sitting most of the time with 
some pushing and pulling of arm or leg controls. To be considered 
capable of performing a full or wide range of light work, you must have 
the ability to do substantially all of these activities. If someone can 
do light work, we determine that he or she can also do sedentary work, 
unless there are additional limiting factors such as loss of fine 
dexterity or inability to sit for long periods of time.
    (c) Medium work. Medium work involves lifting no more than 50 pounds 
at a time with frequent lifting or carrying of objects weighing up to 25 
pounds. If someone can do medium work, we determine that he or she can 
also do sedentary and light work.
    (d) Heavy work. Heavy work involves lifting no more than 100 pounds 
at a time with frequent lifting or carrying of objects weighing up to 50 
pounds. If someone can do heavy work, we determine that he or she can 
also do medium, light, and sedentary work.
    (e) Very heavy work. Very heavy work involves lifting objects 
weighing more than 100 pounds at a time with frequent lifting or 
carrying of objects weighing 50 pounds or more. If someone can do very 
heavy work, we determine that he or she can also do heavy, medium, light 
and sedentary work.
 
Sec. 404.1568  Skill requirements.
 
    In order to evaluate your skills and to help determine the existence 
in the national economy of work you are able to do, occupations are 
classified as unskilled, semi-skilled, and skilled. In classifying these 
occupations, we use materials published by the Department of Labor. When 
we make disability determinations under this subpart, we use the 
following definitions:
    (a) Unskilled work. Unskilled work is work which needs little or no 
judgment to do simple duties that can be learned on the job in a short 
period of time. The job may or may not require considerable strength. 
For example, we consider jobs unskilled if the primary work duties are 
handling, feeding and offbearing (that is, placing or removing materials 
from machines which are automatic or operated by others), or machine 
tending, and a person can usually learn to do the job in 30 days, and 
little specific vocational preparation and judgment are needed. A person 
does not gain work skills by doing unskilled jobs.
    (b) Semi-skilled work. Semi-skilled work is work which needs some 
skills but does not require doing the more complex work duties. Semi-
skilled jobs may require alertness and close attention to watching 
machine processes; or inspecting, testing or otherwise looking for 
irregularities; or tending or guarding equipment, property, materials, 
or persons against loss, damage or injury; or other types of activities 
which are similarly less complex than skilled work, but more complex 
than unskilled work. A job may be classified as semi-skilled where 
coordination and dexterity are necessary, as when hands or feet must be 
moved quickly to do repetitive tasks.
    (c) Skilled work. Skilled work requires qualifications in which a 
person uses judgment to determine the machine and manual operations to 
be performed in order to obtain the proper form, quality, or quantity of 
material to be produced. Skilled work may require laying out work, 
estimating quality, determining the suitability and needed quantities of 
materials, making precise measurements, reading blueprints or other 
specifications, or making necessary computations or mechanical 
adjustments to control or regulate the work. Other skilled jobs may 
require dealing with people, facts, or figures or abstract ideas at a 
high level of complexity.
    (d) Skills that can be used in other work (transferability)--(1) 
What we mean by transferable skills. We consider you to have skills that 
can be used in other jobs, when the skilled or semi-skilled work 
activities you did in past work can be used to meet the requirements of 
skilled or semi-skilled work activities of other jobs or kinds of work. 
This depends largely on the similarity of occupationally significant 
work activities among different jobs.
    (2) How we determine skills that can be transferred to other jobs. 
Transferability is most probable and meaningful among jobs in which--
 
[[Page 370]]
 
    (i) The same or a lesser degree of skill is required;
    (ii) The same or similar tools and machines are used; and
    (iii) The same or similar raw materials, products, processes, or 
services are involved.
    (3) Degrees of transferability. There are degrees of transferability 
of skills ranging from very close similarities to remote and incidental 
similarities among jobs. A complete similarity of all three factors is 
not necessary for transferability. However, when skills are so 
specialized or have been acquired in such an isolated vocational setting 
(like many jobs in mining, agriculture, or fishing) that they are not 
readily usable in other industries, jobs, and work settings, we consider 
that they are not transferable.
 
Sec. 404.1569  Listing of Medical-Vocational Guidelines in appendix 2.
 
    The Dictionary of Occupational Titles includes information about 
jobs (classified by their exertional and skill requirements) that exist 
in the national economy. Appendix 2 provides rules using this data 
reflecting major functional and vocational patterns. We apply these 
rules in cases where a person is not doing substantial gainful activity 
and is prevented by a severe medically determinable impairment from 
doing vocationally relevant past work. The rules in appendix 2 do not 
cover all possible variations of factors. Also, as we explain in 
Sec. 200.00 of appendix 2, we do not apply these rules if one of the 
findings of fact about the person's vocational factors and residual 
functional capacity is not the same as the corresponding criterion of a 
rule. In these instances, we give full consideration to all relevant 
facts in accordance with the definitions and discussions under 
vocational considerations. However, if the findings of fact made about 
all factors are the same as the rule, we use that rule to decide whether 
a person is disabled.
 
Sec. 404.1569a  Exertional and nonexertional limitations.
 
    (a) General. Your impairment(s) and related symptoms, such as pain, 
may cause limitations of function or restrictions which limit your 
ability to meet certain demands of jobs. These limitations may be 
exertional, nonexertional, or a combination of both. Limitations are 
classified as exertional if they affect your ability to meet the 
strength demands of jobs. The classification of a limitation as 
exertional is related to the United States Department of Labor's 
classification of jobs by various exertional levels (sedentary, light, 
medium, heavy, and very heavy) in terms of the strength demands for 
sitting, standing, walking, lifting, carrying, pushing, and pulling. 
Sections 404.1567 and 404.1569 explain how we use the classification of 
jobs by exertional levels (strength demands) which is contained in the 
Dictionary of Occupational Titles published by the Department of Labor, 
to determine the exertional requirements of work which exists in the 
national economy. Limitations or restrictions which affect your ability 
to meet the demands of jobs other than the strength demands, that is, 
demands other than sitting, standing, walking, lifting, carrying, 
pushing or pulling, are considered nonexertional. Sections 404.1520(f) 
and 404.1594(f)(8) explain that if you can no longer do your past 
relevant work because of a severe medically determinable impairment(s), 
we must determine whether your impairment(s), when considered along with 
your age, education, and work experience, prevents you from doing any 
other work which exists in the national economy in order to decide 
whether you are disabled (Sec. 404.1520(f)) or continue to be disabled 
(Sec. 404.1594(f)(8)). Paragraphs (b), (c), and (d) of this section 
explain how we apply the medical-vocational guidelines in appendix 2 of 
this subpart in making this determination, depending on whether the 
limitations or restrictions imposed by your impairment(s) and related 
symptoms, such as pain, are exertional, nonexertional, or a combination 
of both.
    (b) Exertional limitations. When the limitations and restrictions 
imposed by your impairment(s) and related symptoms, such as pain, affect 
only your ability to meet the strength demands of jobs (sitting, 
standing, walking, lifting, carrying, pushing, and pulling), we consider 
that you have only exertional
 
[[Page 371]]
 
limitations. When your impairment(s) and related symptoms only impose 
exertional limitations and your specific vocational profile is listed in 
a rule contained in appendix 2 of this subpart, we will directly apply 
that rule to decide whether you are disabled.
    (c) Nonexertional limitations. (1) When the limitations and 
restrictions imposed by your impairment(s) and related symptoms, such as 
pain, affect only your ability to meet the demands of jobs other than 
the strength demands, we consider that you have only nonexertional 
limitations or restrictions. Some examples of nonexertional limitations 
or restrictions include the following:
    (i) You have difficulty functioning because you are nervous, 
anxious, or depressed;
    (ii) You have difficulty maintaining attention or concentrating;
    (iii) You have difficulty understanding or remembering detailed 
instructions;
    (iv) You have difficulty in seeing or hearing;
    (v) You have difficulty tolerating some physical feature(s) of 
certain work settings, e.g., you cannot tolerate dust or fumes; or
    (vi) You have difficulty performing the manipulative or postural 
functions of some work such as reaching, handling, stooping, climbing, 
crawling, or crouching.
    (2) If your impairment(s) and related symptoms, such as pain, only 
affect your ability to perform the nonexertional aspects of work-related 
activities, the rules in appendix 2 do not direct factual conclusions of 
disabled or not disabled. The determination as to whether disability 
exists will be based on the principles in the appropriate sections of 
the regulations, giving consideration to the rules for specific case 
situations in appendix 2.
    (d) Combined exertional and nonexertional limitations. When the 
limitations and restrictions imposed by your impairment(s) and related 
symptoms, such as pain, affect your ability to meet both the strength 
and demands of jobs other than the strength demands, we consider that 
you have a combination of exertional and nonexertional limitations or 
restrictions. If your impairment(s) and related symptoms, such as pain, 
affect your ability to meet both the strength and demands of jobs other 
than the strength demands, we will not directly apply the rules in 
appendix 2 unless there is a rule that directs a conclusion that you are 
disabled based upon your strength limitations; otherwise the rules 
provide a framework to guide our decision.
 
[56 FR 57943, Nov, 14, 1991]
 
                      Substantial Gainful Activity
 
Sec. 404.1571  General.
 
    The work that you have done during any period in which you believe 
you are disabled may show that you are able to do work at the 
substantial gainful activity level. If you are able to engage in 
substantial gainful activity, we will find that you are not disabled. 
(We explain the rules for persons who are statutorily blind in 
Sec. 404.1584.) Even if the work you have done was not substantial 
gainful activity, it may show that you are able to do more work than you 
actually did. We will consider all of the medical and vocational 
evidence in your file to decide whether or not you have the ability to 
engage in substantial gainful activity.
 
Sec. 404.1572  What we mean by substantial gainful activity.
 
    Substantial gainful activity is work activity that is both 
substantial and gainful:
    (a) Substantial work activity. Substantial work activity is work 
activity that involves doing significant physical or mental activities. 
Your work may be substantial even if it is done on a part-time basis or 
if you do less, get paid less, or have less responsibility than when you 
worked before.
    (b) Gainful work activity. Gainful work activity is work activity 
that you do for pay or profit. Work activity is gainful if it is the 
kind of work usually done for pay or profit, whether or not a profit is 
realized.
    (c) Some other activities. Generally, we do not consider activities 
like taking care of yourself, household tasks, hobbies, therapy, school 
attendance, club
 
[[Page 372]]
 
activities, or social programs to be substantial gainful activity.
 
Sec. 404.1573  General information about work activity.
 
    (a) The nature of your work. If your duties require use of your 
experience, skills, supervision and responsibilities, or contribute 
substantially to the operation of a business, this tends to show that 
you have the ability to work at the substantial gainful activity level.
    (b) How well you perform. We consider how well you do your work when 
we determine whether or not you are doing substantial gainful activity. 
If you do your work satisfactorily, this may show that you are working 
at the substantial gainful activity level. If you are unable, because of 
your impairments, to do ordinary or simple tasks satisfactorily without 
more supervision or assistance than is usually given other people doing 
similar work, this may show that you are not working at the substantial 
gainful activity level. If you are doing work that involves minimal 
duties that make little or no demands on you and that are of little or 
no use to your employer, or to the operation of a business if you are 
self-employed, this does not show that you are working at the 
substantial gainful activity level.
    (c) If your work is done under special conditions. Even though the 
work you are doing takes into account your impairment, such as work done 
in a sheltered workshop or as a patient in a hospital, it may still show 
that you have the necessary skills and ability to work at the 
substantial gainful activity level.
    (d) If you are self-employed. Supervisory, managerial, advisory or 
other significant personal services that you perform as a self-employed 
individual may show that you are able to do substantial gainful 
activity.
    (e) Time spent in work. While the time you spend in work is 
important, we will not decide whether or not you are doing substantial 
gainful activity only on that basis. We will still evaluate the work to 
decide whether it is substantial and gainful regardless of whether you 
spend more time or less time at the job than workers who are not 
impaired and who are doing similar work as a regular means of their 
livelihood.
 
Sec. 404.1574  Evaluation guides if you are an employee.
 
    (a) General. We use several guides to decide whether the work you 
have done shows that you are able to do substantial gainful activity.
    (1) Your earnings may show you have done substantial gainful 
activity. The amount of your earnings from work you have done may show 
that you have engaged in substantial gainful activity. Generally, if you 
worked for substantial earnings, this will show that you are able to do 
substantial gainful activity. On the other hand, the fact that your 
earnings are not substantial will not necessarily show that you are not 
able to do substantial gainful activity. We will generally consider work 
that you are forced to stop after a short time because of your 
impairment as an unsuccessful work attempt and your earnings from that 
work will not show that you are able to do substantial gainful activity.
    (2) We consider only the amounts you earn. We do not consider any 
income not directly related to your productivity when we decide whether 
you have done substantial gainful activity. If your earnings are being 
subsidized, the amount of the subsidy is not counted when we determine 
whether or not your work is substantial gainful activity. Thus, where 
work is done under special conditions, we only consider the part of your 
pay which you actually earn. For example, where a handicapped person 
does simple tasks under close and continuous supervision, we would not 
determine that the person worked at the substantial gainful activity 
level only on the basis of the amount of pay. An employer may set a 
specific amount as a subsidy after figuring the reasonable value of the 
employee's services. If your work is subsidized and your employer does 
not set the amount of the subsidy or does not adequately explain how the 
subsidy was figured, we will investigate to see how much your work is 
worth.
    (3) If you are working in a sheltered or special environment. If you 
are working in a sheltered workshop, you may or may not be earning the 
amounts you
 
[[Page 373]]
 
are being paid. The fact that the sheltered workshop or similar facility 
is operating at a loss or is receiving some charitable contributions or 
governmental aid does not establish that you are not earning all you are 
being paid. Since persons in military service being treated for severe 
impairments usually continue to receive full pay, we evaluate work 
activity in a therapy program or while on limited duty by comparing it 
with similar work in the civilian work force or on the basis of 
reasonable worth of the work, rather than on the actual amount of the 
earnings.
    (b) Earnings guidelines. (1) General. If you are an employee, we 
first consider the criteria in paragraph (a) of this section and 
Sec. 404.1576, and then the guides in paragraphs (b) (2), (3), (4), (5), 
and (6) of this section.
    (2) Earnings that will ordinarily show that you have engaged in 
substantial gainful activity. We will consider that your earnings from 
your work activities as an employee show that you have engaged in 
substantial gainful activity if--
    (i) Your earnings averaged more than $200 a month in calendar years 
prior to 1976;
    (ii) Your earnings averaged more than $230 a month in calendar year 
1976;
    (iii) Your earnings averaged more than $240 a month in calendar year 
1977;
    (iv) Your earnings averaged more than $260 a month in calendar year 
1978;
    (v) Your earnings averaged more than $280 a month in calendar year 
1979;
    (vi) Your earnings averaged more than $300 a month in calendar years 
after 1979 and before 1990; or
    (vii) Your earnings averaged more than $500 a month in calendar 
years after 1989.
    (3) Earnings that will ordinarily show that you have not engaged in 
substantial gainful activity. We will generally consider that the 
earnings from your work as an employee will show that you have not 
engaged in substantial gainful activity if--
    (i) Your earnings averaged less than $130 a month in calendar years 
before 1976;
    (ii) Your earnings averaged less than $150 a month in calendar year 
1976;
    (iii) Your earnings averaged less than $160 a month in calendar year 
1977;
    (iv) Your earnings averaged less than $170 a month in calendar year 
1978;
    (v) Your earnings averaged less than $180 a month in calendar year 
1979;
    (vi) Your earnings averaged less than $190 a month in calendar years 
after 1979 and before 1990; or
    (vii) Your earnings averaged less than $300 a month in calendar 
years after 1989.
    (4) If you work in a sheltered workshop. If you are working in a 
sheltered workshop or a comparable facility especially set up for 
severely impaired persons, your earnings and activities will ordinarily 
establish that you have not done substantial gainful activity if--
    (i) Your average earnings are not greater than $200 a month in 
calendar years prior to 1976;
    (ii) Your average earnings are not greater than $230 a month in 
calendar year 1976;
    (iii) Your average earnings are not greater than $240 a month in 
calendar year 1977;
    (iv) Your average earnings are not greater than $260 a month in 
calendar year 1978;
    (v) Your average earnings are not greater than $280 a month in 
calendar year 1979;
    (vi) Your average earnings are not greater than $300 a month in 
calendar years after 1979 and before 1990; or
    (vii) Your average earnings are not greater than $500 a month in 
calendar years after 1989.
    (5) If there is evidence showing that you may have done substantial 
gainful activity. If there is evidence showing that you may have done 
substantial gainful activity, we will apply the criteria in paragraph 
(b)(6) of this section regarding comparability and value of services.
    (6) Earnings that are not high or low enough to show whether you 
engaged in substantial gainful activity. If your earnings, on the 
average, are between the amounts shown in paragraphs (b)(2) and (3) of 
this section, we will generally consider other information in addition 
to your earnings, such as whether--
 
[[Page 374]]
 
    (i) Your work is comparable to that of unimpaired people in your 
community who are doing the same or similar occupations as their means 
of livelihood, taking into account the time, energy, skill, and 
responsibility involved in the work, or
    (ii) Your work, although significantly less than that done by 
unimpaired people, is clearly worth the amounts shown in paragraph 
(b)(2) of this section, according to pay scales in your community.
 
[46 FR 4869, Jan. 19, 1981, as amended at 48 FR 21936, May 16, 1983; 49 
FR 22272, May 29, 1984; 54 FR 53605, Dec. 29, 1989]
 
Sec. 404.1575  Evaluation guides if you are self-employed.
 
    (a) If you are a self-employed person. We will consider your 
activities and their value to your business to decide whether you have 
engaged in substantial gainful activity if you are self-employed. We 
will not consider your income alone since the amount of income you 
actually receive may depend upon a number of different factors like 
capital investment, profit sharing agreements, etc. We will generally 
consider work that you are forced to stop after a short time because of 
your impairment as an unsuccessful work attempt and your income from 
that work will not show that you are able to do substantial gainful 
activity. We will evaluate your work activity on the value to the 
business of your services regardless of whether you receive an immediate 
income for your services. We consider that you have engaged in 
substantial gainful activity if--
    (1) Your work activity, in terms of factors such as hours, skills, 
energy output, efficiency, duties, and responsibilities, is comparable 
to that of unimpaired individuals in your community who are in the same 
or similar businesses as their means of livelihood;
    (2) Your work activity, although not comparable to that of 
unimpaired individuals, is clearly worth the amount shown in 
Sec. 404.1574(b)(2) when considered in terms of its value to the 
business, or when compared to the salary that an owner would pay to an 
employee to do the work you are doing; or
    (3) You render services that are significant to the operation of the 
business and receive a substantial income from the business.
    (b) What we mean by significant services. (1) If you are not a farm 
landlord and you operate a business entirely by yourself, any services 
that you render are significant to the business. If your business 
involves the services of more than one person, we will consider you to 
be rendering significant services if you contribute more than half the 
total time required for the management of the business, or you render 
management services for more than 45 hours a month regardless of the 
total management time required by the business.
    (2) If you are a farm landlord, that is, you rent farm land to 
another, we will consider you to be rendering significant services if 
you materially particpate in the production or the management of the 
production of the things raised on the rented farm. (See Sec. 404.1082 
of this chapter for an explanation of material participation.) If you 
were given social security earnings credits because you materially 
participated in the activities of the farm and you continue these same 
activities, we will consider you to be rendering significant services.
    (c) What we mean by substantial income. After your normal business 
expenses are deducted from your gross income to determine net income, we 
will deduct the reasonable value of any unpaid help, any soil bank 
payments that were included as farm income, and impairment-related work 
expenses described in Sec. 404.1576 that have not been deducted in 
determining your net earnings from self-employment. We will consider the 
resulting amount of income from the business to be substantial if--
    (1) It averages more than the amounts described in 
Sec. 404.1574(b)(2); or
    (2) It averages less than the amounts described in 
Sec. 404.1574(b)(2) but the livelihood which you get from the business 
is either comparable to what it was before you became severely impaired 
or is comparable to that of unimpaired
 
[[Page 375]]
 
self-employed persons in your community who are in the same or similar 
business as their means of livelihood.
 
[46 FR 4870, Jan. 19, 1981, as amended at 48 FR 21936, May 16, 1983; 49 
FR 22272, May 29, 1984]
 
Sec. 404.1576  Impairment-related work expenses.
 
    (a) General. When we figure your earnings in deciding if you have 
done substantial gainful activity, we will subtract the reasonable costs 
to you of certain items and services which, because of your 
impairment(s), you need and use to enable you to work. The costs are 
deductible even though you also need or use the items and services to 
carry out daily living functions unrelated to your work. Paragraph (b) 
of this section explains the conditions for deducting work expenses. 
Paragraph (c) of this section describes the expenses we will deduct. 
Paragraph (d) of this section explains when expenses may be deducted. 
Paragraph (e) of this section describes how expenses may be allocated. 
Paragraph (f) of this section explains the limitations on deducting 
expenses. Paragraph (g) of this section explains our verification 
procedures.
    (b) Conditions for deducting impairment-related work expenses. We 
will deduct impairment-related work expenses if--
    (1) You are otherwise disabled as defined in Secs. 404.1505, 
404.1577 and 404.1581-404.1583;
    (2) The severity of your impairment(s) requires you to purchase (or 
rent) certain items and services in order to work;
    (3) You pay the cost of the item or service. No deduction will be 
allowed to the extent that payment has been or will be made by another 
source. No deduction will be allowed to the extent that you have been, 
could be, or will be reimbursed for such cost by any other source (such 
as through a private insurance plan, Medicare or Medicaid, or other plan 
or agency). For example, if you purchase crutches for $80 but you were, 
could be, or will be reimbursed $64 by some agency, plan, or program, we 
will deduct only $16;
    (4) You pay for the item or service in a month you are working (in 
accordance with paragraph (d) of this section); and
    (5) Your payment is in cash (including checks or other forms of 
money). Payment in kind is not deductible.
    (c) What expenses may be deducted--(1) Payments for attendant care 
services. (i) If because of your impairment(s) you need assistance in 
traveling to and from work, or while at work you need assistance with 
personal functions (e.g., eating, toileting) or with work-related 
functions (e.g., reading, communicating), the payments you make for 
those services may be deducted.
    (ii) If because of your impairment(s) you need assistance with 
personal functions (e.g., dressing, administering medications) at home 
in preparation for going to and assistance in returning from work, the 
payments you make for those services may be deducted.
    (iii)(A) We will deduct payments you make to a family member for 
attendant care services only if such person, in order to perform the 
services, suffers an economic loss by terminating his or her employment 
or by reducing the number of hours he or she worked.
    (B) We consider a family member to be anyone who is related to you 
by blood, marriage or adoption, whether or not that person lives with 
you.
    (iv) If only part of your payment to a person is for services that 
come under the provisions of paragraph (c)(1) of this section, we will 
only deduct that part of the payment which is attributable to those 
services. For example, an attendant gets you ready for work and helps 
you in returning from work, which takes about 2 hours a day. The rest of 
his or her 8 hour day is spent cleaning your house and doing your 
laundry, etc. We would only deduct one-fourth of the attendant's daily 
wages as an impairment-related work expense.
    (2) Payments for medical devices. If your impairment(s) requires 
that you utilize medical devices in order to work, the payments you make 
for those devices may be deducted. As used in this subparagraph, medical 
devices include durable medical equipment which can withstand repeated 
use, is customarily used for medical purposes, and is generally not 
useful to a person in the absence of an illness or injury.
 
[[Page 376]]
 
Examples of durable medical equipment are wheelchairs, hemodialysis 
equipment, canes, crutches, inhalators and pacemakers.
    (3) Payments for prosthetic devices. If your impairment(s) requires 
that you utilize a prosthetic device in order to work, the payments you 
make for that device may be deducted. A prosthetic device is that which 
replaces an internal body organ or external body part. Examples of 
prosthetic devices are artificial replacements of arms, legs and other 
parts of the body.
    (4) Payments for equipment. (i) Work-related equipment. If your 
impairment(s) requires that you utilize special equipment in order to do 
your job, the payments you make for that equipment may be deducted. 
Examples of work-related equipment are one-hand typewriters, vision 
aids, sensory aids for the blind, telecommunication devices for the deaf 
and tools specifically designed to accommodate a person's impairment(s).
    (ii) Residential modifications. If your impairment(s) requires that 
you make modifications to your residence, the location of your place of 
work will determine if the cost of these modifications will be deducted. 
If you are employed away from home, only the cost of changes made 
outside of your home to permit you to get to your means of 
transportation (e.g., the installation of an exterior ramp for a 
wheelchair confined person or special exterior railings or pathways for 
someone who requires crutches) will be deducted. Costs relating to 
modifications of the inside of your home will not be deducted. If you 
work at home, the costs of modifying the inside of your home in order to 
create a working space to accommodate your impairment(s) will be 
deducted to the extent that the changes pertain specifically to the 
space in which you work. Examples of such changes are the enlargement of 
a doorway leading into the workspace or modification of the workspace to 
accommodate problems in dexterity. However, if you are self-employed at 
home, any cost deducted as a business expense cannot be deducted as an 
impairment-related work expense.
    (iii) Nonmedical appliances and equipment. Expenses for appliances 
and equipment which you do not ordinarily use for medical purposes are 
generally not deductible. Examples of these items are portable room 
heaters, air conditioners, humidifiers, dehumidifiers, and electric air 
cleaners. However, expenses for such items may be deductible when 
unusual circumstances clearly establish an impairment-related and 
medically verified need for such an item because it is essential for the 
control of your disabling condition, thus enabling you to work. To be 
considered essential, the item must be of such a nature that if it were 
not available to you there would be an immediate adverse impact on your 
ability to function in your work activity. In this situation, the 
expense is deductible whether the item is used at home or in the working 
place. An example would be the need for an electric air cleaner by an 
individual with severe respiratory disease who cannot function in a non-
purified air environment. An item such as an exercycle is not deductible 
if used for general physical fitness. If it is prescribed and used as 
necessary treatment of your impairment and necessary to enable you to 
work, we will deduct payments you make toward its cost.
    (5) Payments for drugs and medical services. (i) If you must use 
drugs or medical services (including diagnostic procedures) to control 
your impairment(s) the payments you make for them may be deducted. The 
drugs or services must be prescribed (or utilized) to reduce or 
eliminate symptoms of your impairment(s) or to slow down its 
progression. The diagnostic procedures must be performed to ascertain 
how the impairment(s) is progressing or to determine what type of 
treatment should be provided for the impairment(s).
    (ii) Examples of deductible drugs and medical services are 
anticonvulsant drugs to control epilepsy or anticonvulsant blood level 
monitoring; antidepressant medication for mental disorders; medication 
used to allay the side effects of certain treatments; radiation 
treatment or chemotherapy for cancer patients; corrective surgery for 
spinal disorders; electroencephalograms and brain scans
 
[[Page 377]]
 
related to a disabling epileptic condition; tests to determine the 
efficacy of medication on a diabetic condition; and immunosuppressive 
medications that kidney transplant patients regularly take to protect 
against graft rejection.
    (iii) We will only deduct the costs of drugs or services that are 
directly related to your impairment(s). Examples of non-deductible items 
are routine annual physical examinations, optician services (unrelated 
to a disabling visual impairment) and dental examinations.
    (6) Payments for similar items and services--(i) General. If you are 
required to utilize items and services not specified in paragraphs (c) 
(1) through (5) of this section but which are directly related to your 
impairment(s) and which you need to work, their costs are deductible. 
Examples of such items and services are medical supplies and services 
not discussed above, the purchase and maintenance of a dog guide which 
you need to work, and transportation.
    (ii) Medical supplies and services not described above. We will 
deduct payments you make for expendable medical supplies, such as 
incontinence pads, catheters, bandages, elastic stockings, face masks, 
irrigating kits, and disposable sheets and bags. We will also deduct 
payments you make for physical therapy which you require because of your 
impairment(s) and which you need in order to work.
    (iii) Payments for transportation costs. We will deduct 
transportation costs in these situations:
    (A) Your impairment(s) requires that in order to get to work you 
need a vehicle that has structural or operational modifications. The 
modifications must be critical to your operation or use of the vehicle 
and directly related to your impairment(s). We will deduct the costs of 
the modifications, but not the cost of the vehicle. We will also deduct 
a mileage allowance for the trip to and from work. The allowance will be 
based on data compiled by the Federal Highway Administration relating to 
vehicle operating costs.
    (B) Your impairment(s) requires you to use driver assistance, 
taxicabs or other hired vehicles in order to work. We will deduct 
amounts paid to the driver and, if your own vehicle is used, we will 
also deduct a mileage allowance, as provided in paragraph (c)(6)(iii)(A) 
of this section, for the trip to and from work.
    (C) Your impairment(s) prevents your taking available public 
transportation to and from work and you must drive your (unmodified) 
vehicle to work. If we can verify through your physician or other 
sources that the need to drive is caused by your impairment(s) (and not 
due to the unavailability of public transportation), we will deduct a 
mileage allowance, as provided in paragraph (c)(6)(iii)(A) of this 
section, for the trip to and from work.
    (7) Payments for installing, maintaining, and repairing deductible 
items. If the device, equipment, appliance, etc., that you utilize 
qualifies as a deductible item as described in paragraphs (c) (2), (3), 
(4) and (6) of this section, the costs directly related to installing, 
maintaining and repairing these items are also deductible. (The costs 
which are associated with modifications to a vehicle are deductible. 
Except for a mileage allowance, as provided for in paragraph (c)(6)(iii) 
of this section, the costs which are associated with the vehicle itself 
are not deductible.)
    (d) When expenses may be deducted. (1) Effective date. To be 
deductible an expense must be incurred after November 30, 1980. An 
expense may be considered incurred after that date if it is paid 
thereafter even though pursuant to a contract or other arrangement 
entered into before December 1, 1980.
    (2) Payments for services. A payment you make for services may be 
deducted if the services are received while you are working and the 
payment is made in a month you are working. We consider you to be 
working even though you must leave work temporarily to receive the 
services.
    (3) Payments for items. A payment you make toward the cost of a 
deductible item (regardless of when it is acquired) may be deducted if 
payment is made in a month you are working. See paragraph (e)(4) of this 
section when purchases are made in anticipation of work.
    (e) How expenses are allocated. (1) Recurring expenses. You may pay 
for services on a regular periodic basis, or you
 
[[Page 378]]
 
may purchase an item on credit and pay for it in regular periodic 
installments or you may rent an item. If so, each payment you make for 
the services and each payment you make toward the purchase or rental 
(including interest) is deductible in the month it is made.
    Example.  B starts work in October 1981 at which time she purchases 
a medical device at a cost of $4,800 plus interest charges of $720. Her 
monthly payments begin in October. She earns and receives $400 a month. 
The term of the installment contract is 48 months. No downpayment is 
made. The monthly allowable deduction for the item would be $115 ($5520 
divided by 48) for each month of work during the 48 months.
    (2) Nonrecurring expenses. Part or all of your expenses may not be 
recurring. For example, you may make a one-time payment in full for an 
item or service or make a downpayment. If you are working when you make 
the payment we will either deduct the entire amount in the month you pay 
it or allocate the amount over a 12 consecutive month period beginning 
with the month of payment, whichever you select.
    Example  A begins working in October 1981 and earns $525 a month. In 
the same month he purchases and pays for a deductible item at a cost of 
$250. In this situation we could allow a $250 deduction for October 
1981, reducing A's earnings below the SGA level for that month.
    If A's earnings had been $15 above the SGA earnings amount, A 
probably would select the option of projecting the $250 payment over the 
12-month period, October 1981-September 1982, giving A an allowable 
deduction of $20.83 a month for each month of work during that period. 
This deduction would reduce A's earnings below the SGA level for 12 
months.
    (3) Allocating downpayments. If you make a downpayment we will, if 
you choose, make a separate calculation for the downpayment in order to 
provide for uniform monthly deductions. In these situations we will 
determine the total payment that you will make over a 12 consecutive 
month period beginning with the month of the downpayment and allocate 
that amount over the 12 months. Beginning with the 13th month, the 
regular monthly payment will be deductible. This allocation process will 
be for a shorter period if your regular monthly payments will extend 
over a period of less than 12 months.
    Example 1.  C starts working in October 1981, at which time he 
purchases special equipment at a cost of $4,800, paying $1,200 down. The 
balance of $3,600, plus interest of $540, is to be repaid in 36 
installments of $115 a month beginning November 1981. C earns $500 a 
month. He chooses to have the downpayment allocated. In this situation 
we would allow a deduction of $205.42 a month for each month of work 
during the period October 1981 through September 1982. After September 
1982, the deduction amount would be the regular monthly payment of $115 
for each month of work during the remaining installment period.
 
                                                                        
                                                                        
                                                                        
Explanation:                                                            
  Downpayment in 10/81..........................      $1,200            
  Monthly payments 11/81 through 09/82..........       1,265            
                                                 ------------           
                                                   12) 2,465    =$205.42
                                                                        
 
    Example 2.  D, while working, buys a deductible item in July 1981, 
paying $1,450 down. However, his first monthly payment of $125 is not 
due until September 1981. D chooses to have the downpayment allocated. 
In this situation we would allow a deduction of $225 a month for each 
month of work during the period July 1981 through June 1982. After June 
1982, the deduction amount would be the regular monthly payment of $125 
for each month of work.
 
Explanation:                                                            
  Downpayment in 07/81..........................      $1,450            
  Monthly payments 09/81 through 06/82..........       1,250            
                                                 ------------           
                                                   12) 2,700       =$225
                                                                        
 
    (4) Payments made in anticipation of work. A payment toward the cost 
of a deductible item that you made in any of the 11 months preceding the 
month you started working will be taken into account in determining your 
impairment-related work expenses. When an item is paid for in full 
during the 11 months preceding the month you started working the payment 
will be allocated over the 12-consecutive month period beginning with 
the month of the payment. However, the only portion of the payment which 
may be deductible is the portion allocated to the month work begins and 
the following months. For example, if an item is purchased 3 months 
before the month work began and is paid for with a one-time payment of 
$600, the deductible amount
 
[[Page 379]]
 
would be $450 ($600 divided by 12, multiplied by 9). Installment 
payments (including a downpayment) that you made for a particular item 
during the 11 months preceding the month you started working will be 
totaled and considered to have been made in the month of your first 
payment for that item within this 11 month period. The sum of these 
payments will be allocated over the 12-consecutive month period 
beginning with the month of your first payment (but never earlier than 
11 months before the month work began). However, the only portion of the 
total which may be deductible is the portion allocated to the month work 
begins and the following months. For example, if an item is purchased 3 
months before the month work began and is paid for in 3 monthly 
installments of $200 each, the total payment of $600 will be considered 
to have been made in the month of the first payment, that is, 3 months 
before the month work began. The deductible amount would be $450 ($600 
divided by 12, multiplied by 9). The amount, as determined by these 
formulas, will then be considered to have been paid in the first month 
of work. We will deduct either this entire amount in the first month of 
work or allocate it over a 12-consecutive month period beginning with 
the first month of work, whichever you select. In the above examples, 
the individual would have the choice of having the entire $450 deducted 
in the first month of work or of having $37.50 a month ($450 divided by 
12) deducted for each month that he works over a 12-consecutive month 
period, beginning with the first month of work. To be deductible the 
payments must be for durable items such as medical devices, prostheses, 
work-related equipment, residential modifications, nonmedical appliances 
and vehicle modifications. Payments for services and expendable items 
such as drugs, oxygen, diagnostic procedures, medical supplies and 
vehicle operating costs are not deductible for purposes of this 
paragraph.
    (f) Limits on deductions. (1) We will deduct the actual amounts you 
pay towards your impairment-related work expenses unless the amounts are 
unreasonable. With respect to durable medical equipment, prosthetic 
devices, medical services, and similar medically-related items and 
services, we will apply the prevailing charges under Medicare (part B of 
title XVIII, Health Insurance for the Aged and Disabled) to the extent 
that this information is readily available. Where the Medicare guides 
are used, we will consider the amount that you pay to be reasonable if 
it is no more than the prevailing charge for the same item or service 
under the Medicare guidelines. If the amount you actually pay is more 
than the prevailing charge for the same item under the Medicare 
guidelines, we will deduct from your earnings the amount you paid to the 
extent you establish that the amount is consistent with the standard or 
normal charge for the same or similar item or service in your community. 
For items and services that are not listed in the Medicare guidelines, 
and for items and services that are listed in the Medicare guidelines 
but for which such guides cannot be used because the information is not 
readily available, we will consider the amount you pay to be reasonable 
if it does not exceed the standard or normal charge for the same or 
similar item(s) or service(s) in your community.
    (2) Impairment-related work expenses are not deducted in computing 
your earnings for purposes of determining whether your work was 
``services'' as described in Sec. 404.1592(b).
    (3) The decision as to whether you performed substantial gainful 
activity in a case involving impairment-related work expenses for items 
or services necessary for you to work generally will be based upon your 
``earnings'' and not on the value of ``services'' you rendered. (See 
Secs. 404.1574(b)(6) (i) and (ii), and 404.1575(a)). This is not 
necessarily so, however, if you are in a position to control or 
manipulate your earnings.
    (4) The amount of the expenses to be deducted must be determined in 
a uniform manner in both the disability insurance and SSI programs.
    (5) No deduction will be allowed to the extent that any other source 
has paid or will pay for an item or service. No deduction will be 
allowed to the extent that you have been, could be, or will be, 
reimbursed for payments you made. (See paragraph (b)(3) of this 
section.)
 
[[Page 380]]
 
    (6) The provisions described in the foregoing paragraphs of this 
section are effective with respect to expenses incurred on and after 
December 1, 1980, although expenses incurred after November 1980 as a 
result of contractual or other arrangements entered into before December 
1980, are deductible. For months before December 1980 we will deduct 
impairment-related work expenses from your earnings only to the extent 
they exceeded the normal work-related expenses you would have had if you 
did not have your impairment(s). We will not deduct expenses, however, 
for those things which you needed even when you were not working.
    (g) Verification. We will verify your need for items or services for 
which deductions are claimed, and the amount of the charges for those 
items or services. You will also be asked to provide proof that you paid 
for the items or services.
 
[48 FR 21936, May 16, 1983]
 
            Widows, Widowers, and Surviving Divorced Spouses
 
Sec. 404.1577  Disability defined for widows, widowers, and surviving 
          divorced spouses for monthly benefits payable for months prior 
          to January 1991.
 
    For monthly benefits payable for months prior to January 1991, the 
law provides that to be entitled to a widow's or widower's benefit as a 
disabled widow, widower, or surviving divorced spouse, you must have a 
medically determinable physical or mental impairment which can be 
expected to result in death or has lasted or can be expected to last for 
a continuous period of not less than 12 months. The impairment(s) must 
have been of a level of severity to prevent a person from doing any 
gainful activity. To determine whether you were disabled, we consider 
only your physical or mental impairment(s). We do not consider your age, 
education, and work experience. We also do not consider certain felony-
related and prison-related impairments, as explained in Sec. 404.1506. 
(For monthly benefits payable for months after December 1990, see 
Sec. 404.1505(a).)
 
[57 FR 30120, July 8, 1992]
 
Sec. 404.1578  How we determine disability for widows, widowers, and 
          surviving divorced spouses for monthly benefits payable for 
          months prior to January 1991.
 
    (a) For monthly benefits payable for months prior to January 1991, 
we will find that you were disabled and pay you widow's or widower's 
benefits as a widow, widower, or surviving divorced spouse if--
    (1) Your impairment(s) had specific clinical findings that were the 
same as those for any impairment in the Listing of Impairments in 
appendix 1 of this subpart or were medically equivalent to those for any 
impairment shown there;
    (2) Your impairment(s) met the duration requirement.
    (b) However, even if you met the requirements in paragraphs (a) (1) 
and (2) of this section, we will not find you disabled if you were doing 
substantial gainful activity.
 
[57 FR 30121, July 8, 1992]
 
Sec. 404.1579  How we will determine whether your disability continues 
          or ends.
 
    (a) General. (1) The rules for determining whether disability 
continues for widow's or widower's monthly benefits for months after 
December 1990 are discussed in Secs. 404.1594 through 404.1598. The 
rules for determining whether disability continues for monthly benefits 
for months prior to January 1991 are discussed in paragraph (a)(2) of 
this section and paragraphs (b) through (h) of this section.
    (2) If you are entitled to disability benefits as a disabled widow, 
widower, or surviving divorced spouse, and we must decide whether your 
disability continued or ended for monthly benefits for months prior to 
January 1991, there are a number of factors we consider in deciding 
whether your disability continued. We must determine if there has been 
any medical improvement in your impairment(s) and, if so, whether this 
medical improvement is related to your ability to work. If your 
impairment(s) has not so medically improved, we must address whether one 
or more exceptions applies. If medical improvement related to your 
ability to
 
[[Page 381]]
 
work has not occurred and no exception applies, your benefits will 
continue. Even where medical improvement related to your ability to work 
has occurred or an exception applies, in most cases (see paragraph (e) 
of this section for exceptions) before we can find that you are no 
longer disabled, we must also show that your impairment(s), as shown by 
current medical evidence, is no longer deemed, under appendix 1 of this 
subpart, sufficient to preclude you from engaging in gainful activity.
    (b) Terms and definitions. There are several terms and definitions 
which are important to know in order to understand how we review your 
claim to determine whether your disability continues.
    (1) Medical improvement. Medical improvement is any decrease in the 
medical severity of your impairment(s) which was present at the time of 
the most recent favorable medical decision that you were disabled or 
continued to be disabled. A determination that there has been a decrease 
in medical severity must be based on changes (improvement) in the 
symptoms, signs and/or laboratory findings (see Sec. 404.1528) 
associated with your impairment(s).
    Example 1:  You were awarded disability benefits due to a herniated 
nucleus pulposus which was determined to equal the level of severity 
contemplated by Listing 1.05.C. At the time of our prior favorable 
decision, you had had a laminectomy. Postoperatively, a myelogram still 
showed evidence of a persistent deficit in your lumbar spine. You had 
pain in your back, and pain and a burning sensation in your right foot 
and leg. There were no muscle weakness or neurological changes and a 
modest decrease in motion in your back and leg. When we reviewed your 
claim your treating physician reported that he had seen you regularly 
every 2 to 3 months for the past 2 years. No further myelograms had been 
done, complaints of pain in the back and right leg continued especially 
on sitting or standing for more than a short period of time. Your doctor 
further reported a moderately decreased range of motion in your back and 
right leg, but again no muscle atrophy or neurological changes were 
reported. Medical improvement has not occurred because there has been no 
decrease in the severity of your back impairment as shown by changes in 
symptoms, signs, or laboratory findings.
    Example 2: You were awarded disability benefits due to rheumatoid 
arthritis of a severity as described in Listing 1.02 of appendix 1 of 
this subpart. At the time, laboratory findings were positive for this 
condition. Your doctor reported persistent swelling and tenderness of 
your fingers and wrists and that you complained of joint pain. Current 
medical evidence shows that while laboratory tests are still positive 
for rheumatoid arthritis, your impairment has responded favorably to 
therapy so that for the last year your fingers and wrists have not been 
significantly swollen or painful. Medical improvement has occurred 
because there has been a decrease in the severity of your impairment as 
documented by the current symptoms and signs reported by your physician. 
Although your impairment is subject to temporary remissions and 
exacerbations the improvement that has occurred has been sustained long 
enough to permit a finding of medical improvement. We would then 
determine if this medical improvement is related to your ability to 
work.
    (2) Determining whether medical improvement is related to your 
ability to work. If medical improvement has occurred and the severity of 
the prior impairment(s) no longer meets or equals the listing section 
which was used in making our most recent favorable decision, we will 
find that the medical improvement was related to your ability to work. 
We make this finding because the criteria in appendix 1 of this subpart 
are related to ability to work because they reflect impairments which 
are considered severe enough to prevent a person from doing any gainful 
work. We must, of course, also establish that, considering all of your 
current impairments not just those which existed at the time of the most 
recent prior favorable medical decision, your condition does not meet or 
equal the requirements of appendix 1 before we could find that your 
disability has ended. If there has been any medical improvement in your 
impairment(s), but it is not related to your ability to do work and none 
of the exceptions applies, your benefits will be continued.
    (3) Determining whether your impairment(s) is deemed, under appendix 
1 of this subpart, sufficient to preclude you from engaging in gainful 
activity. Even where medical improvement related to your ability to work 
has occurred or an exception applies, in most cases before we can find 
that you are no longer disabled, we must also show that your 
impairment(s) is no longer deemed,
 
[[Page 382]]
 
under appendix 1 of this subpart, sufficient to preclude you from 
engaging in gainful activity. All current impairments will be 
considered, not just the impairment(s) present at the time of our most 
recent favorable determination. Sections 404.1525, 404.1526, and 
404.1578 set out how we will decide whether your impairment(s) meets or 
equals the requirements of appendix 1 of this subpart.
    (4) Evidence and basis for our decision. Our decisions under this 
section will be made on a neutral basis without any initial inference as 
to the presence or absence of disability being drawn from the fact that 
you have previously been determined to be disabled. We will consider all 
evidence you submit, as well as all evidence we obtain from your 
treating physician(s) and other medical or nonmedical sources. What 
constitutes ``evidence'' and our procedures for obtaining it are set out 
in Secs. 404.1512 through 404.1518. Our determination regarding whether 
your disability continues will be made on the basis of the weight of the 
evidence.
    (5) Point of comparison. For purposes of determining whether medical 
improvement has occurred, we will compare the current severity of that 
impairment(s) which was present at the time of the most recent favorable 
medical decision that you were disabled or continued to be disabled to 
the medical severity of that impairment(s) at that time. If medical 
improvement has occurred, we will determine whether the medical 
improvement is related to your ability to do work based on this 
previously existing impairment(s). The most recent favorable medical 
decision is the latest decision involving a consideration of the medical 
evidence and the issue of whether you were disabled or continued to be 
disabled which became final.
    (c) Determining medical improvement and its relationship to your 
ability to do work. Paragraphs (b) (1) and (2) of this section discuss 
what we mean by medical improvement and how we determine whether medical 
improvement is related to your ability to work.
    (1) Medical improvement. Medical improvement is any decrease in the 
medical severity of impairment(s) present at the time of the most recent 
favorable medical decision that you were disabled or continued to be 
disabled. Whether medical improvement has occurred is determined by a 
comparison of prior and current medical evidence which must show that 
there have been changes (improvement) in the symptoms, signs or 
laboratory findings associated with that impairment(s).
    (2) Determining whether medical improvement is related to ability to 
work. If there is a decrease in medical severity as shown by the signs, 
symptoms and laboratory findings, we then must determine if it is 
related to your ability to do work, as explained in paragraph (b)(2) of 
this section. In determining if the medical improvement that has 
occurred is related to your ability to work, we will assess whether the 
previously existing impairments still meet or equal the level of 
severity contemplated by the same listing section in appendix 1 of this 
subpart which was used in making our most recent favorable decision. 
Appendix 1 of this subpart describes impairments which, if severe 
enough, affect a person's ability to work. If the appendix level of 
severity is met or equaled, the individual is deemed, in the absence of 
evidence of the contrary, to be unable to engage in gainful activity. If 
there has been medical improvement to the degree that the requirement of 
the listing section is no longer met or equaled, then the medical 
improvement is related to your ability to work. Unless an objective 
assessment shows that the listing requirement is no longer met or 
equaled based on actual changes shown by the medical evidence, the 
medical improvement that has occurred will not be considered to be 
related to your ability to work.
    (3) Prior file cannot be located. If the prior file cannot be 
located, we will first determine whether your current impairment(s) is 
deemed, under appendix 1 of this subpart, sufficient to preclude you 
from engaging in gainful activity. (In this way, we will be able to 
determine that your disability continues at the earliest time without 
addressing the issue of reconstructing prior evidence which can be a 
lengthy process.) If so, your benefits will continue unless one of the 
second group of exceptions applies (see paragraph (e) of
 
[[Page 383]]
 
this section). If not, we will determine whether an attempt should be 
made to reconstruct those portions of the file that were relevant to our 
most recent favorable medical decision (e.g., medical evidence from 
treating sources and the results of consultative examinations). This 
determination will consider the potential availability of old records in 
light of their age, whether the source of the evidence is still in 
operation, etc.; and whether reconstruction efforts will yield a 
complete record of the basis for the most recent favorable medical 
decision. If relevant parts of the prior record are not reconstructed 
either because it is determined not to attempt reconstruction or because 
such efforts fail, medical improvement cannot be found. The 
documentation of your current impairments will provide a basis for any 
future reviews. If the missing file is later found, it may serve as a 
basis for reopening any decision under this section in accordance with 
the rules in Sec. 404.988.
    (4) Impairment(s) subject to temporary remission. In some cases the 
evidence shows that an individual's impairment is subject to temporary 
remission. In assessing whether medical improvement has occurred in 
persons with this type of impairment, we will be careful to consider the 
longitudinal history of the impairment(s), including the occurrence of 
prior remissions, and prospects for future worsening of the 
impairment(s). Improvement in such impairments that is only temporary 
will not warrant a finding of medical improvement.
    (5) Applicable listing has been revised since the most recent 
favorable medical decision. When determining whether any medical 
improvement is related to your ability to work, we use the same listing 
section in appendix 1 of this subpart which was used to make our prior 
favorable decision. We will use the listing as it appeared at the time 
of the prior decision, even where the requirement(s) of the listing was 
subsequently changed. The current revised listing requirement will be 
used if we determine that you have medically improved and it is 
necessary to determine whether you are now considered unable to engage 
in gainful activity.
    (d) First group of exceptions to medical improvement. The law 
provides for certain limited situations when your disability can be 
found to have ended even though medical improvement has not occurred, if 
your impairment(s) is no longer considered, under appendix 1 of this 
subpart, sufficient to preclude you from engaging in gainful activity. 
These exceptions to medical improvement are intended to provide a way of 
finding that a person is no longer disabled in those limited situations 
where, even though there has been no decrease in severity of the 
impairment(s), evidence shows that the person should no longer be 
considered disabled or never should have been considered disabled. If 
one of these exceptions applies, before we can find you are no longer 
disabled, we must also show that, taking all your current impairment(s) 
into account, not just those that existed at the time of our most recent 
favorable medical decision, your impairment(s) is no longer deemed, 
under appendix 1 of this subpart, sufficient to preclude you from 
engaging in gainful activity. As part of the review process, you will be 
asked about any medical therapy you received or are receiving. Your 
answers and the evidence gathered as a result as well as all other 
evidence, will serve as the basis for the finding that an exception does 
or does not apply.
    (1) Substantial evidence shows that you are the beneficiary of 
advances in medical therapy or technology (related to your ability to 
work). Advances in medical therapy or technology are improvements in 
treatment or rehabilitative methods which have favorably affected the 
severity of your impairment(s). We will apply this exception when 
substantial evidence shows that you have been the beneficiary of 
services which reflect these advances and they have favorably affected 
the severity of your impairment(s). This decision will be based on new 
medical evidence. In many instances, an advanced medical therapy or 
technology will result in a decrease in severity as shown by symptoms, 
signs and laboratory findings which will meet the definition of medical 
improvement. This exception will, therefore, see very limited 
application.
 
[[Page 384]]
 
    (2) Substantial evidence shows that based on new or improved 
diagnostic or evaluative techniques your impairment(s) is not as 
disabling as it was considered to be at the time of the most recent 
favorable decision. Changing methodologies and advances in medical and 
other diagnostic or evaluative techniques have given, and will continue 
to give, rise to improved methods for measuring and documenting the 
effect of various impairments on the ability to do work. Where, by such 
new or improved methods, substantial evidence shows that your 
impairment(s) is not as severe as was determined at the time of our most 
recent favorable medical decision, such evidence may serve as a basis 
for finding that you are no longer disabled, if your impairment(s) is no 
longer deemed, under appendix 1 of this subpart, sufficient to preclude 
you from engaging in gainful activity. In order to be used under this 
exception, however, the new or improved techniques must have become 
generally available after the date of our most recent favorable medical 
decision.
    (i) How we will determine which methods are new or improved 
techniques and when they become generally available. New or improved 
diagnostic techniques or evaluations will come to our attention by 
several methods. In reviewing cases, we often become aware of new 
techniques when their results are presented as evidence. Such techniques 
and evaluations are also discussed and acknowledged in medical 
literature by medical professional groups and other governmental 
entities. Through these sources, we develop listings of new techniques 
and when they become generally available. For example, we will consult 
the Health Care Financing Administration for its experience regarding 
when a technique is recognized for payment under Medicare and when they 
began paying for the technique.
    (ii) How you will know which methods are new or improved techniques 
and when they become generally available. We will let you know which 
methods we consider to be new or improved techniques and when they 
become available through two vehicles.
    (A) Some of the future changes in the Listing of Impairments in 
appendix 1 of this subpart will be based on new or improved diagnostic 
or evaluative techniques. Such listing changes will clearly state this 
fact as they are published as Notices of Proposed Rulemaking and the new 
or improved technique will be considered generally available as of the 
date of the final publication of that particular listing in the Federal 
Register.
    (B) A cumulative list since 1970 of new or improved diagnostic 
techniques or evaluations, how they changed the evaluation of the 
applicable impairment and the month and year they became generally 
available, will be published in the Notices section of the Federal 
Register. Included will be any changes in the Listing of Impairments 
published in the Code of Federal Regulations since 1970 which are 
reflective of new or improved techniques. No cases will be processed 
under this exception until this cumulative listing is so published. 
Subsequent changes to the list will be published periodically. The 
period will be determined by the volume of changes needed.
    Example:  The electrocardiographic exercise test has replaced the 
Master's 2-step test as a measurement of heart function since the time 
of your last favorable medical decision. Current evidence could show 
that your condition, which was previously evaluated based on the 
Master's 2-step test, is not now as disabling as was previously thought. 
If, taking all your current impairments into account, you are now able 
to engage in gainful activity, this exception would be used to find that 
you are no longer disabled even if medical improvement has not occurred.
    (3) Substantial evidence demonstrates that any prior disability 
decision was in error. We will apply the exception to medical 
improvement based on error if substantial evidence (which may be 
evidence on the record at the time any prior determination of the 
entitlement to benefits based on disability was made, or newly obtained 
evidence which relates to that determination) demonstrates that a prior 
determination was in error. A prior determination will be found in error 
only if:
    (i) Substantial evidence shows on its face that the decision in 
question should not have been made (e.g., the evidence in your file such 
as pulmonary function study values was misread or an adjudicative 
standard such as a listing in appendix 1 of this subpart was 
misapplied).
 
[[Page 385]]
 
    Example:  You were granted benefits when it was determined that your 
epilepsy met Listing 11.02. This listing calls for a finding of major 
motor seizures more frequently than once a month as documented by EEG 
evidence and by a detailed description of a typical seizure pattern. A 
history of either diurnal episodes or nocturnal episodes with residuals 
interfering with daily activities is also required. On review, it is 
found that a history of the frequency of your seizures showed that they 
occurred only once or twice a year. The prior decision would be found to 
be in error, and whether you were still considered to be disabled would 
be based on whether your current impairment(s) meets or equals the 
requirements of appendix 1 of this subpart.
    (ii) At the time of the prior evaluation, required and material 
evidence of the severity of your impairment(s) was missing. That 
evidence becomes available upon review, and substantial evidence 
demonstrates that had such evidence been present at the time of the 
prior determination, disability would not have been found.
    (iii) Substantial evidence which is new evidence which relates to 
the prior determination (of allowance or continuance) refutes the 
conclusions that were based upon the prior evidence (e.g., a tumor 
thought to be malignant was later shown to have actually been benign). 
Substantial evidence must show that had the new evidence (which relates 
to the prior determination) been considered at the time of the prior 
decision, the claim would not have been allowed or continued. A 
substitution of current judgment for that used in the prior favorable 
decision will not be the basis for applying this exception.
    Example:  You were previously granted disability benefits on the 
basis of diabetes mellitus which the prior adjudicator believed was 
equivalent to the level of severity contemplated in the Listing of 
Impairments. The prior record shows that you had ``brittle'' diabetes 
for which you were taking insulin. Your urine was 3+ for sugar, and you 
alleged occasional hypoglycemic attacks caused by exertion. On review, 
symptoms, signs and laboratory findings are unchanged. The current 
adjudicator believes, however, that your impairment does not equal the 
severity contemplated by the listings. Error cannot be found because it 
would represent a substitution of current judgment for that of the prior 
adjudicator that your impairment equaled a listing.
    (iv) The exception for error will not be applied retroactively under 
the conditions set out above unless the conditions for reopening the 
prior decision (see Sec. 404.988) are met.
    (4) You are currently engaging in substantial gainful activity. If 
you are currently engaging in substantial gainful activity before we 
determine whether you are no longer disabled because of your work 
activity, we will consider whether you are entitled to a trial work 
period as set out in Sec. 404.1592. We will find that your disability 
has ended in the month in which you demonstrated your ability to engage 
in substantial gainful activity (following completion of a trial work 
period, where it applies). This exception does not apply in determining 
whether you continue to have a disabling impairment(Sec. 404.1511) for 
purposes of deciding your eligibility for a reentitlement period 
(Sec. 404.1592a).
    (e) Second group of exceptions to medical improvement. In addition 
to the first group of exceptions to medical improvement, the following 
exceptions may result in a determination that you are no longer 
disabled. In these situations the decision will be made without a 
determination that you have medically improved or can engage in gainful 
activity.
    (1) A prior determination or decision was fraudulently obtained. If 
we find that any prior favorable determination or decision was obtained 
by fraud, we may find that you are not disabled. In addition, we may 
reopen your claim under the rules in Sec. 404.988. In determining 
whether a prior favorable determination or decision was fraudulently 
obtained, we will take into account any physical, mental, educational, 
or linguistic limitations (including any lack of facility with the 
English language) which you may have had at the time.
    (2) You do not cooperate with us. If there is a question about 
whether you continue to be disabled and we ask you to give us medical or 
other evidence or to go for a physical or mental examination by a 
certain date, we will find that your disability has ended if you fail, 
without good cause, to do what we ask. Section 404.911 explains the 
factors we consider and how we will determine
 
[[Page 386]]
 
generally whether you have good cause for failure to cooperate. In 
addition, Sec. 404.1518 discusses how we determine whether you have good 
cause for failing to attend a consultative examination. The month in 
which your disability ends will be the first month in which you failed 
to do what we asked.
    (3) We are unable to find you. If there is a question about whether 
you continue to be disabled and we are unable to find you to resolve the 
question, we will determine that your disability has ended. The month 
your disability ends will be the first month in which the question arose 
and we could not find you.
    (4) You fail to follow prescribed treatment which would be expected 
to restore your ability to engage in gainful activity. If treatment has 
been prescribed for you which would be expected to restore your ability 
to work, you must follow that treatment in order to be paid benefits. If 
you are not following that treatment and you do not have good cause for 
failing to follow that treatment, we will find that your disability has 
ended (see Sec. 404.1530(c)). The month your disability ends will be the 
first month in which you failed to follow the prescribed treatment.
    (f) Evaluation steps. To assure that disability reviews are carried 
out in a uniform manner, that decisions of continuing disability can be 
made in the most expeditious and administratively efficient way, and 
that any decisions to stop disability benefits are made objectively, 
neutrally and are fully documented, we will follow specific steps in 
reviewing the question of whether your disability continues. Our review 
may stop and benefits may be continued at any point if we determine 
there is sufficient evidence to find that you are still unable to engage 
in gainful activity. The steps are:
    (1) Are you engaging in substantial gainful activity? If you are 
(and any applicable trial work period has been completed), we will find 
disability to have ended.
    (2) If you are not, has there been medical improvement as defined in 
paragraph (b)(1) of this section? If there has been medical improvement 
as shown by a decrease in medical severity, see step (3). If there has 
been no decrease in medical severity, there has been no medical 
improvement. (see step (4).)
    (3) If there has been medical improvement, we must determine (in 
accordance with paragraph (b)(2) of this section) whether it is related 
to your ability to work. If medical improvement is not related to your 
ability to do work, see step (4). If medical improvement is related to 
your ability to do work, see step (5).
    (4) If we found at step (2) that there has been no medical 
improvement or if we found at step (3) that the medical improvement is 
not related to your ability to work, we consider whether any of the 
exceptions in paragraphs (d) and (e) of this section apply. If none of 
them apply, your disability will be found to continue. If one of the 
first group of exceptions to medical improvement (see paragraph (d) of 
this section) applies, we will proceed to step (5). If an exception from 
the second group of exceptions to medical improvement applies, your 
disability will be found to have ended. The second group of exceptions 
to medical improvement may be considered at any point in this process.
    (5) If medical improvement is related to your ability to work or if 
one of the first group of exceptions to medical improvement applies, we 
will determine (considering all your impairments) whether the 
requirements of appendix 1 of this subpart are met or equaled. If your 
impairment(s) meets or equals the requirements of appendix 1 of this 
subpart, your disability will be found to continue. If not, your 
disability will be found to have ended.
    (g) The month in which we will find you are no longer disabled. If 
the evidence shows that you are no longer disabled, we will find that 
your disability ended in the earliest of the following months--
    (1) The month the evidence shows you are no longer disabled under 
the rules set out in this section, and you were disabled only for a 
specified period of time in the past;
    (2) The month the evidence shows you are no longer disabled under 
the rules set out in this section, but not earlier than the month in 
which we
 
[[Page 387]]
 
mail you a notice saying that the information we have shows that you are 
not disabled;
    (3) The month in which you demonstrated your ability to engage in 
substantial gainful activity (following completion of a trial work 
period); however, we may pay you benefits for certain months in and 
after the reentitlement period which follows the trial work period. (See 
Sec. 404.1592 for a discussion of the trial work period, Sec. 404.1592a 
for a discussion of the reentitlement period, and Sec. 404.337 for when 
your benefits will end.);
    (4) The month in which you return to full-time work, with no 
significant medical restrictions and acknowledge that medical 
improvement has occurred, as long as we expected your impairment(s) to 
improve (see Sec. 404.1591);
    (5) The first month in which you failed to do what we asked, without 
good cause when the rule set out in paragraph (e)(2) of this section 
applies;
    (6) The first month in which the question of continuing disability 
arose and we could not find you, when the rule set out in paragraph 
(e)(3) of this section applies;
    (7) The first month in which you failed to follow prescribed 
treatment without good cause, when the rule set out in paragraph (e)(4) 
of this section applies; or
    (8) The first month you were told by your physician that you could 
return to work provided there is no substantial conflict between your 
physician's and your statements regarding your awareness of your 
capacity for work and the earlier date is supported by medical evidence.
    (h) Before we stop your benefits. Before we determine you are no 
longer disabled, we will give you a chance to explain why we should not 
do so. Sections 404.1595 and 404.1597 describe your rights (including 
appeal rights) and the procedures we will follow.
 
[50 FR 50126, Dec. 6, 1985; 51 FR 7063, Feb. 28, 1986; 51 FR 16015, Apr. 
30, 1986, as amended at 57 FR 30121, July 8, 1992; 59 FR 1635, Jan. 12, 
1994]
 
                                Blindness
 
Sec. 404.1581  Meaning of blindness as defined in the law.
 
    We will consider you blind under the law for a period of disability 
and for payment of disability insurance benefits if we determine that 
you are statutorily blind. Statutory blindness is defined in the law as 
central visual acuity of 20/200 or less in the better eye with the use 
of correcting lens. An eye which has a limitation in the field of vision 
so that the widest diameter of the visual field subtends an angle no 
greater than 20 degrees is considered to have a central visual acuity of 
20/200 or less. Your blindness must meet the duration requirement in 
Sec. 404.1509. We do not consider certain felony-related and prison-
related impairments, as explained in Sec. 404.1506.
 
[45 FR 55584, Aug. 20, 1980, as amended at 48 FR 5715, Feb. 8, 1983]
 
Sec. 404.1582  A period of disability based on blindness.
 
    If we find that you are blind and you meet the insured status 
requirement, we may establish a period of disability for you regardless 
of whether you can do substantial gainful activity. A period of 
disability protects your earnings record under Social Security so that 
the time you are disabled will not count against you in determining 
whether you will have worked long enough to qualify for benefits and the 
amount of your benefits. However, you will not necessarily be entitled 
to receive disability insurance cash benefits even though you are blind. 
If you are a blind person under age 55, you must be unable to do any 
substantial gainful activity in order to be paid disability insurance 
cash benefits.
 
Sec. 404.1583  How we determine disability for blind persons who are age 
          55 or older.
 
    We will find that you are eligible for disability insurance benefits 
even though you are still engaging in substantial gainful activity, if--
    (a) You are blind;
    (b) You are age 55 or older; and
    (c) You are unable to use the skills or abilities like the ones you 
used in any
 
[[Page 388]]
 
substantial gainful activity which you did regularly and for a 
substantial period of time. (However, you will not be paid any cash 
benefits for any month in which you are doing substantial gainful 
activity.)
 
Sec. 404.1584  Evaluation of work activity of blind people.
 
    (a) General. If you are blind (as explained in Sec. 404.1581), we 
will consider the earnings from the work you are doing to determine 
whether or not you should be paid cash benefits.
    (b) Under Age 55. If you are under age 55, we will evaluate the work 
you are doing using the guides in paragraph (d) of this section to 
determine whether or not your work shows that you are doing substantial 
gainful activity. If you are not doing substantial gainful activity, we 
will pay you cash benefits. If you are doing substantial gainful 
activity, we will not pay you cash benefits. However, you will be given 
a period of disability as described in subpart D of this part.
    (c) Age 55 or older. If you are age 55 or older, we will evaluate 
your work using the guides in paragraph (d) of this section to determine 
whether or not your work shows that you are doing substantial gainful 
activity. If you have not shown this ability, we will pay you cash 
benefits. If you have shown an ability to do substantial gainful 
activity, we will evaluate your work activity to find out how your work 
compares with the work you did before. If the skills and abilities of 
your new work are about the same as those you used in the work you did 
before, we will not pay you cash benefits. However, if your new work 
requires skills and abilities which are less than or different than 
those you used in the work you did before, we will pay you cash 
benefits, but not for any month in which you actually perform 
substantial gainful activity.
    (d) Evaluation of earnings. The law provides a different earnings 
test for substantial gainful activity of people who are blind. We will 
not consider that you are able to engage in substantial gainful activity 
on the basis of earnings unless your monthly earnings average more than 
$334.00 in 1978; $375.00 in 1979; $417.00 in 1980; $459.00 in 1981; and 
$500.00 in 1982. (Sections 404.1574(a)(2), 404.1575(c) and 404.1576 are 
applicable in determining the amount of your earnings.) Thereafter, an 
increase in the substantial gainful activity amount will depend on 
increases in the cost of living. For work activity performed in taxable 
years before 1978, the earnings considered enough to show an ability to 
do substantial gainful activity are the same for blind people as for 
others.
 
[45 FR 55584, Aug. 20, 1980, as amended at 48 FR 21939, May 16, 1983]
 
Sec. 404.1585  Trial work period for persons age 55 or older who are 
          blind.
 
    If you become eligible for disability benefits even though you were 
doing substantial gainful activity because you are blind and age 55 or 
older, you are entitled to a trial work period if--
    (a) You later return to substantial gainful activity that requires 
skills or abilities comparable to those required in the work you 
regularly did before you became blind or became 55 years old, whichever 
is later; or
    (b) Your last previous work ended because of an impairment and the 
current work requires a significant vocational adjustment.
 
Sec. 404.1586  Why and when we will stop your cash benefits.
 
    (a) When you are not entitled to benefits. If you become entitled to 
disability cash benefits as a statutorily blind person, we will find 
that you are no longer entitled to benefits beginning with the earliest 
of--
    (1) The month your vision, based on current medical evidence, does 
not meet the definition of blindness and your disability does not 
continue under the rules in Sec. 404.1594 and you were disabled only for 
a specified period of time in the past;
    (2) The month your vision, based on current medical evidence, does 
not meet the definition of blindness and your disability does not 
continue under the rules in Sec. 404.1594, but not earlier than the 
month in which we mail you a notice saying that the information we have 
shows that you are not disabled;
 
[[Page 389]]
 
    (3) If you are under age 55, the month in which you demonstrated 
your ability to engage in substantial gainful activity (following 
completion of a trial work period); however, we may pay you benefits for 
certain months in and after the reentitlement period which follows the 
trial work period. (See Sec. 404.1592a for a discussion of the 
reentitlement period, and Sec. 404.316 on when your benefits will end.); 
or
    (4) If you are age 55 or older, the month (following completion of a 
trial work period) when your work activity shows you are able to use, in 
substantial gainful activity, skills and abilities comparable to those 
of some gainful activity which you did with some regularity and over a 
substantial period of time. The skills and abilities are compared to the 
activity you did prior to age 55 or prior to becoming blind, whichever 
is later.
    (b) If we find that you are not entitled to disability cash 
benefits. If we find that you are not entitled to disability cash 
benefits on the basis of your work activity but your visual impairment 
is sufficiently severe to meet the definition of blindness, the period 
of disability that we established for you will continue.
    (c) If you do not follow prescribed treatment. If treatment has been 
prescribed for you that can restore your ability to work, you must 
follow that treatment in order to be paid benefits. If you are not 
following that treatment and you do not have a good reason for failing 
to follow that treatment (see Sec. 404.1530(c)), we will find that your 
disability has ended. The month in which your disability will be found 
to have ended will be the first month in which you failed to follow the 
prescribed treatment.
    (d) If you do not cooperate with us. If we ask you to give us 
medical or other evidence or to go for a medical examination by a 
certain date, we will find that your disability has ended if you fail, 
without good cause, to do what we ask. Section 404.911 explains the 
factors we consider and how we will determine generally whether you have 
good cause for failure to cooperate. In addition, Sec. 404.1518 
discusses how we determine whether you have good cause for failing to 
attend a consultative examination. The month in which your disability 
will be found to have ended will be the month in which you failed to do 
what we asked.
    (e) If we are unable to find you. If there is a question about 
whether you continue to be disabled by blindness and we are unable to 
find you to resolve the question, we will find that your disability, has 
ended. The month it ends will be the first month in which the question 
arose and we could not find you.
    (f) Before we stop your benefits. Before we stop your benefits or 
period of disability, we will give you a chance to give us your reasons 
why we should not stop your benefits or your period of disability. 
Section 404.1595 describes your rights and the procedures we will 
follow.
    (g) If you are in an appropriate vocational rehabilitation program. 
(1) Your benefits, and those of your dependents, may be continued for 
months after November 1980 after your impairment is no longer disabling 
if--
    (i) Your disability did not end before December 1980;
    (ii) You are participating in an appropriate program of vocational 
rehabilitation, that is, one that has been approved under a State plan 
approved under title I of the Rehabilitation Act of 1973 and which meets 
the requirements outlined in 34 CFR part 361 for a rehabilitation 
program;
    (iii) You began the program before your disability ended; and
    (iv) We have determined that your completion of the program, or your 
continuation in the program for a specified period of time, will 
significantly increase the likelihood that you will not have to return 
to the disability benefit rolls.
    (2) Your benefits generally will be stopped with the month--
    (i) You complete the program;
    (ii) You stop participating in the program for any reason; or
    (iii) We determine that your continuing participation in the program 
will no longer significantly increase the likelihood that you will be 
permanently removed from the disability benefit rolls.
 
 
Exception: In no case will your benefits be stopped with a month earlier 
than
 
[[Page 390]]
 
the second month after your disability ends.
 
[45 FR 55584, Aug. 20, 1980, as amended at 47 FR 31543, July 21, 1982; 
47 FR 52693, Nov. 23, 1982; 49 FR 22272, May 29, 1984; 50 FR 50130, Dec. 
6, 1985; 51 FR 17617, May 14, 1986; 59 FR 1635, Jan. 12, 1994]
 
Sec. 404.1587  Circumstances under which we may suspend your benefits 
          before we make a determination.
 
    We will suspend your benefits if all of the information we have 
clearly shows that you are not disabled and we will be unable to 
complete a determination soon enough to prevent us from paying you more 
monthly benefits than you are entitled to. This may occur when you are 
blind as defined in the law and age 55 or older and you have returned to 
work similar to work you previously performed.
 
                    Continuing or Stopping Disability
 
Sec. 404.1588  Your responsibility to tell us of events that may change 
          your disability status.
 
    If you are entitled to cash benefits or to a period of disability 
because you are disabled, you should promptly tell us if--
    (a) Your condition improves;
    (b) You return to work;
    (c) You increase the amount of your work; or
    (d) Your earnings increase.
 
Sec. 404.1589  We may conduct a review to find out whether you continue 
          to be disabled.
 
    After we find that you are disabled, we must evaluate your 
impairment(s) from time to time to determine if you are still eligible 
for disability cash benefits. We call this evaluation a continuing 
disability review. We may begin a continuing disability review for any 
number of reasons including your failure to follow the provisions of the 
Social Security Act or these regulations. When we begin such a review, 
we will notify you that we are reviewing your eligibility for disability 
benefits, why we are reviewing your eligibility, that in medical reviews 
the medical improvement review standard will apply, that our review 
could result in the termination of your benefits, and that you have the 
right to submit medical and other evidence for our consideration during 
the continuing disability review. In doing a medical review, we will 
develop a complete medical history of at least the preceding 12 months 
in any case in which a determination is made that you are no longer 
under a disability. If this review shows that we should stop payment of 
your benefits, we will notify you in writing and give you an opportunity 
to appeal. In Sec. 404.1590 we describe those events that may prompt us 
to review whether you continue to be disabled.
 
[51 FR 16825, May 7, 1986]
 
Sec. 404.1590  When and how often we will conduct a continuing 
          disability review.
 
    (a) General. We conduct continuing disability reviews to determine 
whether or not you continue to meet the disability requirements of the 
law. Payment of cash benefits or a period of disability ends if the 
medical or other evidence shows that you are not disabled as determined 
under the standards set out in section 223(f) of the Social Security 
Act.
    (b) When we will conduct a continuing disability review. A 
continuing disability review will be started if--
    (1) You have been scheduled for a medical improvement expected diary 
review;
    (2) You have been scheduled for a periodic review (medical 
improvement possible or medical improvement not expected) in accordance 
with the provisions of paragraph (d) of this section;
    (3) We need a current medical or other report to see if your 
disability continues. (This could happen when, for example, an advance 
in medical technology, such as improved treatment for Alzheimer's 
disease or a change in vocational therapy or technology raises a 
disability issue.);
    (4) You return to work and successfully complete a period of trial 
work;
    (5) Substantial earnings are reported to your wage record;
    (6) You tell us that you have recovered from your disability or that 
you have returned to work;
    (7) Your State Vocational Rehabilitation Agency tells us that--
    (i) The services have been completed; or
 
[[Page 391]]
 
    (ii) You are now working; or
    (iii) You are able to work;
    (8) Someone in a position to know of your physical or mental 
condition tells us that you are not disabled, that you are not following 
prescribed treatment, that you have returned to work, or that you are 
failing to follow the provisions of the Social Security Act or these 
regulations, and it appears that the report could be substantially 
correct;
    (9) Evidence we receive raises a question as to whether your 
disability continues; or
    (10) You have been scheduled for a vocational reexamination diary 
review.
    (c) Definitions. As used in this section--
    Medical improvement expected diary--refers to a case which is 
scheduled for review at a later date because the individual's 
impairment(s) is expected to improve. Generally, the diary period is set 
for not less than 6 months or for not more than 18 months. Examples of 
cases likely to be scheduled for medical improvement expected diary are 
fractures and cases in which corrective surgery is planned and recovery 
can be anticipated.
    Permanent impairment--medical improvement not expected--refers to a 
case in which any medical improvement in the person's impairment(s) is 
not expected. This means an extremely severe condition determined on the 
basis of our experience in administering the disability programs to be 
at least static, but more likely to be progressively disabling either by 
itself or by reason of impairment complications, and unlikely to improve 
so as to permit the individual to engage in substantial gainful 
activity. The interaction of the individual's age, impairment 
consequences and lack of recent attachment to the labor market may also 
be considered in determining whether an impairment is permanent. 
Improvement which is considered temporary under Sec. 404.1579(c)(4) or 
Sec. 404.1594(c)(3)(iv), as appropriate, will not be considered in 
deciding if an impairment is permanent. Examples of permanent 
impairments taken from the list contained in our other written 
guidelines which are available for public review are as follows and are 
not intended to be all inclusive:
    (1) Parkinsonian Syndrome which has reached the level of severity 
necessary to meet the Listing in appendix 1.
    (2) Amyotrophic Lateral Sclerosis which has reached the level of 
severity necessary to meet the Listing in appendix 1.
    (3) Diffuse pulmonary fibrosis in an individual age 55 or over which 
has reached the level of severity necessary to meet the Listing in 
appendix 1.
    (4) Amputation of leg at hip.
    Nonpermanent impairment--refers to a case in which any medical 
improvement in the person's impairment(s) is possible. This means an 
impairment for which improvement cannot be predicted based on current 
experience and the facts of the particular case but which is not at the 
level of severity of an impairment that is considered permanent. 
Examples of nonpermanent impairments are: regional enteritis, 
hyperthyroidism, and chronic ulcerative colitis.
    Vocational reexamination diary--refers to a case which is scheduled 
for review at a later date because the individual is undergoing 
vocational therapy, training or an educational program which may improve 
his or her ability to work so that the disability requirement of the law 
is no longer met. Generally, the diary period will be set for the length 
of the training, therapy, or program of education.
    (d) Frequency of review. If your impairment is expected to improve, 
generally we will review your continuing eligibility for disability 
benefits at intervals from 6 months to 18 months following our most 
recent decision. Our notice to you about the review of your case will 
tell you more precisely when the review will be conducted. If your 
disability is not considered permanent but is such that any medical 
improvement in your impairment(s) cannot be accurately predicted, we 
will review your continuing eligibility for disability benefits at least 
once every 3 years. If your disability is considered permanent, we will 
review your continuing eligibility for benefits no less frequently than 
once every 7 years but no more frequently than once every 5
 
[[Page 392]]
 
years. Regardless of your classification, we will conduct an immediate 
continuing disability review if a question of continuing disability is 
raised pursuant to paragraph (b) of this section.
    (e) Change in classification of impairment. If the evidence 
developed during a continuing disability review demonstrates that your 
impairment has improved, is expected to improve, or has worsened since 
the last review, we may reclassify your impairment to reflect this 
change in severity. A change in the classification of your impairment 
will change the frequency with which we will review your case. We may 
also reclassify certain impairments because of improved tests, 
treatment, and other technical advances concerning those impairments.
    (f) Review after administrative appeal. If you were found eligible 
to receive or to continue to receive disability benefits on the basis of 
a decision by an administrative law judge, the Appeals Council or a 
Federal court, we will not conduct a continuing disability review 
earlier than 3 years after that decision unless your case should be 
scheduled for a medical improvement expected or vocational reexamination 
diary review or a question of continuing disability is raised pursuant 
to paragraph (b) of this section.
    (g) Waiver of timeframes. All cases involving a nonpermanent 
impairment will be reviewed by us at least once every 3 years unless we, 
after consultation with the State agency, determine that the requirement 
should be waived to ensure that only the appropriate number of cases are 
reviewed. The appropriate number of cases to be reviewed is to be based 
on such considerations as the backlog of pending reviews, the projected 
number of new applications, and projected staffing levels. Such waiver 
shall be given only after good faith effort on the part of the State to 
meet staffing requirements and to process the reviews on a timely basis. 
Availability of independent medical resources may also be a factor. A 
waiver in this context refers to our administrative discretion to 
determine the appropriate number of cases to be reviewed on a State by 
State basis. Therefore, your continuing disability review may be delayed 
longer than 3 years following our original decision or other review 
under certain circumstances. Such a delay would be based on our need to 
ensure that backlogs, reviews required to be performed by the Social 
Security Disability Benefits Reform Act of 1984 (Pub. L. 98-460), and 
new disability claims workloads are accomplished within available 
medical and other resources in the State agency and that such reviews 
are done carefully and accurately.
 
[51 FR 16825, May 7, 1986]
 
Sec. 404.1591  If your medical recovery was expected and you returned to 
          work.
 
    If your impairment was expected to improve and you returned to full-
time work with no significant medical limitations and acknowledge that 
medical improvement has occurred, we may find that your disability ended 
in the month you returned to work. Unless there is evidence showing that 
your disability has not ended, we will use the medical and other 
evidence already in your file and the fact that you returned to full-
time work without significant limitations to determine that you are no 
longer disabled. (If your impairment is not expected to improve, we will 
not ordinarily review your claim until the end of the trial work period, 
as described in Sec. 404.1592.)
    Example:  Evidence obtained during the processing of your claim 
showed that you had an impairment that was expected to improve about 18 
months after your disability began. We, therefore, told you that your 
claim would be reviewed again at that time. However, before the time 
arrived for your scheduled medical re-examination, you told us that you 
had returned to work and your impairment had improved. We investigated 
immediately and found that, in the 16th month after your disability 
began, you returned to full-time work without any significant medical 
restrictions. Therefore, we would find that your disability ended in the 
first month you returned to full-time work.
 
[50 FR 50130, Dec. 6, 1985]
 
Sec. 404.1592  The trial work period.
 
    (a) Definition of the trial work period. The trial work period is a 
period during which you may test your ability to work and still be 
considered disabled.
 
[[Page 393]]
 
It begins and ends as described in paragraph (e) of this section. During 
this period, you may perform services (see paragraph (b) of this 
section) in as many as 9 months, but these months do not have to be 
consecutive. We will not consider those services as showing that your 
disability has ended until you have performed services in at least 9 
months. However, after the trial work period has ended we will consider 
the work you did during the trial work period in determining whether 
your disability ended at any time after the trial work period.
    (b) What we mean by services. When used in this section, services 
means any activity, even though it is not substantial gainful activity, 
which is done by a person in employment or self-employment for pay or 
profit, or is the kind normally done for pay or profit. If you are an 
employee, we will consider your work to be services if in any calendar 
year after 1989 you earn more than $200 a month ($75 a month is the 
amount for calendar years 1979 through 1989, and $50 a month is the 
amount for calendar years before 1979). If you are self-employed, we 
will consider your activities services if in any calendar year after 
1989, your net earnings are more than $200 a month ($75 a month is the 
amount for calendar years 1979 through 1989, and $50 a month is the 
amount for calendar years before 1979), or you work more than 40 hours a 
month in the business in any calendar year after 1989 (15 hours a month 
is the figure for calendar years before 1990). We generally do not 
consider work to be services when it is done without remuneration or 
merely as therapy or training, or when it is work usually done in a 
daily routine around the house, or in self-care.
    (c) Limitations on the number of trial work periods. You may have 
only one trial work period during a period of entitlement to cash 
benefits.
    (d) Who is and is not entitled to a trial work period. (1) Those who 
are receiving disability insurance benefits, child's benefits based on 
disability and, beginning December 1, 1980, those who are receiving 
widows' or widowers' benefits based on disability, or surviving divorced 
spouses' benefits based on disability, generally are entitled to a trial 
work period.
    (2) You are not entitled to a trial work period if--
    (i) You are entitled to a period of disability but not to disability 
insurance cash benefits; or
    (ii) You are receiving disability insurance benefits in a second 
period of disability for which you did not have to complete a waiting 
period.
    (e) When the trial work period begins and ends. The trial work 
period begins with the month in which you become entitled to disability 
insurance cash benefits, to child's cash benefits based on disability or 
to widow's, widower's, or surviving divorced spouse's cash benefits 
based on disability. It cannot begin before the month in which you file 
your application for benefits and for widows, widowers, and surviving 
divorced spouses, it cannot begin before December 1, 1980. It ends with 
the close of whichever of the following calendar months is the earlier:
    (1) The 9th month (whether or not the months have been consecutive) 
in which you have performed services; or
    (2) The month in which new evidence, other than evidence relating to 
any work you did during the trial work period, shows that you are not 
disabled, even though you have not worked a full 9 months. We may find 
that your disability has ended at any time during the trial work period 
if the medical or other evidence shows that you are no longer disabled 
(see Sec. 404.1594).
 
[45 FR 55584, Aug. 20, 1980, as amended at 49 FR 22273, May 29, 1984; 50 
FR 50130, Dec. 6, 1985; 54 FR 53605, Dec. 29, 1989]
 
Sec. 404.1592a  The reentitlement period.
 
    (a) General. The reentitlement period is an additional period after 
9 months of trial work during which you may continue to test your 
ability to work if you have a disabling impairment. You will not be paid 
benefits for any month, after the third month, in this period in which 
you do substantial gainful activity and you will be paid benefits for 
months in which you do not do substantial gainful activity. (See 
Secs. 404.316, 404.337, 404.352 and 404.401a.) If anyone else is 
receiving monthly benefits based on your earnings record, that 
individual will not be paid benefits for
 
[[Page 394]]
 
any month for which you cannot be paid benefits during the reentitlement 
period. If your benefits are stopped because you do substantial gainful 
activity they may be started again without a new application and a new 
determination of disability if you discontinue doing substantial gainful 
activity during this period. In determining, for reentitlement benefit 
purposes, whether you do substantial gainful activity in a month, we 
consider only your work in or earnings for that month; we do not 
consider the average amount of your work or earnings over a period of 
months.
    (b) When the reentitlement period begins and ends. The reentitlement 
period begins with the first month following completion of 9 months of 
trial work but cannot begin earlier than December 1, 1980. It ends with 
whichever is earlier--
    (1) The month before the first month in which your impairment no 
longer exists or is not medically disabling; or
    (2) The last day of the 15th month following the end of your trial 
work period. (See Secs. 404.316, 404.337, and 404.352 for when your 
benefits end.)
    (c) When you are not entitled to a reentitlement period. You are not 
entitled to a reentitlement period if:
    (1) You are entitled to a period of disability, but not to 
disability insurance cash benefits;
    (2) You are not entitled to a trial work period;
    (3) Your entitlement to disability insurance benefits ended before 
you completed 9 months of trial work in that period of disability.
 
[49 FR 22273, May 29, 1984, as amended at 58 FR 64883, Dec. 10, 1993]
 
Sec. 404.1593  Medical evidence in continuing disability review cases.
 
    (a) General. If you are entitled to benefits or if a period of 
disability has been established for you because you are disabled, we 
will have your case file with the supporting medical evidence previously 
used to establish or continue your entitlement. Generally, therefore, 
the medical evidence we will need for a continuing disability review 
will be that required to make a current determination or decision as to 
whether you are still disabled, as defined under the medical improvement 
review standard. See Secs. 404.1579 and 404.1594.
    (b) Obtaining evidence from your medical sources. You must provide 
us with reports from your physician, psychologist, or others who have 
treated or evaluated you, as well as any other evidence that will help 
us determine if you are still disabled. See Sec. 404.1512. You must have 
a good reason for not giving us this information or we may find that 
your disability has ended. See Sec. 404.1594(e)(2). If we ask you, you 
must contact your medical sources to help us get the medical reports. We 
will make every reasonable effort to help you in getting medical reports 
when you give us permission to request them from your physician, 
psychologist, or other medical sources. See Sec. 404.1512(d)(1) 
concerning what we mean by every reasonable effort. In some instances, 
such as when a source is known to be unable to provide certain tests or 
procedures or is known to be nonproductive or uncooperative, we may 
order a consultative examination while awaiting receipt of medical 
source evidence. Before deciding that your disability has ended, we will 
develop a complete medical history covering at least the 12 months 
preceding the date you sign a report about your continuing disability 
status. See Sec. 404.1512(c).
    (c) When we will purchase a consultative examination. A consultative 
examination may be purchased when we need additional evidence to 
determine whether or not your disability continues. As a result, we may 
ask you, upon our request and reasonable notice, to undergo consultative 
examinations and tests to help us determine if you are still disabled. 
See Sec. 404.1517. We will decide whether or not to purchase a 
consultative examination in accordance with the standards in 
Secs. 404.1519a through 404.1519b.
 
[56 FR 36962, Aug. 1, 1991]
 
Sec. 404.1594  How we will determine whether your disability continues 
          or ends.
 
    (a) General. There is a statutory requirement that, if you are 
entitled to disability benefits, your continued entitlement to such 
benefits must be reviewed periodically. If you are entitled
 
[[Page 395]]
 
to disability benefits as a disabled worker or as a person disabled 
since childhood, or, for monthly benefits payable for months after 
December 1990, as a disabled widow, widower, or surviving divorced 
spouse, there are a number of factors we consider in deciding whether 
your disability continues. We must determine if there has been any 
medical improvement in your impairment(s) and, if so, whether this 
medical improvement is related to your ability to work. If your 
impairment(s) has not medically improved we must consider whether one or 
more of the exceptions to medical improvement applies. If medical 
improvement related to your ability to work has not occurred and no 
exception applies, your benefits will continue. Even where medical 
improvement related to your ability to work has occurred or an exception 
applies, in most cases (see paragraph (e) of this section for 
exceptions), we must also show that you are currently able to engage in 
substantial gainful activity before we can find that you are no longer 
disabled.
    (b) Terms and definitions. There are several terms and definitions 
which are important to know in order to understand how we review whether 
your disability continues.
    (1) Medical improvement. Medical improvement is any decrease in the 
medical severity of your impairment(s) which was present at the time of 
the most recent favorable medical decision that you were disabled or 
continued to be disabled. A determination that there has been a decrease 
in medical severity must be based on changes (improvement) in the 
symptoms, signs and/or laboratory findings associated with your 
impairment(s) (see Sec. 404.1528).
    Example 1:  You were awarded disability benefits due to a herniated 
nucleus pulposus. At the time of our prior decision granting you 
benefits you had had a laminectomy. Postoperatively, a myelogram still 
shows evidence of a persistent deficit in your lumbar spine. You had 
pain in your back, and pain and a burning sensation in your right foot 
and leg. There were no muscle weakness or neurological changes and a 
modest decrease in motion in your back and leg. When we reviewed your 
claim your treating physician reported that he had seen you regularly 
every 2 to 3 months for the past 2 years. No further myelograms had been 
done, complaints of pain in the back and right leg continued especially 
on sitting or standing for more than a short period of time. Your doctor 
further reported a moderately decreased range of motion in your back and 
right leg, but again no muscle atrophy or neurological changes were 
reported. Medical improvement has not occurred because there has been no 
decrease in the severity of your back impairment as shown by changes in 
symptoms, signs or laboratory findings.
    Example 2:  You were awarded disability benefits due to rheumatoid 
arthritis. At the time, laboratory findings were positive for this 
condition. Your doctor reported persistent swelling and tenderness of 
your fingers and wrists and that you complained of joint pain. Current 
medical evidence shows that while laboratory tests are still positive 
for rheumatoid arthritis, your impairment has responded favorably to 
therapy so that for the last year your fingers and wrists have not been 
significantly swollen or painful. Medical improvement has occurred 
because there has been a decrease in the severity of your impairment as 
documented by the current symptoms and signs reported by your physician. 
Although your impairment is subject to temporary remission and 
exacerbations, the improvement that has occurred has been sustained long 
enough to permit a finding of medical improvement. We would then 
determine if this medical improvement is related to your ability to 
work.
    (2) Medical improvement not related to ability to do work. Medical 
improvement is not related to your ability to work if there has been a 
decrease in the severity of the impairment(s) as defined in paragraph 
(b)(1) of this section, present at the time of the most recent favorable 
medical decision, but no increase in your functional capacity to do 
basic work activities as defined in paragraph (b)(4) of this section. If 
there has been any medical improvement in your impairment(s), but it is 
not related to your ability to do work and none of the exceptions 
applies, your benefits will be continued.
    Example:  You are 65 inches tall and weighed 246 pounds at the time 
your disability was established. You had venous insufficiency and 
persistent edema in your legs. At the time, your ability to do basic 
work activities was affected because you were able to sit for 6 hours, 
but were able to stand or walk only occasionally. At the time of our 
continuing disability review, you had undergone a vein stripping 
operation. You now weigh 220 pounds and have intermittent edema. You are 
still able to sit for 6 hours at a time and to stand or walk only 
occasionally although you report less discomfort on walking. Medical 
improvement has occurred
 
[[Page 396]]
 
because there has been a decrease in the severity of the existing 
impairment as shown by your weight loss and the improvement in your 
edema. This medical improvement is not related to your ability to work, 
however, because your functional capacity to do basic work activities 
(i.e., the ability to sit, stand and walk) has not increased.
    (3) Medical improvement that is related to ability to do work. 
Medical improvement is related to your ability to work if there has been 
a decrease in the severity, as defined in paragraph (b)(1) of this 
section, of the impairment(s) present at the time of the most recent 
favorable medical decision and an increase in your functional capacity 
to do basic work activities as discussed in paragraph (b)(4) of this 
section. A determination that medical improvement related to your 
ability to do work has occurred does not, necessarily, mean that your 
disability will be found to have ended unless it is also shown that you 
are currently able to engage in substantial gainful activity as 
discussed in paragraph (b)(5) of this section.
    Example 1:  You have a back impairment and had a laminectomy to 
relieve the nerve root impingement and weakness in your left leg. At the 
time of our prior decision, basic work activities were affected because 
you were able to stand less than 6 hours, and sit no more than \1/2\ 
hour at a time. You had a successful fusion operation on your back about 
1 year before our review of your entitlement. At the time of our review, 
the weakness in your leg has decreased. Your functional capacity to 
perform basic work activities now is unimpaired because you now have no 
limitation on your ability to sit, walk, or stand. Medical improvement 
has occurred because there has been a decrease in the severity of your 
impairment as demonstrated by the decreased weakness in your leg. This 
medical improvement is related to your ability to work because there has 
also been an increase in your functional capacity to perform basic work 
activities (or residual functional capacity) as shown by the absence of 
limitation on your ability to sit, walk, or stand. Whether or not your 
disability is found to have ended, however, will depend on our 
determination as to whether you can currently engage in substantial 
gainful activity.
    Example 2:  You were injured in an automobile accident receiving a 
compound fracture to your right femur and a fractured pelvis. When you 
applied for disability benefits 10 months after the accident your doctor 
reported that neither fracture had yet achieved solid union based on his 
clinical examination. X-rays supported this finding. Your doctor 
estimated that solid union and a subsequent return to full weight 
bearing would not occur for at least 3 more months. At the time of our 
review 6 months later, solid union had occurred and you had been 
returned to full weight-bearing for over a month. Your doctor reported 
this and the fact that your prior fractures no longer placed any 
limitation on your ability to walk, stand, lift, etc., and, that in 
fact, you could return to fulltime work if you so desired.
    Medical improvement has occurred because there has been a decrease 
in the severity of your impairments as shown by X-ray and clinical 
evidence of solid union and your return to full weight-bearing. This 
medical improvement is related to your ability to work because you no 
longer meet the same listed impairment in appendix 1 of this subpart 
(see paragraph (c)(3)(i) of this section). In fact, you no longer have 
an impairment which is severe (see Sec. 404.1521) and your disability 
will be found to have ended.
    (4) Functional capacity to do basic work activities. Under the law, 
disability is defined, in part, as the inability to do any substantial 
gainful activity by reason of any medically determinable physical or 
mental impairment(s). In determining whether you are disabled under the 
law, we must measure, therefore, how and to what extent your 
impairment(s) has affected your ability to do work. We do this by 
looking at how your functional capacity for doing basic work activities 
has been affected. Basic work activities means the abilities and 
aptitudes necessary to do most jobs. Included are exertional abilities 
such as walking, standing, pushing, pulling, reaching and carrying, and 
nonexertional abilities and aptitudes such as seeing, hearing, speaking, 
remembering, using judgment, dealing with changes and dealing with both 
supervisors and fellow workers. A person who has no impairment(s) would 
be able to do all basic work activities at normal levels; he or she 
would have an unlimited functional capacity to do basic work activities. 
Depending on its nature and severity, an impairment will result in some 
limitation to the functional capacity to do one or more of these basic 
work activities. Diabetes, for example, can result in circulatory 
problems which could limit the length of time a person could stand or 
walk and damage to his or her eyes as well, so that the person also had
 
[[Page 397]]
 
limited vision. What a person can still do despite an impairment, is 
called his or her residual functional capacity. How the residual 
functional capacity is assessed is discussed in more detail in 
Sec. 404.1545. Unless an impairment is so severe that it is deemed to 
prevent you from doing substantial gainful activity (see Secs. 404.1525 
and 404.1526), it is this residual functional capacity that is used to 
determine whether you can still do your past work or, in conjunction 
with your age, education and work experience, any other work.
    (i) A decrease in the severity of an impairment as measured by 
changes (improvement) in symptoms, signs or laboratory findings can, if 
great enough, result in an increase in the functional capacity to do 
work activities. Vascular surgery (e.g., femoropopliteal bypass) may 
sometimes reduce the severity of the circulatory complications of 
diabetes so that better circulation results and the person can stand or 
walk for longer periods. When new evidence showing a change in signs, 
symptoms and laboratory findings establishes that both medical 
improvement has occurred and your functional capacity to perform basic 
work activities, or residual functional capacity, has increased, we say 
that medical improvement which is related to your ability to do work has 
occurred. A residual functional capacity assessment is also used to 
determine whether you can engage in substantial gainful activity and, 
thus, whether you continue to be disabled (see paragraph (b)(5) of this 
section).
    (ii) Many impairment-related factors must be considered in assessing 
your functional capacity for basic work activities. Age is one key 
factor. Medical literature shows that there is a gradual decrease in 
organ function with age; that major losses and deficits become 
irreversible over time and that maximum exercise performance diminishes 
with age. Other changes related to sustained periods of inactivity and 
the aging process include muscle atrophy, degenerative joint changes, 
decrease in range of motion, and changes in the cardiac and respiratory 
systems which limit the exertional range.
    (iii) Studies have also shown that the longer an individual is away 
from the workplace and is inactive, the more difficult it becomes to 
return to ongoing gainful employment. In addition, a gradual change 
occurs in most jobs so that after about 15 years, it is no longer 
realistic to expect that skills and abilities acquired in these jobs 
will continue to apply to the current workplace. Thus, if you are age 50 
or over and have been receiving disability benefits for a considerable 
period of time, we will consider this factor along with your age in 
assessing your residual functional capacity. This will ensure that the 
disadvantages resulting from inactivity and the aging process during a 
long period of disability will be considered. In some instances where 
available evidence does not resolve what you can or cannot do on a 
sustained basis, we will provide special work evaluations or other 
appropriate testing.
    (5) Ability to engage in substantial gainful activity. In most 
instances, we must show that you are able to engage in substantial 
gainful activity before your benefits are stopped. When doing this, we 
will consider all your current impairments not just that impairment(s) 
present at the time of the most recent favorable determination. If we 
cannot determine that you are still disabled based on medical 
considerations alone (as discussed in Secs. 404.1525 and 404.1526), we 
will use the new symptoms, signs and laboratory findings to make an 
objective assessment of your functional capacity to do basic work 
activities or residual functional capacity and we will consider your 
vocational factors. See Secs. 404.1545 through 404.1569.
    (6) Evidence and basis for our decision. Our decisions under this 
section will be made on a neutral basis without any initial inference as 
to the presence or absence of disability being drawn from the fact that 
you have previously been determined to be disabled. We will consider all 
evidence you submit, as well as all evidence we obtain from your 
treating physician(s) and other medical or nonmedical sources. What 
constitutes evidence and our procedures for obtaining it are set out in 
Secs. 404.1512
 
[[Page 398]]
 
through 404.1518. Our determination regarding whether your disability 
continues will be made on the basis of the weight of the evidence.
    (7) Point of comparison. For purposes of determining whether medical 
improvement has occurred, we will compare the current medical severity 
of that impairment(s) which was present at the time of the most recent 
favorable medical decision that you were disabled or continued to be 
disabled to the medical severity of that impairment(s) at that time. If 
medical improvement has occurred, we will compare your current 
functional capacity to do basic work activities (i.e., your residual 
functional capacity) based on this previously existing impairment(s) 
with your prior residual functional capacity in order to determine 
whether the medical improvement is related to your ability to do work. 
The most recent favorable medical decision is the latest decision 
involving a consideration of the medical evidence and the issue of 
whether you were disabled or continued to be disabled which became 
final.
    (c) Determining medical improvement and its relationship to your 
abilities to do work. Paragraphs (b) (1) through (3) of this section 
discuss what we mean by medical improvement, medical improvement not 
related to your ability to work and medical improvement that is related 
to your ability to work. How we will arrive at the decision that medical 
improvement has occurred and its relationship to the ability to do work, 
is discussed below.
    (1) Medical improvement. Medical improvement is any decrease in the 
medical severity of impairment(s) present at the time of the most recent 
favorable medical decision that you were disabled or continued to be 
disabled and is determined by a comparison of prior and current medical 
evidence which must show that there have been changes (improvement) in 
the symptoms, signs or laboratory findings associated with that 
impairment(s).
    (2) Determining if medical improvement is related to ability to 
work. If there is a decrease in medical severity as shown by the 
symptoms, signs and laboratory findings, we then must determine if it is 
related to your ability to do work. In paragraph (b)(4) of this section, 
we explain the relationship between medical severity and limitation on 
functional capacity to do basic work activities (or residual functional 
capacity) and how changes in medical severity can affect your residual 
functional capacity. In determining whether medical improvement that has 
occurred is related to your ability to do work, we will assess your 
residual functional capacity (in accordance with paragraph (b)(4) of 
this section) based on the current severity of the impairment(s) which 
was present at your last favorable medical decision. Your new residual 
functional capacity will then be compared to your residual functional 
capacity at the time of our most recent favorable medical decision. 
Unless an increase in the current residual functional capacity is based 
on changes in the signs, symptoms, or laboratory findings, any medical 
improvement that has occurred will not be considered to be related to 
your ability to do work.
    (3) Following are some additional factors and considerations which 
we will apply in making these determinations.
    (i) Previous impairment met or equaled listings. If our most recent 
favorable decision was based on the fact that your impairment(s) at the 
time met or equaled the severity contemplated by the Listing of 
Impairments in appendix 1 of this subpart, an assessment of your 
residual functional capacity would not have been made. If medical 
improvement has occurred and the severity of the prior impairment(s) no 
longer meets or equals the same listing section used to make our most 
recent favorable decision, we will find that the medical improvement was 
related to your ability to work. Appendix 1 of this subpart describes 
impairments which, if severe enough, affect a person's ability to work. 
If the appendix level of severity is met or equaled, the individual is 
deemed, in the absence of evidence to the contrary, to be unable to 
engage in substantial gainful activity. If there has been medical 
improvement to the degree that the requirement of the listing section is 
no longer met or equaled, then the medical improvement is related to 
your ability to work. We must, of
 
[[Page 399]]
 
course, also establish that you can currently engage in gainful activity 
before finding that your disability has ended.
    (ii) Prior residual functional capacity assessment made. The 
residual functional capacity assessment used in making the most recent 
favorable medical decision will be compared to the residual functional 
capacity assessment based on current evidence in order to determine if 
your functional capacity for basic work activities has increased. There 
will be no attempt made to reassess the prior residual functional 
capacity.
    (iii) Prior residual functional capacity assessment should have been 
made, but was not. If the most recent favorable medical decision should 
have contained an assessment of your residual functional capacity (i.e., 
your impairments did not meet or equal the level of severity 
contemplated by the Listing of Impairments in appendix 1 of this 
subpart) but does not, either because this assessment is missing from 
your file or because it was not done, we will reconstruct the residual 
functional capacity. This reconstructed residual functional capacity 
will accurately and objectively assess your functional capacity to do 
basic work activities. We will assign the maximum functional capacity 
consistent with an allowance.
    Example:  You were previously found to be disabled on the basis that 
``while your impairment did not meet or equal a listing, it did prevent 
you from doing your past or any other work.'' The prior adjudicator did 
not, however, include a residual functional capacity assessment in the 
rationale of this decision and a review of the prior evidence does not 
show that such an assessment was ever made. If a decrease in medical 
severity, i.e., medical improvement, has occurred, the residual 
functional capacity based on the current level of severity of your 
impairment will have to be compared with your residual functional 
capacity based on its prior severity in order to determine if the 
medical improvement is related to your ability to do work. In order to 
make this comparison, we will review the prior evidence and make an 
objective assessment of your residual functional capacity at the time of 
our most recent favorable medical determination, based on the symptoms, 
signs and laboratory findings as they then existed.
    (iv) Impairment subject to temporary remission. In some cases the 
evidence shows that an individual's impairments are subject to temporary 
remission. In assessing whether medical improvement has occurred in 
persons with this type of impairment, we will be careful to consider the 
longitudinal history of the impairments, including the occurrence of 
prior remission, and prospects for future worsenings. Improvement in 
such impairments that is only temporary will not warrant a finding of 
medical improvement.
    (v) Prior file cannot be located. If the prior file cannot be 
located, we will first determine whether you are able to now engage in 
substantial gainful activity based on all your current impairments. (In 
this way, we will be able to determine that your disability continues at 
the earliest point without addressing the often lengthy process of 
reconstructing prior evidence.) If you cannot engage in substantial 
gainful activity currently, your benefits will continue unless one of 
the second group of exceptions applies (see paragraph (e) of this 
section). If you are able to engage in substantial gainful activity, we 
will determine whether an attempt should be made to reconstruct those 
portions of the missing file that were relevant to our most recent 
favorable medical decision (e.g., work history, medical evidence from 
treating sources and the results of consultative examinations). This 
determination will consider the potential availability of old records in 
light of their age, whether the source of the evidence is still in 
operation; and whether reconstruction efforts will yield a complete 
record of the basis for the most recent favorable medical decision. If 
relevant parts of the prior record are not reconstructed either because 
it is determined not to attempt reconstruction or because such efforts 
fail, medical improvement cannot be found. The documentation of your 
current impairments will provide a basis for any future reviews. If the 
missing file is later found, it may serve as a basis for reopening any 
decision under this section in accordance with the rules in 
Sec. 404.988.
    (d) First group of exceptions to medical improvement. The law 
provides for certain limited situations when your disability can be 
found to have ended even though medical improvement has not occurred, if 
you can engage in substantial gainful activity. These exceptions
 
[[Page 400]]
 
to medical improvement are intended to provide a way of finding that a 
person is no longer disabled in those limited situations where, even 
though there has been no decrease in severity of the impairment(s), 
evidence shows that the person should no longer be considered disabled 
or never should have been considered disabled. If one of these 
exceptions applies, we must also show that, taking all your current 
impairment(s) into account, not just those that existed at the time of 
our most recent favorable medical decision, you are now able to engage 
in substantial gainful activity before your disability can be found to 
have ended. As part of the review process, you will be asked about any 
medical or vocational therapy you received or are receiving. Your 
answers and the evidence gathered as a result as well as all other 
evidence, will serve as the basis for the finding that an exception 
applies.
    (1) Substantial evidence shows that you are the beneficiary of 
advances in medical or vocational therapy or technology (related to your 
ability to work). Advances in medical or vocational therapy or 
technology are improvements in treatment or rehabilitative methods which 
have increased your ability to do basic work activities. We will apply 
this exception when substantial evidence shows that you have been the 
beneficiary of services which reflect these advances and they have 
favorably affected the severity of your impairment or your ability to do 
basic work activities. This decision will be based on new medical 
evidence and a new residual functional capacity assessment. (See 
Sec. 404.1545.) In many instances, an advanced medical therapy or 
technology will result in a decrease in severity as shown by symptoms, 
signs and laboratory findings which will meet the definition of medical 
improvement. This exception will, therefore, see very limited 
application.
    (2) Substantial evidence shows that you have undergone vocational 
therapy (related to your ability to work). Vocational therapy (related 
to your ability to work) may include, but is not limited to, additional 
education, training, or work experience that improves your ability to 
meet the vocational requirements of more jobs. This decision will be 
based on substantial evidence which includes new medical evidence and a 
new residual functional capacity assessment. (See Sec. 404.1545.) If, at 
the time of our review you have not completed vocational therapy which 
could affect the continuance of your disability, we will review your 
claim upon completion of the therapy.
    Example 1:  You were found to be disabled because the limitations 
imposed on you by your impairment allowed you to only do work that was 
at a sedentary level of exertion. Your prior work experience was work 
that required a medium level of exertion. Your age and education at the 
time would not have qualified you for work that was below this medium 
level of exertion. You enrolled in and completed a specialized training 
course which qualifies you for a job in data processing as a computer 
programmer in the period since you were awarded benefits. On review of 
your claim, current evidence shows that there is no medical improvement 
and that you can still do only sedentary work. As the work of a computer 
programmer is sedentary in nature, you are now able to engage in 
substantial gainful activity when your new skills are considered.
    Example 2:  You were previously entitled to benefits because the 
medical evidence and assessment of your residual functional capacity 
showed you could only do light work. Your prior work was considered to 
be heavy in nature and your age, education and the nature of your prior 
work qualified you for work which was no less than medium in exertion. 
The current evidence and residual functional capacity show there has 
been no medical improvement and that you can still do only light work. 
Since you were originally entitled to benefits, your vocational 
rehabilitation agency enrolled you in and you successfully completed a 
trade school course so that you are now qualified to do small appliance 
repair. This work is light in nature, so when your new skills are 
considered, you are now able to engage in substantial gainful activity 
even though there has been no change in your residual functional 
capacity.
    (3) Substantial evidence shows that based on new or improved 
diagnostic or evaluative techniques your impairment(s) is not as 
disabling as it was considered to be at the time of the most recent 
favorable decision. Changing methodologies and advances in medical and 
other diagnostic or evaluative techniques have given, and will continue 
to give, rise to improved methods for measuring and documenting the 
effect of various impairments on the ability to do work.
 
[[Page 401]]
 
Where, by such new or improved methods, substantial evidence shows that 
your impairment(s) is not as severe as was determined at the time of our 
most recent favorable medical decision, such evidence may serve as a 
basis for finding that you are no longer disabled, if you can currently 
engage in substantial gainful activity. In order to be used under this 
exception, however, the new or improved techniques must have become 
generally available after the date of our most recent favorable medical 
decision.
    (i) How we will determine which methods are new or improved 
techniques and when they become generally available. New or improved 
diagnostic techniques or evaluations will come to our attention by 
several methods. In reviewing cases, we often become aware of new 
techniques when their results are presented as evidence. Such techniques 
and evaluations are also discussed and acknowledged in medical 
literature by medical professional groups and other governmental 
entities. Through these sources, we develop listings of new techniques 
and when they become generally available. For example, we will consult 
the Health Care Financing Administration for its experience regarding 
when a technique is recognized for payment under Medicare and when they 
began paying for the technique.
    (ii) How you will know which methods are new or improved techniques 
and when they become generally available. We will let you know which 
methods we consider to be new or improved techniques and when they 
become available through two vehicles.
    (A) Some of the future changes in the Listing of Impairments in 
appendix 1 of this subpart will be based on new or improved diagnostic 
or evaluative techniques. Such listings changes will clearly state this 
fact as they are published as Notices of Proposed Rulemaking and the new 
or improved technique will be considered generally available as of the 
date of the final publication of that particular listing in the Federal 
Register.
    (B) A cumulative list since 1970 of new or improved diagnostic 
techniques or evaluations, how they changed the evaluation of the 
applicable impairment and the month and year they became generally 
available, will be published in the Notices section of the Federal 
Register. Included will be any changes in the Listing of Impairments 
published in the Code of Federal Regulations since 1970 which are 
reflective of new or improved techniques. No cases will be processed 
under this exception until this cumulative listing is so published. 
Subsequent changes to the list will be published periodically. The 
period will be determined by the volume of changes needed.
    Example:  The electrocardiographic exercise test has replaced the 
Master's 2-step test as a measurement of heart function since the time 
of your last favorable medical decision. Current evidence could show 
that your condition, which was previously evaluated based on the 
Master's 2-step test, is not now as disabling as was previously thought. 
If, taking all your current impairments into account, you are now able 
to engage in substantial gainful activity, this exception would be used 
to find that you are no longer disabled even if medical improvement has 
not occurred.
    (4) Substantial evidence demonstrates that any prior disability 
decision was in error. We will apply the exception to medical 
improvement based on error if substantial evidence (which may be 
evidence on the record at the time any prior determination of the 
entitlement to benefits based on disability was made, or newly obtained 
evidence which relates to that determination) demonstrates that a prior 
determination was in error. A prior determination will be found in error 
only if:
    (i) Substantial evidence shows on its face that the decision in 
question should not have been made (e.g., the evidence in your file such 
as pulmonary function study values was misread or an adjudicative 
standard such as a listing in appendix 1 or a medical/vocational rule in 
appendix 2 of this subpart was misapplied).
    Example 1:  You were granted benefits when it was determined that 
your epilepsy met Listing 11.02. This listing calls for a finding of 
major motor seizures more frequently than once a month as documented by 
EEG evidence and by a detailed description of a typical seizure pattern. 
A history of either diurnal episodes or nocturnal episodes with 
residuals interfering with daily activities is also required. On review, 
it is found that a history of the frequency of your seizures showed that 
they occurred only once or twice a year. The prior decision would be
 
[[Page 402]]
 
found to be in error, and whether you were still considered to be 
disabled would be based on whether you could currently engage in 
substantial gainful activity.
    Example 2:  Your prior award of benefits was based on vocational 
rule 201.12 in appendix 2 of this subpart. This rule applies to a person 
age 50-54 who has at least a high school education, whose previous work 
was entirely at a semiskilled level, and who can do only sedentary work. 
On review, it is found that at the time of the prior determination you 
were actually only age 46 and vocational rule 201.21 should have been 
used. This rule would have called for a denial of your claim and the 
prior decision is found to have been in error. Continuation of your 
disability would depend on a finding of your current ability to engage 
in substantial gainful activity.
    (ii) At the time of the prior evaluation, required and material 
evidence of the severity of your impairment(s) was missing. That 
evidence becomes available upon review, and substantial evidence 
demonstrates that had such evidence been present at the time of the 
prior determination, disability would not have been found.
    Example:  You were found disabled on the basis of chronic 
obstructive pulmonary disease. The severity of your impairment was 
documented primarily by pulmonary function testing results. The evidence 
showed that you could do only light work. Spirometric tracings of this 
testing, although required, were not obtained, however. On review, the 
original report is resubmitted by the consultative examining physician 
along with the corresponding spirometric tracings. A review of the 
tracings shows that the test was invalid. Current pulmonary function 
testing supported by spirometric tracings reveals that your impairment 
does not limit your ability to perform basic work activities in any way. 
Error is found based on the fact that required, material evidence which 
was originally missing now becomes available and shows that if it had 
been available at the time of the prior determination, disability would 
not have been found.
    (iii) Substantial evidence which is new evidence which relates to 
the prior determination (of allowance or continuance) refutes the 
conclusions that were based upon the prior evidence (e.g., a tumor 
thought to be malignant was later shown to have actually been benign). 
Substantial evidence must show that had the new evidence (which relates 
to the prior determination) been considered at the time of the prior 
decision, the claim would not have been allowed or continued. A 
substitution of current judgment for that used in the prior favorable 
decision will not be the basis for applying this exception.
    Example:  You were previously found entitled to benefits on the 
basis of diabetes mellitus which the prior adjudicator believed was 
equivalent to the level of severity contemplated in the Listing of 
Impairments. The prior record shows that you had ``brittle'' diabetes 
for which you were taking insulin. Your urine was 3+ for sugar, and you 
alleged occasional hypoglycemic attacks caused by exertion. On review, 
symptoms, signs and laboratory findings are unchanged. The current 
adjudicator feels, however, that your impairment clearly does not equal 
the severity contemplated by the listings. Error cannot be found because 
it would represent a substitution of current judgment for that of the 
prior adjudicator that your impairment equaled a listing.
    (iv) The exception for error will not be applied retroactively under 
the conditions set out above unless the conditions for reopening the 
prior decision (see Sec. 404.988) are met.
    (5) You are currently engaging in substantial gainful activity. If 
you are currently engaging in substantial gainful activity before we 
determine whether you are no longer disabled because of your work 
activity, we will consider whether you are entitled to a trial work 
period as set out in Sec. 404.1592. We will find that your disability 
has ended in the month in which you demonstrated your ability to engage 
in substantial gainful activity (following completion of a trial work 
period, where it applies). This exception does not apply in determining 
whether you continue to have a disabling impairment(s) (Sec. 404.1511) 
for purposes of deciding your eligibility for a reentitlement period 
(Sec. 404.1592a).
    (e) Second group of exceptions to medical improvement. In addition 
to the first group of exceptions to medical improvement, the following 
exceptions may result in a determination that you are no longer 
disabled. In these situations the decision will be made without a 
determination that you have medically improved or can engage in 
substantial gainful activity.
    (1) A prior determination or decision was fraudulently obtained. If 
we find that any prior favorable determination or decision was obtained 
by fraud, we may find that you are not disabled. In addition, we may 
reopen your claim
 
[[Page 403]]
 
under the rules in Sec. 404.988. In determining whether a prior 
favorable determination or decision was fraudulently obtained, we will 
take into account any physical, mental, educational, or linguistic 
limitations (including any lack of facility with the English language) 
which you may have had at the time.
    (2) You do not cooperate with us. If there is a question about 
whether you continue to be disabled and we ask you to give us medical or 
other evidence or to go for a physical or mental examination by a 
certain date, we will find that your disability has ended if you fail, 
without good cause, to do what we ask. Section 404.911 explains the 
factors we consider and how we will determine generally whether you have 
good cause for failure to cooperate. In addition, Sec. 404.1518 
discusses how we determine whether you have good cause for failing to 
attend a consultative examination. The month in which your disability 
ends will be the first month in which you failed to do what we asked.
    (3) We are unable to find you. If there is a question about whether 
you continue to be disabled and we are unable to find you to resolve the 
question, we will determine that your disability has ended. The month 
your disability ends will be the first month in which the question arose 
and we could not find you.
    (4) You fail to follow prescribed treatment which would be expected 
to restore your ability to engage in substantial gainful activity. If 
treatment has been prescribed for you which would be expected to restore 
your ability to work, you must follow that treatment in order to be paid 
benefits. If you are not following that treatment and you do not have 
good cause for failing to follow that treatment, we will find that your 
disability has ended (see Sec. 404.1530(c)). The month your disability 
ends will be the first month in which you failed to follow the 
prescribed treatment.
    (f) Evaluation steps. To assure that disability reviews are carried 
out in a uniform manner, that decisions of continuing disability can be 
made in the most expeditious and administratively efficient way, and 
that any decisions to stop disability benefits are made objectively, 
neutrally and are fully documented, we will follow specific steps in 
reviewing the question of whether your disability continues. Our review 
may cease and benefits may be continued at any point if we determine 
there is sufficient evidence to find that you are still unable to engage 
in substantial gainful activity. The steps are:
    (1) Are you engaging in substantial gainful activity? If you are 
(and any applicable trial work period has been completed), we will find 
disability to have ended (see paragraph (d)(5) of this section).
    (2) If you are not, do you have an impairment or combination of 
impairments which meets or equals the severity of an impairment listed 
in appendix 1 of this subpart? If you do, your disability will be found 
to continue.
    (3) If you do not, has there been medical improvement as defined in 
paragraph (b)(1) of this section? If there has been medical improvement 
as shown by a decrease in medical severity, see step (4). If there has 
been no decrease in medical severity, there has been no medical 
improvement. (See step (5).)
    (4) If there has been medical improvement, we must determine whether 
it is related to your ability to do work in accordance with paragraphs 
(b)(1) through (4) of this section; i.e., whether or not there has been 
an increase in the residual functional capacity based on the 
impairment(s) that was present at the time of the most recent favorable 
medical determination. If medical improvement is not related to your 
ability to do work, see step (5). If medical improvement is related to 
your ability to do work, see step (6).
    (5) If we found at step (3) that there has been no medical 
improvement or if we found at step (4) that the medical improvement is 
not related to your ability to work, we consider whether any of the 
exceptions in paragraphs (d) and (e) of this section apply. If none of 
them apply, your disability will be found to continue. If one of the 
first group of exceptions to medical improvement applies, see step (6). 
If an exception from the second group of exceptions to medical 
improvement applies, your disability will be found to
 
[[Page 404]]
 
have ended. The second group of exceptions to medical improvement may be 
considered at any point in this process.
    (6) If medical improvement is shown to be related to your ability to 
do work or if one of the first group of exceptions to medical 
improvement applies, we will determine whether all your current 
impairments in combination are severe (see Sec. 404.1521). This 
determination will consider all your current impairments and the impact 
of the combination of those impairments on your ability to function. If 
the residual functional capacity assessment in step (4) above shows 
significant limitation of your ability to do basic work activities, see 
step (7). When the evidence shows that all your current impairments in 
combination do not significantly limit your physical or mental abilities 
to do basic work activities, these impairments will not be considered 
severe in nature. If so, you will no longer be considered to be 
disabled.
    (7) If your impairment(s) is severe, we will assess your current 
ability to engage in substantial gainful activity in accordance with 
Sec. 404.1561. That is we will assess your residual functional capacity 
based on all your current impairments and consider whether you can still 
do work you have done in the past. If you can do such work, disability 
will be found to have ended.
    (8) If you are not able to do work you have done in the past, we 
will consider one final step. Given the residual functional capacity 
assessment and considering your age, education and past work experience, 
can you do other work? If you can, disability will be found to have 
ended. If you cannot, disability will be found to continue.
    (g) The month in which we will find you are no longer disabled. If 
the evidence shows that you are no longer disabled, we will find that 
your disability ended in the earliest of the following months.
    (1) The month the evidence shows you are no longer disabled under 
the rules set out in this section, and you were disabled only for a 
specified period of time in the past;
    (2) The month the evidence shows you are no longer disabled under 
the rules set out in this section, but not earlier than the month in 
which we mail you a notice saying that the information we have shows 
that you are not disabled;
    (3) The month in which you demonstrated your ability to engage in 
substantial gainful activity (following completion of a trial work 
period); however, we may pay you benefits for certain months in and 
after the reentitlement period which follows the trial work period. (See 
Sec. 404.1592a for a discussion of the reentitlement period. If you are 
receiving benefits on your own earnings record, see Sec. 404.316 for 
when your benefits will end. See Sec. 404.352 if you are receiving 
benefits on a parent's earnings as a disabled adult child.);
    (4) The month in which you actually do substantial gainful activity 
(where you are not entitled to a trial work period);
    (5) The month in which you return to full-time work, with no 
significant medical restrictions and acknowledge that medical 
improvement has occurred, and we expected your impairment(s) to improve 
(see Sec. 404.1591);
    (6) The first month in which you failed without good cause to do 
what we asked, when the rule set out in paragraph (e)(2) of this section 
applies;
    (7) The first month in which the question of continuing disability 
arose and we could not find you, when the rule set out in paragraph 
(e)(3) of this section applies;
    (8) The first month in which you failed without good cause to follow 
prescribed treatment, when the rule set out in paragraph (e)(4) of this 
section applies; or
    (9) The first month you were told by your physician that you could 
return to work provided there is no substantial conflict between your 
physician's and your statements regarding your awareness of your 
capacity for work and the earlier date is supported by the medical 
evidence.
    (h) Before we stop your benefits. Before we stop your benefits or a 
period of disability, we will give you a chance to explain why we should 
not do so. Sections 404.1595 and 404.1597 describe your
 
[[Page 405]]
 
rights (including appeal rights) and the procedures we will follow.
 
[50 FR 50130, Dec. 6, 1985; 51 FR 7063, Feb. 28, 1986; 51 FR 16015, Apr. 
30, 1986, as amended at 52 FR 44971, Nov. 24, 1987; 57 FR 30121, July 8, 
1992; 59 FR 1635, Jan. 12, 1994]
 
Sec. 404.1595  When we determine that you are not now disabled.
 
    (a) When we will give you advance notice. Except in those 
circumstances described in paragraph (d) of this section, we will give 
you advance notice when we have determined that you are not now disabled 
because the information we have conflicts with what you have told us 
about your disability. If your dependents are receiving benefits on your 
Social Security number and do not live with you, we will also give them 
advance notice. To give you advance notice, we will contact you by mail, 
telephone or in person.
    (b) What the advance notice will tell you. We will give you a 
summary of the information we have. We will also tell you why we have 
determined that you are not now disabled, and will give you a chance to 
reply. If it is because of--
    (1) Medical reasons. The advance notice will tell you what the 
medical information in your file shows;
    (2) Your work activity. The advance notice will tell you what 
information we have about the work you are doing or have done, and why 
this work shows that you are not disabled; or
    (3) Your failure to give us information we need or do what we ask. 
The advance notice will tell you what information we need and why we 
need it or what you have to do and why.
    (c) What you should do if you receive an advance notice. If you 
agree with the advance notice, you do not need to take any action. If 
you desire further information or disagree with what we have told you, 
you should immediately write or telephone the State agency or the social 
security office that gave you the advance notice or you may visit any 
social security office. If you believe you are now disabled, you should 
tell us why. You may give us any additional or new information, 
including reports from your doctors, hospitals, employers or others, 
that you believe we should have. You should send these as soon as 
possible to the local social security office or to the office that gave 
you the advance notice. We consider 10 days to be enough time for you to 
tell us, although we will allow you more time if you need it. You will 
have to ask for additional time beyond 10 days if you need it.
    (d) When we will not give you advance notice. We will not give you 
advance notice when we determine that you are not disabled if--
    (1) We recently told you that the information we have shows that you 
are not now disabled, that we were gathering more information, and that 
your benefits will stop; or
    (2) We are stopping your benefits because you told us you are not 
now disabled; or
    (3) We recently told you that continuing your benefits would 
probably cause us to overpay you and you asked us to stop your benefits.
 
Sec. 404.1596  Circumstances under which we may suspend your benefits 
          before we make a determination.
 
    (a) General. Under some circumstances, we may stop your benefits 
before we make a determination. Generally, we do this when the 
information we have clearly shows you are not now disabled but we cannot 
determine when your disability ended. These situations are described in 
paragraph (b)(1) and other reasons are given in paragraph (b)(2) of this 
section. We refer to this as a suspension of benefits. Your benefits, as 
well as those of your dependents (regardless of where they receive their 
benefits), may be suspended. When we do this we will give you advance 
notice. (See Sec. 404.1595.) We will contact your spouse and children if 
they are receiving benefits on your Social Security number, and the 
benefits are being mailed to an address different from your own.
    (b) When we will suspend your benefits--(1) You are not now 
disabled. We will suspend your benefits if the information we have 
clearly shows that you are not disabled and we will be unable to 
complete a determination soon enough to prevent us from paying you more 
monthly benefits than you are entitled to. This may occur when--
    (i) New medical or other information clearly shows that you are able 
to do
 
[[Page 406]]
 
substantial gainful activity and your benefits should have stopped more 
than 2 months ago;
    (ii) You completed a 9-month period of trial work more than 2 months 
ago and you are still working;
    (iii) At the time you filed for benefits your condition was expected 
to improve and you were expected to be able to return to work. You 
subsequently did return to work more than 2 months ago with no 
significant medical restrictions; or
    (iv) You are not entitled to a trial work period and you are 
working.
    (2) Other reasons. We will also suspend your benefits if--
    (i) You have failed to respond to our request for additional medical 
or other evidence and we are satisfied that you received our request and 
our records show that you should be able to respond.
    (ii) We are unable to locate you and your checks have been returned 
by the Post Office as undeliverable; or
    (iii) You refuse to accept vocational rehabilitation services 
without a good reason. Section 404.422 gives you examples of good 
reasons for refusing to accept vocational rehabilitation services.
    (c) When we will not suspend your cash benefits. We will not suspend 
your cash benefits if--
    (1) The evidence in your file does not clearly show that you are not 
disabled;
    (2) We have asked you to furnish additional information;
    (3) You have become disabled by another impairment; or
    (4) After November 1980, even though your impairment is no longer 
disabling,
    (i) You are participating in an appropriate vocational 
rehabilitation program (that is, one that has been approved under a 
State plan approved under title I of the Rehabilitation Act of 1973 and 
which meets the requirements outlined in 34 CFR part 361) which you 
began during your disability,
    (ii) Your disability did not end before December 1, 1980, and
    (iii) We have determined that your completion of the program, or 
your continuation in the program for a specified period of time, will 
significantly increase the likelihood that you will not have to return 
to the disability benefit rolls.
 
[45 FR 55584, Aug. 20, 1980, as amended at 47 FR 31543, July 21, 1982; 
47 FR 52693, Nov. 23, 1982; 51 FR 17617, May 14, 1986]
 
Sec. 404.1597  After we make a determination that you are not now 
          disabled.
 
    (a) General. If we determine that you do not meet the disability 
requirements of the law, your benefits generally will stop. We will send 
you a formal written notice telling you why we believe you are not 
disabled and when your benefits should stop. If your spouse and children 
are receiving benefits on your Social Security number, we will also stop 
their benefits and tell them why. The notices will explain your right to 
reconsideration if you disagree with our determination. However, your 
benefits may continue after November 1980 even though your impairment is 
no longer disabling, if your disability did not end before December 
1980, and you are particpating in an appropriate vocational 
rehabilitation program as described in Sec. 404.1596 which you began 
before your disability ended. In addition, we must have determined that 
your completion of the program, or your continuation in the program for 
a specified period of time, will significantly increase the likelihood 
that you will not have to return to the disability benefit rolls. You 
may still appeal our determination that you are not disabled even though 
your benefits are continuing because of your participation in an 
appropriate vocational rehabilitation program. You may also appeal a 
determination that your completion or of continuation for a specified 
period of time in an appropriate vocational rehabilitation program will 
not significantly increase the likelihood that you will not have to 
return to the disability benefit rolls and, therefore, you are not 
entitled to continue to receive benefits.
    (b) If we make a determination that your physical or mental 
impairment(s) has ceased, did not exist, or is no longer disabling 
(Medical Cessation Determination). If we make a determination that the 
physical or mental impairment(s) on the basis of which benefits were 
payable has ceased, did not exist, or is no longer disabling (a medical 
cessation
 
[[Page 407]]
 
determination), your benefits will stop. As described in paragraph (a) 
of this section, you will receive a written notice explaining this 
determination and the month your benefits will stop. The written notice 
will also explain your right to appeal if you disagree with our 
determination and your right to request that your benefits and the 
benefits, if any, of your spouse or children, be continued under 
Sec. 404.1597a. For the purpose of this section, benefits means 
disability cash payments and/or Medicare, if applicable. The continued 
benefit provisions of this section do not apply to an initial 
determination on an application for disability benefits, or to a 
determination that you were disabled only for a specified period of 
time.
 
[47 FR 31544, July 21, 1982, as amended at 51 FR 17618, May 14, 1986; 53 
FR 29020, Aug. 2, 1988; 53 FR 39015, Oct. 4, 1988]
 
Sec. 404.1597a  Continued benefits pending appeal of a medical cessation 
          determination.
 
    (a) General. If we determine that you are not entitled to benefits 
because the physical or mental impairment(s) on the basis of which such 
benefits were payable is found to have ceased, not to have existed, or 
to no longer be disabling, and you appeal that determination, you may 
choose to have your benefits continued pending reconsideration and/or a 
hearing before an administrative law judge on the disability cessation 
determination. For the purpose of this entire section, the election of 
continued benefits means the election of disability cash payments and/or 
Medicare, if applicable. You can also choose to have the benefits 
continued for anyone else receiving benefits based on your wages and 
self-employment income (and anyone else receiving benefits because of 
your entitlement to benefits based on disability). If you appeal a 
medical cessation under both title II and title XVI (a concurrent case), 
the title II claim will be handled in accordance with title II 
regulations while the title XVI claim will be handled in accordance with 
the title XVI regulations.
    (b) When the provisions of this section are available. (1) Benefits 
may be continued under this section only if the determination that your 
physical or mental impairment(s) has ceased, has never existed, or is no 
longer disabling is made on or after January 12, 1983 (or before January 
12, 1983, and a timely request for reconsideration or a hearing before 
an administrative law judge is pending on that date).
    (2) Benefits may be continued under this section only for months 
beginning with January 1983, or the first month for which benefits are 
no longer otherwise payable following our determination that your 
physical or mental impairment(s) has ceased, has never existed, or is no 
longer disabling, whichever is later.
    (3) Continued payment of benefits under this section will stop 
effective with the earlier of:
    (i) The month before the month in which an administrative law 
judge's hearing decision finds that your physical or mental 
impairment(s) has ceased, has never existed, or is no longer disabling 
or the month before the month of a new administrative law judge decision 
(or final action by the Appeals Council on the administrative law 
judge's recommended decision) if your case was sent back to an 
administrative law judge for further action; or
    (ii) The month before the month no timely request for a 
reconsideration or a hearing before an administrative law judge is 
pending. These continued benefits may be stopped or adjusted because of 
certain events (such as work and earnings or receipt of worker's 
compensation) which occur while you are receiving these continued 
benefits and affect your right to receive continued benefits.
 
 
These continued benefits may be stopped or adjusted because of certain 
events (such as work and earning or receipt of worker's compensation) 
which occur while you are receiving these continued benefits and affect 
your right to receive continued benefits.
    (c) Continuation of benefits for anyone else pending your appeal. 
(1) When you file a request for reconsideration or hearing before an 
administrative law judge on our determination that your physical or 
mental impairment(s) has ceased, has never existed, or is no longer 
disabling, or your case has been
 
[[Page 408]]
 
sent back (remanded) to an administrative law judge for further action, 
you may also choose to have benefits continue for anyone else who is 
receiving benefits based on your wages and self-employment income (and 
for anyone else receiving benefits because of your entitlement to 
benefits based on disability), pending the outcome of your appeal.
    (2) If anyone else is receiving benefits based on your wages and 
self-employment income, we will notify him or her of the right to choose 
to have his or her benefits continue pending the outcome of your appeal. 
Such benefits can be continued for the time period in paragraph (b) of 
this section only if he or she chooses to have benefits continued and 
you also choose to have his or her benefits continued.
    (d) Statement of choice. When you or another party request 
reconsideration under Sec. 404.908(a) or a hearing before an 
administrative law judge under Sec. 404.932(a) on our determination that 
your physical or mental impairment(s) has ceased, has never existed, or 
is no longer disabling, or if your case is sent back (remanded) to an 
administrative law judge for further action, we will explain your right 
to receive continued benefits and ask you to complete a statement 
specifying which benefits you wish to have continued pending the outcome 
of the reconsideration or hearing before an administrative law judge. 
You may elect to receive only Medicare benefits during appeal even if 
you do not want to receive continued disability benefits. If anyone else 
is receiving benefits based on your wages and self-employment income (or 
because of your entitlement to benefits based on disability), we will 
ask you to complete a statement specifying which benefits you wish to 
have continued for them, pending the outcome of the request for 
reconsideration or hearing before an administrative law judge. If you 
request appeal but you do not want to receive continued benefits, we 
will ask you to complete a statement declining continued benefits 
indicating that you do not want to have your benefits and those of your 
family, if any, continued during the appeal.
    (e) Your spouse's or children's statement of choice. If you request, 
in accordance with paragraph (d) of this section, that benefits also be 
continued for anyone who had been receiving benefits based on your wages 
and self-employment, we will send them a written notice. The notice will 
explain their rights and ask them to complete a statement either 
declining continued benefits, or specifying which benefits they wish to 
have continued, pending the outcome of the request for reconsideration 
or a hearing before an administrative law judge.
    (f) What you must do to receive continued benefits pending notice of 
our reconsideration determination. (1) If you want to receive continued 
benefits pending the outcome of your request for reconsideration, you 
must request reconsideration and continuation of benefits no later than 
10 days after the date you receive the notice of our initial 
determination that your physical or mental impairment(s) has ceased, has 
never existed, or is no longer disabling. Reconsideration must be 
requested as provided in Sec. 404.909, and you must request continued 
benefits using a statement in accordance with paragraph (d) of this 
section.
    (2) If you fail to request reconsideration and continued benefits 
within the 10-day period required by paragraph (f)(1) of this section, 
but later ask that we continue your benefits pending a reconsidered 
determination, we will use the rules in Sec. 404.911 to determine 
whether good cause exists for your failing to request benefit 
continuation within 10 days after receipt of the notice of the initial 
cessation determination. If you request continued benefits after the 10-
day period, we will consider the request to be timely and will pay 
continued benefits only if good cause for delay is established.
    (g) What you must do to receive continued benefits pending an 
administrative law judge's decision. (1) To receive continued benefits 
pending an administrative law judge's decision on our reconsideration 
determination, you must request a hearing and continuation of benefits 
no later than 10 days after the date you receive the notice of our 
reconsideration determination that your physical or mental impairment(s) 
has ceased, has never existed, or is no
 
[[Page 409]]
 
longer disabling. A hearing must be requested as provided in 
Sec. 404.933, and you must request continued benefits using a statement 
in accordance with paragraph (d) of this section.
    (2) If you request continued benefits pending an administrative law 
judge's decision but did not request continued benefits while we were 
reconsidering the initial cessation determination, your benefits will 
begin effective the month of the reconsideration determination.
    (3) If you fail to request continued payment of benefits within the 
10-day period required by paragraph (g)(1) of this section, but you 
later ask that we continue your benefits pending an administrative law 
judge's decision on our reconsidered determination, we will use the 
rules as provided in Sec. 404.911 to determine whether good cause exists 
for your failing to request benefit continuation within 10 days after 
receipt of the reconsideration determination. If you request continued 
benefits after the 10-day period, we will consider the request to be 
timely and will pay continued benefits only if good cause for delay is 
established.
    (h) What anyone else must do to receive continued benefits pending 
our reconsideration determination or an administrative law judge's 
decision. (1) When you or another party (see Secs. 404.908(a) and 
404.932(a)) request a reconsideration or a hearing before an 
administrative law judge on our medical cessation determination or when 
your case is sent back (remanded) to an administrative law judge for 
further action, you may choose to have benefits continue for anyone else 
who is receiving benefits based on your wages and self-employment 
income. An eligible individual must also choose whether or not to have 
his or her benefits continue pending your appeal by completing a 
separate statement of election as described in paragraph (e) of this 
section.
    (2) He or she must request continuation of benefits no later than 10 
days after the date he or she receives notice of termination of 
benefits. He or she will then receive continued benefits beginning with 
the later of January 1983, or the first month for which benefits are no 
longer otherwise payable following our initial or reconsideration 
determination that your physical or mental impairment(s) has ceased, has 
never existed, or is no longer disabling. Continued benefits will 
continue until the earlier of:
    (i) The month before the month in which an administrative law 
judge's hearing decision finds that your physical or mental 
impairment(s) has ceased, has never existed, or is no longer disabling 
or the month before the month of the new administrative law judge 
decision (or final action is taken by the Appeals Council on the 
administrative law judge's recommended decision) if your case was sent 
back to an administrative law judge for further action; or
    (ii) The month before the month no timely request for a 
reconsideration or a hearing before an administrative law judge is 
pending. These continued benefits may be stopped or adjusted because of 
certain events (such as work and earnings or payment of worker's 
compensation) which occur while an eligible individual is receiving 
continued benefits and affect his or her right to receive continued 
benefits.
 
 
These continued benefits may be stopped or adjusted because of certain 
events (such as work and earnings or payment of workers compensation) 
which occur while an eligible individual is receiving continued benefits 
and affect his or her right to receive continued benefits.
    (3) If he or she fails to request continuation of benefits within 
the 10-day period required by this paragraph, but requests continuation 
of benefits at a later date, we will use the rules as provided in 
Sec. 404.911 to determine whether good cause exists for his or her 
failure to request continuation of benefits within 10 days after receipt 
of the notice of termination of his or her benefits. His or her late 
request will be considered to be timely and we will pay him or her 
continued benefits only if good cause for delay is established.
    (4) If you choose not to have benefits continued for anyone else who 
is receiving benefits based on your wages and self-employment income, 
pending the appeal on our determination, we will not continue benefits 
to him or her.
 
[[Page 410]]
 
    (i) What you must do when your case is remanded to an administrative 
law judge. If we send back (remand) your case to an administrative law 
judge for further action under the rules provided in Sec. 404.977, and 
the administrative law judge's decision or dismissal order issued on 
your medical cessation appeal is vacated and is no longer in effect, 
continued benefits are payable pending a new decision by the 
administrative law judge or final action is taken by the Appeals Council 
on the administrative law judge's recommended decision.
    (1) If you (and anyone else receiving benefits based on your wages 
and self-employment income or because of your disability) previously 
elected to receive continued benefits pending the administrative law 
judge's decision, we will automatically start these same continued 
benefits again. We will send you a notice telling you this, and that you 
do not have to do anything to have these same benefits continued until 
the month before the month the new decision of order of dismissal is 
issued by the administrative law judge or until the month before the 
month the Appeals Council takes final action on the administrative law 
judge's recommended decision. These benefits will begin again with the 
first month of nonpayment based on the prior administrative law judge 
hearing decision or dismissal order. Our notice explaining reinstatement 
of continued benefits will also tell you to report to us any changes or 
events that affect your receipt of benefits.
    (2) After we automatically reinstate your continued benefits as 
described in paragraph (h)(1) of this section, we will contact you to 
determine if any adjustment is required to the amount of continued 
benefits payable due to events that affect the right to receive benefits 
involving you, your spouse and/or children. If you have returned to 
work, we will request additional information about this work activity. 
If you are working, your continued benefits will not be stopped while 
your appeal of the medical cessation of disability is still pending 
unless you have completed a trial work period and are engaging in 
substantial gainful activity. In this event, we will suspend your 
continued benefits. If any other changes have occurred which would 
require a reduction in benefit amounts, or nonpayment of benefits, we 
will send an advance notice to advise of any adverse change before the 
adjustment action is taken. The notice will also advise you of the right 
to explain why these benefits should not be adjusted or stopped. You 
will also receive a written notice of our determination. The notice will 
also explain your right to reconsideration if you disagree with this 
determination.
    (3) If the final decision on your appeal of your medical cessation 
is a favorable one, we will send you a written notice in which we will 
advise you of your right to benefits, if any, before you engaged in 
substantial gainful activity and to reentitlement should you stop 
performing substantial gainful activity. If you disagree with our 
determination, you will have the right to appeal this decision.
    (4) If the final decision on your appeal of your medical cessation 
is an unfavorable one (the cessation is affirmed), you will also be sent 
a written notice advising you of our determination, and your right to 
appeal if you think we are wrong.
    (5) If you (or the others receiving benefits based on your wages and 
self-employment income or because of your disability) did not previously 
elect to have benefits continued pending an administrative law judge 
decision, and you now want to elect continued benefits, you must request 
to do so no later than 10 days after you receive our notice telling you 
about continued benefits. If you fail to request continued benefits 
within the 10-day period required by paragraph (f)(1) of this section, 
but later ask that we continue your benefits pending an administrative 
law judge remand decision, we will use the rules in Sec. 404.911 to 
determine whether good cause exists for your failing to request benefit 
continuation within 10 days after receipt of the notice telling you 
about benefit continuation. We will consider the request to be timely 
and will pay continued benefits only if good cause for delay is 
established. If you make this new election, benefits may begin with the 
month of the order sending (remanding) your case back to the 
administrative law judge. Before we begin to pay
 
[[Page 411]]
 
you continued benefits as described in paragraph (h)(1) of this section 
we will contact you to determine if any adjustment is required to the 
amount of continued benefits payable due to events which may affect your 
right to benefits. If you have returned to work, we will request 
additional information about this work activity. If you are working, 
continued benefits may be started and will not be stopped because of 
your work while your appeal of the medical cessation of your disability 
is still pending unless you have completed a trial work period and are 
engaging in substantial gainful activity. If any changes have occurred 
which establish a basis for not paying continued benefits or a reduction 
in benefit amount, we will send you a notice explaining the adjustment 
or the reason why we cannot pay continued benefits. The notice will also 
explain your right to reconsideration if you disagree with this 
determination. If the final decision on your appeal of your medical 
cessation is a favorable one, we will send you a written notice in which 
we will advise you of your right to benefits, if any, before you engaged 
in substantial gainful activity and to reentitlement should you stop 
performing substantial gainful activity. If you disagree with our 
determination, you will have the right to appeal this decision. If the 
final decision on your appeal of your medical cessation is an 
unfavorable one (the cessation is affirmed), you will also be sent a 
written notice advising you of our determination, and your right to 
appeal if you think we are wrong.
    (6) If a court orders that your case be sent back to us (remanded) 
and your case is sent to an administrative law judge for further action 
under the rules provided in Sec. 404.983, the administrative law judge's 
decision or dismissal order on your medical cessation appeal is vacated 
and is no longer in effect. Continued benefits are payable to you and 
anyone else receiving benefits based on your wages and self-employment 
income or because of your disability pending a new decision by the 
administrative law judge or final action is taken by the Appeals Council 
on the administrative law judge's recommended decision. In these court-
remanded cases reaching the administrative law judge, we will follow the 
same rules provided in paragraphs (i) (1), (2), (3), (4) and (5) of this 
section.
    (j) Responsibility to pay back continued benefits. (1) If the final 
decision of the Secretary affirms the determination that you are not 
entitled to benefits, you will be asked to pay back any continued 
benefits you receive. However, as described in the overpayment recovery 
and waiver provisions of subpart F of this part, you will have the right 
to ask that you not be required to pay back the benefits. You will not 
be asked to pay back any Medicare benefits you received during the 
appeal.
    (2) Anyone else receiving benefits based on your wages and self-
employment income (or because of your disability) will be asked to pay 
back any continued benefits he or she received if the determination that 
your physical or mental impairment(s) has ceased, has never existed, or 
is no longer disabling, is not changed by the final decision of the 
Secretary. However, he or she will have the right to ask that he or she 
not be required to pay them back, as described in the overpayment 
recovery and waiver provisions of subpart F of this part. He or she will 
not be asked to pay back any Medicare benefits he or she received during 
the appeal.
    (3) Waiver of recovery of an overpayment resulting from the 
continued benefits paid to you or anyone else receiving benefits based 
on your wages and self-employment income (or because of your disability) 
may be considered as long as the determination was appealed in good 
faith. It will be assumed that such appeal is made in good faith and, 
therefore, any overpaid individual has the right to waiver consideration 
unless such individual fails to cooperate in connection with the appeal, 
e.g., if the individual fails (without good reason) to give us medical 
or other evidence we request, or to go for a physical or mental 
examination when requested by us, in connection with the appeal. In 
determining whether an individual has good cause for failure to 
cooperate and, thus, whether an appeal was made in good faith, we will 
take into account any physical, mental, educational, or linguistic 
limitations (including any
 
[[Page 412]]
 
lack of facility with the English language) the individual may have 
which may have caused the individual's failure to cooperate.
 
[53 FR 29020, Aug. 2, 1988; 53 FR 39015, Oct. 4, 1988, as amended at 57 
FR 1383, Jan. 14, 1992; 59 FR 1635, Jan. 12, 1994]
 
Sec. 404.1598  If you become disabled by another impairment(s).
 
    If a new severe impairment(s) begins in or before the month in which 
your last impairment(s) ends, we will find that your disability is 
continuing. The new impairment(s) need not be expected to last 12 months 
or to result in death, but it must be severe enough to keep you from 
doing substantial gainful activity, or severe enough so that you are 
still disabled under Sec. 404.1594.
 
[50 FR 50136, Dec. 6, 1985]
 
Sec. 404.1599  Work incentive experiments and rehabilitation 
          demonstration projects in the disability program.
 
    (a) Authority and purpose. Section 505(a) of the Social Security 
Disability Amendments of 1980, Pub. L. 96-265, directs the Secretary to 
develop and conduct experiments and demonstration projects designed to 
provide more cost-effective ways of encouraging disabled beneficiaries 
to return to work and leave benefit rolls. These experiments and 
demonstration projects will test the advantages and disadvantages of 
altering certain limitations and conditions that apply to title II 
disabled beneficiaries. The objective of all work incentive experiments 
or rehabilitation demonstrations is to determine whether the alternative 
requirements will save Trust Fund monies or otherwise improve the 
administration of the disability program established under title II of 
the Act.
    (b) Altering benefit requirements, limitations or conditions. 
Notwithstanding any other provision of this part, the Secretary may 
waive compliance with the entitlement and payment requirements for 
disabled beneficiaries to carry our experiments and demonstration 
projects in the title II disability program. The projects involve 
altering certain limitations and conditions that currently apply to 
applicants and beneficiaries to test their effect on the program.
    (c) Applicability and scope--(1) Participants and nonparticipants. 
If you are selected to participate in an experiment or demonstration 
project, we may temporarily set aside one or more of the current benefit 
entitlement or payment requirements, limitations or conditions and apply 
alternative provisions to you. We may also modify current methods of 
administering the Act as part of a project and apply alternative 
procedures or policies to you. The alternative provisions or methods of 
administration used in the projects will not disadvantage you in 
contrast to current provisions, procedures or policies. If you are not 
selected to participate in the experiments or demonstration projects (or 
if you are placed in a control group which is not subject to alternative 
requirements and methods) we will continue to apply to you the current 
benefit entitlement and payment requirements, limitations and conditions 
and methods of administration in the title II disability program.
    (2) Alternative provisions or methods of administration. The 
alternative provisions or methods of administration that apply to you in 
an experiment or demonstration project may include (but are not limited 
to) one or more of the following:
    (i) Reducing your benefits (instead of not paying) on the basis of 
the amount of your earnings in excess of the SGA amount;
    (ii) Extending your benefit eligibility period that follows 9 months 
of trial work, perhaps coupled with benefit reductions related to your 
earnings;
    (iii) Extending your Medicare benefits if you are severely impaired 
and return to work even though you may not be entitled to monthly cash 
benefits;
    (iv) Altering the 24-month waiting period for Medicare entitlement; 
and
    (v) Stimulating new forms of rehabilitation.
    (d) Selection of participants. We will select a probability sample 
of participants for the work incentive experiments and demonstration 
projects from newly awarded beneficiaries who meet certain pre-selection 
criteria (for example, individuals who are likely to be able to do 
substantial work despite continuing severe impairments). These
 
[[Page 413]]
 
criteria are designed to provide larger subsamples of beneficiaries who 
are not likely either to recover medically or die. Participants may also 
be selected from persons who have been receiving DI benefits for 6 
months or more at the time of selection.
    (e) Duration of experiments and demonstration projects. A notice 
describing each experiment or demonstration project will be published in 
the Federal Register before each experiment or project is placed in 
operation. The work incentive experiments and rehabilitation 
demonstrations will be activated in 1982. A final report on the results 
of the experiments and projects is to be completed and transmitted to 
Congress by June 9, 1993. However, the authority for the experiments and 
demonstration projects will not terminate at that time. Some of the 
alternative provisions or methods of administration may continue to 
apply to participants in an experiment or demonstration project beyond 
that date in order to assure the validity of the research. Each 
experiment and demonstration project will have a termination date (up to 
10 years from the start of the experiment or demonstration project).
 
[48 FR 7575, Feb. 23, 1983, as amended at 52 FR 37605, Oct. 8, 1987; 55 
FR 51687, Dec. 17, 1990]
 
             Appendix 1 to Subpart P--Listing of Impairments
 
    The body system listings in parts A and B of the Listing of 
Impairments will no longer be effective on the following dates unless 
extended by the Commissioner or revised and promulgated again.
    1. Growth Impairment (100.00): December 7, 1998.
    2. Musculoskeletal System (1.00 and 101.00): June 6, 1997.
    3. Special Senses and Speech (2.00 and 102.00): December 4, 1998.
    4. Respiratory System (3.00 and 103.00): October 7, 2000.
    5. Cardiovascular System (4.00 and 104.00): February 10, 1998.
    6. Digestive System (5.00 and 105.00): December 5, 1997.
    7. Genito-Urinary System (6.00 and 106.00): December 5, 1997.
    8. Hemic and Lymphatic System (7.00 and 107.00): June 6, 1997.
    9. Skin (8.00): June 6, 1997.
    10. Endocrine System and Obesity (9.00) and Endocrine System 
(109.00): June 6, 1997.
    11. Multiple Body Systems (110.00): July 2, 1998.
    12. Neurological (11.00 and 111.00): June 5, 1998.
    13. Mental Disorders (12.00): August 28, 1997.
    14. Mental Disorders (112.00): June 12, 1997.
    15. Neoplastic Diseases, Malignant (13.00 and 113.00): June 6, 1997.
    16. Immune System (14.00 and 114.00): July 2, 1998.
 
                                 Part A
 
    Criteria applicable to individuals age 18 and over and to children 
under age 18 where criteria are appropriate.
 
Sec.
1.00  Musculoskeletal System.
2.00  Special Senses and Speech.
3.00  Respiratory System.
4.00  Cardiovascular System.
5.00  Digestive System.
6.00  Genito-Urinary System.
7.00  Hemic and Lymphatic System.
8.00  Skin.
9.00  Endocrine System and Obesity.
10.00  [Reserved]
11.00  Neurological.
12.00  Mental Disorders.
13.00  Neoplastic Diseases, Malignant.
14.00  Immune System.
 
                      1.00  Musculoskeletal System
 
    A. Loss of function may be due to amputation or deformity. Pain may 
be an important factor in causing functional loss, but it must be 
associated with relevant abnormal signs or laboratory findings. 
Evaluations of musculoskeletal impairments should be supported where 
applicable by detailed descriptions of the joints, including ranges of 
motion, condition of the musculature, sensory or reflex changes, 
circulatory deficits, and X-ray abnormalities.
    B. Disorders of the spine, associated with vertebrogenic disorders 
as in 1.05C, result in impairment because of distortion of the bony and 
ligamentous architecture of the spine or impingement of a herniated 
nucleus pulposus or bulging annulus on a nerve root. Impairment caused 
by such abnormalities usually improves with time or responds to 
treatment. Appropriate abnormal physical findings must be shown to 
persist on repeated examinations despite therapy for a reasonable 
presumption to be made that severe impairment will last for a continuous 
period of 12 months. This may occur in cases with unsuccessful prior 
surgical treatment.
    Evaluation of the impairment caused by disorders of the spine 
requires that a clinical diagnosis of the entity to be evaluated first 
must be established on the basis of adequate history, physical 
examination, and roentgenograms. The specific findings stated in 1.05C 
represent the level required for that impairment; these findings, by 
themselves,
 
[[Page 414]]
 
are not intended to represent the basis for establishing the clinical 
diagnosis. Furthermore, while neurological examination findings are 
required, they are not to be interpreted as a basis for evaluating the 
magnitude of any neurological impairment. Neurological impairments are 
to be evaluated under 11.00-11.19.
    The history must include a detailed description of the character, 
location, and radiation of pain; mechanical factors which incite and 
relieve pain; prescribed treatment, including type, dose, and frequency 
of analgesic; and typical daily activities. Care must be taken to 
ascertain that the reported examination findings are consistent with the 
individual's daily activities.
    There must be a detailed description of the orthopedic and 
neurologic examination findings. The findings should include a 
description of gait, limitation of movement of the spine given 
quantitatively in degrees from the vertical position, motor and sensory 
abnormalities, muscle spasm, and deep tendon reflexes. Observations of 
the individual during the examination should be reported; e.g., how he 
or she gets on and off the examining table. Inability to walk on heels 
or toes, to squat, or to arise from a squatting position, where 
appropriate, may be considered evidence of significant motor loss. 
However, a report of atrophy is not acceptable as evidence of 
significant motor loss without circumferential measurements of both 
thighs and lower legs (or upper or lower arms) at a stated point above 
and below the knee or elbow given in inches or centimeters. A specific 
description of atrophy of hand muscles is acceptable without 
measurements of atrophy but should include measurements of grip 
strength.
    These physical examination findings must be determined on the basis 
of objective observations during the examination and not simply a report 
of the individual's allegation, e.g., he says his leg is weak, numb, 
etc. Alternative testing methods should be used to verify the 
objectivity of the abnormal findings, e.g., a seated straight-leg 
raising test in addition to a supine straight-leg raising test. Since 
abnormal findings may be intermittent, their continuous presence over a 
period of time must be established by a record of ongoing treatment. 
Neurological abnormalities may not completely subside after surgical or 
nonsurgical treatment, or with the passage of time. Residual 
neurological abnormalities, which persist after it has been determined 
clinically or by direct surgical or other observation that the ongoing 
or progressive condition is no longer present, cannot be considered to 
satisfy the required findings in 1.05C.
    Where surgical procedures have been performed, documentation should 
include a copy of the operative note and available pathology reports.
    Electrodiagnostic procedures and myelography may be useful in 
establishing the clinical diagnosis, but do not constitute alternative 
criteria to the requirements in 1.05C.
    C. After maximum benefit from surgical therapy has been achieved in 
situations involving fractures of an upper extremity (see 1.12) or soft 
tissue injuries of a lower or upper extremity (see 1.13), i.e., there 
have been no significant changes in physical findings or X-ray findings 
for any 6-month period after the last definitive surgical procedure, 
evaluation should be made on the basis of demonstrable residuals.
    D. Major joints as used herein refer to hip, knee, ankle, shoulder, 
elbow, or wrist and hand. (Wrist and hand are considered together as one 
major joint.)
    E. The measurements of joint motion are based on the techniques 
described in the ``Joint Motion Method of Measuring and Recording,'' 
published by the American Academy of Orthopedic Surgeons in 1965, or the 
``Guides to the Evaluation of Permanent Impairment--The Extremities and 
Back'' (Chapter I); American Medical Association, 1971.
    1.01  Category of Impairments, Musculoskeletal
    1.02  Active rheumatoid arthritis and other inflammatory arthritis.
    With both A and B.
    A. History of persistent joint pain, swelling, and tenderness 
involving multiple major joints (see 1.00D) and with signs of joint 
inflammation (swelling and tenderness) on current physical examination 
despite prescribed therapy for at least 3 months, resulting in 
significant restriction of function of the affected joints, and clinical 
activity expected to last at least 12 months; and
    B. Corroboration of diagnosis at some point in time by either.
    1. Positive serologic test for rheumatoid factor; or
    2. Antinuclear antibodies; or
    3. Elevated sedimentation rate; or
    4. Characteristic histologic changes in biopsy of synovial membrane 
or subcutaneous nodule (obtained independent of Social Security 
disability evaluation).
    1.03  Arthritis of a major weight-bearing joint (due to any cause):
    With history of persistent joint pain and stiffness with signs of 
marked limitation of motion or abnormal motion of the affected joint on 
current physical examination. With:
    A. Gross anatomical deformity of hip or knee (e.g, subluxation, 
contracture, bony or fibrous ankylosis, instability) supported by X-ray 
evidence of either significant joint space narrowing or significant bony 
destruction and markedly limiting ability to walk and stand; or
    B. Reconstructive surgery or surgical arthrodesis of a major weight-
bearing joint and
 
[[Page 415]]
 
return to full weight-bearing status did not occur, or is not expected 
to occur, within 12 months of onset.
    1.04  Arthritis of one major joint in each of the upper extremities 
(due to any cause):
    With history of persistent joint pain and stiffness, signs of marked 
limitation of motion of the affected joints on current physical 
examination, and X-ray evidence of either significant joint space 
narrowing or significant bony destruction. With:
    A. Abduction and forward flexion (elevation) of both arms at the 
shoulders, including scapular motion, restricted to less than 90 
degrees; or
    B. Gross anatomical deformity (e.g., subluxation, contracture, bony 
or fibrous ankylosis, instability, ulnar deviation) and enlargement or 
effusion of the affected joints.
    1.05  Disorders of the spine:
    A. Arthritis manifested by ankylosis or fixation of the cervical or 
dorsolumbar spine at 30 deg. or more of flexion measured from the 
neutral postion, with X-ray evidence of:
    1. Calcification of the anterior and lateral ligaments; or
    2. Bilateral ankylosis of the sacroiliac joints with abnormal 
apophyseal articulations; or
    B. Osteoporosis, generalized (established by X-ray) manifested by 
pain and limitation of back motion and paravertebral muscle spasm with 
X-ray evidence of either:
    1. Compression fracture of a vertebral body with loss of at least 50 
percent of the estimated height of the vertebral body prior to the 
compression fracture, with no intervening direct traumatic episode; or
    2. Multiple fractures of vertebrae with no intervening direct 
traumatic episode; or
    C. Other vertebrogenic disorders (e.g., herniated nucleus puplosus, 
spinal stenosis) with the following persisting for at least 3 months 
despite prescribed therapy and expected to last 12 months. With both 1 
and 2:
    1. Pain, muscle spasm, and significant limitation of motion in the 
spine; and
    2. Appropriate radicular distribution of significant motor loss with 
muscle weakness and sensory and reflex loss.
    1.08  Osteomyelitis or septic arthritis (established by X-ray):
    A. Located in the pelvis, vertebra, femur, tibia, or a major joint 
of an upper or lower extremity, with persistent activity or occurrence 
of at least two episodes of acute activity within a 5-month period prior 
to adjudication, manifested by local inflammatory, and systemic signs 
and laboratory findings (e.g., heat, redness, swelling, leucocytosis, or 
increased sedimentation rate) and expected to last at least 12 months 
despite prescribed therapy; or
    B. Multiple localizations and systemic manifestations as in A above.
    1.09  Amputation or anatomical deformity of (i.e., loss of major 
function due to degenerative changes associated with vascular or 
neurological deficits, traumatic loss of muscle mass or tendons and X-
ray evidence of bony ankylosis at an unfavorable angle, joint 
subluxation or instability):
    A. Both hands; or
    B. Both feet; or
    C. One hand and one foot.
    1.10  Amputation of one lower extremity (at or above the tarsal 
region):
    A. Hemipelvectomy or hip disarticulation; or
    B. Amputation at or above the tarsal region due to peripheral 
vascular disease or diabetes mellitus; or
    C. Inability to use a prosthesis effectively, without obligatory 
assistive devices, due to one of the following:
    1. Vascular disease; or
    2. Neurological complications (e.g., loss of position sense); or
    3. Stump too short or stump complications persistent, or are 
expected to persist, for at least 12 months from onset; or
    4. Disorder of contralateral lower extremity which markedly limits 
ability to walk and stand.
    1.11  Fracture of the femur, tibia, tarsal bone of pelvis with solid 
union not evident on X-ray and not clinically solid, when such 
determination is feasible, and return to full weight-bearing status did 
not occur or is not expected to occur within 12 months of onset.
    1.12  Fractures of an upper extremity with non-union of a fracture 
of the shaft of the humerus, radius, or ulna under continuing surgical 
management directed toward restoration of functional use of the 
extremity and such function was not restored or expected to be restored 
within 12 months after onset.
    1.13  Soft tissue injuries of an upper or lower extremity requiring 
a series of staged surgical procedures within 12 months after onset for 
salvage and/or restoration of major function of the extremity, and such 
major function was not restored or expected to be restored within 12 
months after onset.
 
                     2.00  Special Senses and Speech
 
    A. Ophthalmology
    1. Causes of impairment. Diseases or injury of the eyes may produce 
loss of central or peripheral vision. Loss of central vision results in 
inability to distinguish detail and prevents reading and fine work. Loss 
of peripheral vision restricts the ability of an individual to move 
about freely. The extent of impairment of sight should be determined by 
visual testing.
    2. Central visual acuity. A loss of central visual acuity may be 
caused by impaired distant and/or near vision. However, for an 
individual to meet the level of severity described in 2.02 and 2.04, 
only the remaining central visual acuity for distance of the better eye 
with best correction based on the Snellen
 
[[Page 416]]
 
test chart measurement may be used. Correction obtained by special 
visual aids (e.g., contact lenses) will be considered if the individual 
has the ability to wear such aids.
    3. Field of vision. Impairment of peripheral vision may result if 
there is contraction of the visual fields. The contraction may be either 
symmetrical or irregular. The extent of the remaining peripheral visual 
field will be determined by usual perimetric methods at a distance of 
330 mm. under illumination of not less than 7-foot candles. For the 
phakic eye (the eye with a lens), a 3 mm. white disc target will be 
used, and for the aphakic eye (the eye without the lens), a 6 mm. white 
disc target will be used. In neither instance should corrective 
spectacle lenses be worn during the examination but if they have been 
used, this fact must be stated.
    Measurements obtained on comparable perimetric devices may be used; 
this does not include the use of tangent screen measurements. For 
measurements obtained using the Goldmann perimeter, the object size 
designation III and the illumination designation 4 should be used for 
the phakic eye, and the object size designation IV and illumination 
designation 4 for the aphakic eye.
    Field measurements must be accompanied by notated field charts, a 
description of the type and size of the target and the test distance. 
Tangent screen visual fields are not acceptable as a measurement of 
peripheral field loss.
    Where the loss is predominantly in the lower visual fields, a system 
such as the weighted grid scale for perimetric fields described by B. 
Esterman (see Grid for Scoring Visual Fields, II. Perimeter, Archives of 
Ophthalmology, 79:400, 1968) may be used for determining whether the 
visual field loss is comparable to that described in Table 2.
    4. Muscle function. Paralysis of the third cranial nerve producing 
ptosis, paralysis of accommodation, and dilation and immobility of the 
pupil may cause significant visual impairment. When all the muscle of 
the eye are paralyzed including the iris and ciliary body (total 
ophthalmoplegia), the condition is considered a severe impairment 
provided it is bilateral. A finding of severe impairment based primarily 
on impaired muscle function must be supported by a report of an actual 
measurement of ocular motility.
    5. Visual efficiency. Loss of visual efficiency may be caused by 
disease or injury resulting in a reduction of central visual acuity or 
visual field. The visual efficiency of one eye is the product of the 
percentage of central visual efficiency and the percentage of visual 
field efficiency. (See Tables No. 1 and 2, following 2.09.)
    6. Special situations. Aphakia represents a visual handicap in 
addition to the loss of central visual acuity. The term monocular 
aphakia would apply to an individual who has had the lens removed from 
one eye, and who still retains the lens in his other eye, or to an 
individual who has only one eye which is aphakic. The term binocular 
aphakia would apply to an individual who has had both lenses removed. In 
cases of binocular aphakia, the central efficiency of the better eye 
will be accepted as 75 percent of its value. In cases of monocular 
aphakia, where the better eye is aphakic, the central visual efficiency 
will be accepted as 50 percent of the value. (If an individual has 
binocular aphakia, and the central visual acuity in the poorer eye can 
be corrected only to 20/200, or less, the central visual efficiency of 
the better eye will be accepted as 50 percent of its value.)
    Ocular symptoms of systemic disease may or may not produce a 
disabling visual impairement. These manifestations should be evaluated 
as part of the underlying disease entity by reference to the particular 
body system involved.
    7. Statutory blindness. The term ``statutory blindness'' refers to 
the degree of visual impairment which defines the term ``blindness'' in 
the Social Security Act. Both 2.02 and 2.03 A and B denote statutory 
blindness.
    B. Otolaryngology
    1. Hearing impairment. Hearing ability should be evaluated in terms 
of the person's ability to hear and distinguish speech.
    Loss of hearing can be quantitatively determined by an audiometer 
which meets the standards of the American National Standards Institute 
(ANSI) for air and bone conducted stimuli (i.e., ANSI S 3.6-1969 and 
ANSI S 3.13-1972, or subsequent comparable revisions) and performing all 
hearing measurements in an environment which meets the ANSI standard for 
maximal permissible background sound (ANSI S 3.1-1977).
    Speech discrimination should be determined using a standardized 
measure of speech discrimination ability in quiet at a test presentation 
level sufficient to ascertain maximum discrimination ability. The speech 
discrimination measure (test) used, and the level at which testing was 
done, must be reported.
    Hearing tests should be preceded by an otolaryngologic examination 
and should be performed by or under the supervision of an 
otolaryngologist or audiologist qualified to perform such tests.
    In order to establish an independent medical judgment as to the 
level of impairment in a claimant alleging deafness, the following 
examinations should be reported: Otolaryngologic examination, pure tone 
air and bone audiometry, speech reception threshold (SRT), and speech 
discrimination testing. A copy of reports of medical examination and 
audiologic evaluations must be submitted.
    Cases of alleged ``deaf mutism'' should be documented by a hearing 
evaluation. Records obtained from a speech and hearing
 
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rehabilitation center or a special school for the deaf may be 
acceptable, but if these reports are not available, or are found to be 
inadequate, a current hearing evaluation should be submitted as outlined 
in the preceding paragraph.
    2. Vertigo associated with disturbances of labyrinthine-vestibular 
function, including Meniere's disease. These disturbances of balance are 
characterized by an hallucination of motion or loss of position sense 
and a sensation of dizziness which may be constant or may occur in 
paroxysmal attacks. Nausea, vomiting, ataxia, and incapacitation are 
frequently observed, particularly during the acute attack. It is 
important to differentiate the report of rotary vertigo from that of 
``dizziness'' which is described as lightheadedness, unsteadiness, 
confusion, or syncope.
    Meniere's disease is characterized by paroxysmal attacks of vertigo, 
tinnitus, and fluctuating hearing loss. Remissions are unpredictable and 
irregular, but may be longlasting; hence, the severity of impairment is 
best determined after prolonged observation and serial reexaminations.
    The diagnosis of a vestibular disorder requires a comprehensive 
neuro-otolaryngologic examination with a detailed description of the 
vertiginous episodes, including notation of frequency, severity, and 
duration of the attacks. Pure tone and speech audiometry with the 
appropriate special examinations, such as Bekesy audiometry, are 
necessary. Vestibular functions is assessed by positional and caloric 
testing, preferably by electronystagmography. When polytograms, contrast 
radiography, or other special tests have been performed, copies of the 
reports of these tests should be obtained in addition to reports of 
skull and temporal bone X-rays.
    3. Organic loss of speech. Glossectomy or laryngectomy or 
cicatricial laryngeal stenosis due to injury or infection results in 
loss of voice production by normal means. In evaluating organic loss of 
speech (see 2.09), ability to produce speech by any means includes the 
use of mechanical or electronic devices. Impairment of speech due to 
neurologic disorders should be evaluated under 11.00-11.19.
    2.01  Category of Impairments, Special Senses and Speech
    2.02  Impairment of central visual acuity. Remaining vision in the 
better eye after best correction is 20/200 or less.
    2.03  Contraction of peripheral visual fields in the better eye.
    A. To 10 deg. or less from the point of fixation; or
    B. So the widest diameter subtends an angle no greater than 20 deg.; 
or
    C. To 20 percent or less visual field efficiency.
    2.04  Loss of visual efficiency. Visual efficiency of better eye 
after best correction 20 percent or less. (The percent of remaining 
visual efficiency=the product of the percent of remaining central visual 
efficiency and the percent of remaining visual field efficiency.)
    2.05  Complete homonymous hemianopsia (with or without macular 
sparing). Evaluate under 2.04.
    2.06  Total bilateral ophthalmoplegia. 
    2.07  Disturbance of labyrinthine-vestibular function (including 
Meniere's disease), characterized by a history of frequent attacks of 
balance disturbance, tinnitus, and progressive loss of hearing. With 
both A and B:
    A. Disturbed function of vestibular labyrinth demonstrated by 
caloric or other vestibular tests; and
    B. Hearing loss established by audiometry.
    2.08  Hearing impairments (hearing not restorable by a hearing aid) 
manifested by:
    A. Average hearing threshold sensitivity for air conduction of 90 
decibels or greater and for bone conduction to corresponding maximal 
levels, in the better ear, determined by the simple average of hearing 
threshold levels at 500, 1000 and 2000 hz. (see 2.00B1); or
    B. Speech discrimination scores of 40 percent or less in the better 
ear;
    2.09  Organic loss of speech due to any cause with inability to 
produce by any means speech which can be heard, understood, and 
sustained.
 
  Table No. 1--Percentage of Central Visual Efficiency Corresponding to 
 Central Visual Acuity Notations for Distance in the Phakic and Aphakic 
                            Eye (Better Eye)                            
------------------------------------------------------------------------
         Snellen                 Percent central visual efficiency      
------------------------------------------------------------------------
                                            Aphakic          Aphakic    
  English       Metric     Phakic \1\    monocular \2\    binocular \3\ 
------------------------------------------------------------------------
20/16......         6/5          100              50               75   
20/20......         6/6          100              50               75   
20/25......       6/7.5           95              47               71   
20/32......        6/10           90              45               67   
20/40......        6/12           85              42               64   
20/50......        6/15           75              37               56   
20/64......        6/20           65              32               49   
20/80......        6/24           60              30               45   
20/100.....        6/30           50              25               37   
20/125.....        6/38           40              20               30   
20/160.....        6/48           30    ...............            22   
20/200.....        6/60           20    ...............  ...............
------------------------------------------------------------------------
Column and Use.                                                         
\1\ Phakic.--1. A lens is present in both eyes. 2. A lens is present in 
  the better eye and absent in the poorer eye. 3. A lens is present in  
  one eye and the other eye is enucleated.                              
\2\ Monocular.--1. A lens is absent in the better eye and present in the
  poorer eye. 2. The lenses are absent in both eyes; however, the       
  central visual acuity in the poorer eye after best correction in 20/  
  200 or less. 3. A lens is absent from one eye and the other eye is    
  enucleated.                                                           
\3\ Binocular.--1. The lenses are absent from both eyes and the central 
  visual acuity in the poorer eye after best correction is greater than 
  20/200.                                                               
 
 
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[GRAPHIC] [TIFF OMITTED] TR01FE93.040
 
 Table No. 2--Chart of Visual Field Showing Extent of Normal Field and 
         Method of Computing Percent of Visual Field Efficiency
    1. Diagram of right eye illustrates extent of normal visual field as 
tested on standard perimeter at 3/330 (3 mm. white disc at a distance of 
330 mm.) under 7 foot-candles illumination. The sum of the eight 
principal meridians of this field total 500 deg..
    2. The percent of visual field efficiency is obtained by adding the 
number of degrees of the eight principal meridians of the contracted 
field and dividing by 500. Diagram of left eye illustrates visual field 
contracted to 30 deg. in the temporal and down and out meridians and to 
20 deg. in the remaining six meridians. The percent of visual field 
efficiency of this field is: 6 x 20+2 x 30    =180<divide>500=0.36 or 36 
percent remaining visual field efficiency, or 64 percent loss.
 
                        3.00  Respiratory System
 
    A. Introduction. The listings in this section describe impairments 
resulting from respiratory disorders based on symptoms, physical signs, 
laboratory test abnormalities, and response to a regimen of treatment 
prescribed by a treating source. Respiratory disorders along with any 
associated impairment(s) must be established by medical evidence. 
Evidence must be provided in sufficient detail to permit an independent 
reviewer to evaluate the severity of the impairment.
    Many individuals, especially those who have listing-level 
impairments, will have received the benefit of medically prescribed 
treatment. Whenever there is evidence of such treatment, the 
longitudinal clinical record must include a description of the treatment 
prescribed by the treating source and response in addition to 
information about the nature and severity of the impairment. It is 
important to document any prescribed treatment and response, because 
this medical management may have improved the individual's functional 
status. The longitudinal record should provide information regarding 
functional recovery, if any.
    Some individuals will not have received ongoing treatment or have an 
ongoing relationship with the medical community, despite the existence 
of a severe impairment(s). An individual who does not receive treatment 
may or may not be able to show the existence of an impairment that meets 
the criteria of these listings. Even if an individual does not show that 
his or her impairment meets the criteria of these listings, the 
individual may have an impairment(s) equivalent in severity to one of 
the listed impairments or be disabled because of a limited residual 
functional capacity. Unless the claim can be decided favorably on the 
basis of the current evidence, a longitudinal record is still important 
because it will provide information about such things as the ongoing 
medical severity of the impairment, the level of the individual's 
functioning, and the
 
[[Page 419]]
 
frequency, severity, and duration of symptoms. Also, the asthma listing 
specifically includes a requirement for continuing signs and symptoms 
despite a regimen of prescribed treatment.
    Impairments caused by chronic disorders of the respiratory system 
generally produce irreversible loss of pulmonary function due to 
ventilatory impairments, gas exchange abnormalities, or a combination of 
both. The most common symptoms attributable to these disorders are 
dyspnea on exertion, cough, wheezing, sputum production, hemoptysis, and 
chest pain. Because these symptoms are common to many other diseases, a 
thorough medical history, physical examination, and chest x-ray or other 
appropriate imaging technique are required to establish chronic 
pulmonary disease. Pulmonary function testing is required to assess the 
severity of the respiratory impairment once a disease process is 
established by appropriate clinical and laboratory findings.
    Alterations of pulmonary function can be due to obstructive airway 
disease (e.g., emphysema, chronic bronchitis, asthma), restrictive 
pulmonary disorders with primary loss of lung volume (e.g., pulmonary 
resection, thoracoplasty, chest cage deformity as in kyphoscoliosis or 
obesity), or infiltrative interstitial disorders (e.g., diffuse 
pulmonary fibrosis). Gas exchange abnormalities without significant 
airway obstruction can be produced by interstitial disorders. Disorders 
involving the pulmonary circulation (e.g., primary pulmonary 
hypertension, recurrent thromboembolic disease, primary or secondary 
pulmonary vasculitis) can produce pulmonary vascular hypertension and, 
eventually, pulmonary heart disease (cor pulmonale) and right heart 
failure. Persistent hypoxemia produced by any c