Notice2026-01154

Social Security Ruling, SSR 26-1p; Title XVI: Determining Continuing Disability at Steps 2 and 3 of the Medical Improvement Review Standard Sequential Evaluation Process for Children Under Age 18-Functional Equivalence

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Published
January 22, 2026

Issuing agencies

Social Security Administration

Abstract

We are providing notice of SSR 26-1p. This SSR simplifies our process for determining continuing disability at steps 2 and 3 of the medical improvement review standard for children under age 18 who receive Supplemental Security Income (SSI) under title XVI of the Social Security Act.

Full Text

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<title>Federal Register, Volume 91 Issue 14 (Thursday, January 22, 2026)</title>
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[Federal Register Volume 91, Number 14 (Thursday, January 22, 2026)]
[Notices]
[Pages 2820-2821]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-01154]


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SOCIAL SECURITY ADMINISTRATION

[Docket No. SSA-2024-0020]


Social Security Ruling, SSR 26-1p; Title XVI: Determining 
Continuing Disability at Steps 2 and 3 of the Medical Improvement 
Review Standard Sequential Evaluation Process for Children Under Age 
18--Functional Equivalence

AGENCY: Social Security Administration (SSA).

ACTION: Notice of Social Security Ruling (SSR).

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SUMMARY: We are providing notice of SSR 26-1p. This SSR simplifies our 
process for determining continuing disability at steps 2 and 3 of the 
medical improvement review standard for children under age 18 who 
receive Supplemental Security Income (SSI) under title XVI of the 
Social Security Act.

DATES: We will apply this notice on March 23, 2026.

FOR FURTHER INFORMATION CONTACT: Michael J. Goldstein, Disability 
Policy, Social Security Administration, 6401 Security Boulevard, 
Baltimore, MD 21235-6401, telephone: (410) 965-1020.

SUPPLEMENTARY INFORMATION: Although 5 U.S.C. 552(a)(1) and (a)(2) do 
not require it, we are publishing this SSR in accordance with 20 CFR 
402.160(b)(1). Although SSRs do not have the same force and effect as 
statutes or regulations, they are binding on all components of SSA (20 
CFR 402.160(b)(1)).
    We use SSRs to make available to the public precedential final 
opinions, orders, and statements of policy and interpretation relating 
to the Federal old-age, survivors, disability, supplemental security 
income, and special veterans benefits programs. We may base SSRs on 
determinations or decisions made at all levels of our administrative 
review process, Federal court decisions, decisions of our Commissioner, 
opinions from our Office of the General Counsel, or other 
interpretations of the law and regulations.
    This SSR will remain in effect until we publish a notice in the 
Federal Register that rescinds it, or we publish a new SSR that 
replaces or modifies it.
    (Federal Assistance Listings No. 96.006--Supplemental Security 
Income.)

Mark A. Steffensen,
General Counsel, Social Security Administration.

Policy Interpretation Ruling

    SSR 26-1p: Title XVI: Determining Continuing Disability at Steps 2 
and 3 of the Medical Improvement Review Standard Sequential Evaluation 
Process for Children Under Age 18--Functional Equivalence.
    This SSR rescinds and replaces SSR 05-03p.
    Purpose: This SSR simplifies the way we determine continuing 
disability at steps 2 and 3 of the medical improvement review standard 
(MIRS) sequential evaluation process for children under age 18 
described in 20 CFR 416.994a(b)(2). It also demonstrates how to apply 
functional equivalence at steps 2 and 3.
    Citations (Authority): 42 U.S.C. 1382c (a)(3), (a)(4), and (c) of 
the Social Security Act; 20 CFR 416.924, 416.925, 416.926, 416.926a, 
and 416.994a.
    Dates: We will apply this notice on March 23, 2026.

Introduction

    A child under age 18 is disabled under title XVI of the Social 
Security Act if they have a medically determinable impairment or 
combination of impairments that results in marked and severe functional 
limitations and lasts or can be expected to last for at least 12 months 
or is expected to result in death.\1\ We will find that an 
impairment(s) causes marked and severe functional limitations if it 
meets or medically equals the requirements of a listing, or if it 
functionally equals the listings (20 CFR 416.924(d)).
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    \1\ 42 U.S.C. 1382c(a)(3)(C)(i).
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    We periodically conduct a continuing disability review (CDR) to 
determine whether a child's disability continues. We will find a child 
is no longer disabled if their impairment(s) has medically improved and 
no longer results in marked and severe functional limitations.\2\ We 
use a three-step sequential evaluation process to determine whether a 
child's disability continues or ends, as outlined in 20 CFR 
416.994a(b). This process is known as the medical improvement review 
standard (MIRS). As part of the MIRS process, we again consider whether 
a child's impairment(s) meets, medically equals, or functionally equals 
the listings (20 CFR 416.994a(a)(1) and 416.994a(b)(3)).
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    \2\ Certain exceptions to medical improvement may apply, under 
which disability can be found to have ended even though medical 
improvement has not occurred. 42 U.S.C. 1382c(a)(4)(B), (C). Those 
exceptions are not relevant here.
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    Effective January 2, 2001, we revised our rules to simplify the 
evaluation of functional equivalence.\3\ Following that change, we 
issued SSR 05-03p to instruct adjudicators on how to apply the revised 
functional equivalence rule in the CDR process for children under age 
18. SSR 05-03p included two sets of instructions, to be applied to CDRs 
for children depending on whether the most recent favorable 
determination or decision (comparison point decision (CPD)) was issued 
before January 2, 2001, or on or after this date. There is no longer a 
population for whom a CPD issued before January 2, 2001 could apply 
because such an individual would have attained an age greater than 18 
(the youngest of which would be at least age 24). Since, by definition, 
there are no longer any child cases with a CPD before January 2, 2001, 
we no longer need instructions for those types of cases. Consequently, 
it is appropriate for us to remove the obsolete text in SSR 05-03p and 
simplify our subregulatory guidance by including only relevant 
material.
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    \3\ 65 FR 54747 (September 11, 2000).
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    We are also simplifying the instructions for considering functional 
equivalence in cases with a CPD on or after January 2, 2001. For those 
cases, SSR 05-03p instructed adjudicators to consider functional 
equivalence twice in the CDR process and we are eliminating that 
redundancy. For these reasons, we are rescinding SSR 05-3p.

Policy Interpretation

    When we conduct a CDR for children under age 18, we use a three-
step MIRS sequential evaluation process outlined

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in 20 CFR 416.994a(b). Below, we explain how we are simplifying that 
process.

Step 1 of the MIRS Sequential Evaluation Process

    At step 1, we determine whether there has been medical improvement 
in the impairment(s) that was present at the time of the most recent 
favorable determination or decision (20 CFR 416.994a(b)(1)). We refer 
to the impairment(s) that was present at the time of the most recent 
favorable determination or decision as the CPD impairment(s). If there 
has been no medical improvement in the CPD impairment(s), we find that 
the child's disability continues.\4\ If there has been medical 
improvement, we proceed to step 2 (20 CFR 416.994a(b)(2)).
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    \4\ As noted, certain exceptions to medical improvement may 
apply, under which disability can be found to have ended even though 
medical improvement has not occurred. See 20 CFR 416.994(a)(1), (e), 
and (f).
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Step 2 of the MIRS Sequential Evaluation Process

    At step 2, we determine whether the CPD impairment(s) still meets 
or medically equals the severity of the listed impairment that it met 
or equaled at the time of the CPD. We consider the listing as it was 
written at the time of the CPD, even if the listing has since been 
revised or removed (20 CFR 416.994a(b)(2)).
    If the CPD impairment(s) met or medically equaled a listing: If our 
determination or decision at the time of the CPD was that the child's 
impairment(s) met or medically equaled a listing, we consider whether 
the CPD impairment(s) now either meets or medically equals that same 
listing. If it does, we find that the child is still disabled.
    To determine that the CPD impairment(s) currently meets or 
medically equals the CPD listing, we do not have to make the same 
finding we made at the CPD. For example, if we found at the CPD that 
the child's impairment(s) met a listing, and now the CPD impairment(s) 
no longer meets that listing, but it medically equals that listing, we 
find that the child's disability continues. Similarly, if the CPD 
impairment(s) met or equaled a specific subsection of the CPD listing 
(e.g., 103.04B) and now meets or equals a different subsection of that 
listing (e.g., 103.04A), we will find that the child is still disabled. 
If the CPD impairment(s) does not currently meet or medically equal the 
CPD listing, as that listing was written at the time of the CPD, we 
proceed to step 3 (20 CFR 416.994a(b)(3)).
    If the CPD impairment(s) functionally equaled the listings: If our 
determination or decision at the time of the CPD was that the child's 
impairment(s) functionally equaled the listings, there is no CPD 
listing for comparison at step 2. Therefore, we will not make a finding 
at step 2 but will continue to step 3.

Step 3 of the MIRS Sequential Evaluation Process

    At step 3, we consider all current impairments, including the CPD 
impairment(s), any new impairments, and impairments not considered at 
the time of the CPD (20 CFR 416.994a(b)(3)). We first determine whether 
the current impairment(s) is severe (20 CFR 416.994a(b)(3)(i)). If so, 
we determine whether the current impairment(s) meets or medically 
equals a current listing or functionally equals the listings. If the 
impairment(s) is severe and meets or medically equals a listing, or 
functionally equals the listings, we will find that the child is still 
disabled. If the impairment(s) is not severe, or the impairment(s) is 
severe but does not meet or medically equal a listing and does not 
functionally equal the listings, we will find that the child's 
disability has ceased (20 CFR 416.994a(b)(3)(i)-(iii)).

Why We No Longer Consider Functional Equivalence at Step 2 of the MIRS 
Sequential Evaluation Process

    Consistent with 20 CFR 416.994a(a)(1), which states that we will 
consider whether the CPD impairment(s) ``now meets or medically or 
functionally equals the severity of the listing it met or equaled at 
that time,'' SSR 05-03p instructed that adjudicators consider if the 
CPD impairment(s) functionally equaled the listings at step 2 of the 
CDR sequential evaluation.
    Step 2 of the CDR evaluation ensures an individual's CPD 
impairments continue to be evaluated based on the listing requirements 
that existed at the time of the CPD--even if that listing was later 
removed or revised. Considering functional equivalence at step 2 was 
appropriate for cases in which the CPD was prior to January 2, 2001, 
because functional equivalence in such cases was linked to the severity 
of a specific listed impairment that included a disabling limitation(s) 
in its criteria (20 CFR 416.926a(a) (2000)).
    Effective January 2, 2001, functional equivalence is no longer 
linked to the disabling limitation(s) in the criteria of a specific 
listed impairment.\5\ Beginning January 2, 2001, considering the CPD 
impairment(s) at step 2 of the CDR process is unnecessary and 
redundant. The step 3 functional equivalence analysis considers the 
interactive and cumulative effects of all the child's current 
impairments, including both new and CPD impairments. For these reasons, 
we are eliminating the redundancy created by considering functional 
equivalence for the CPD impairment(s) at both steps 2 and 3 of the CDR 
process.
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    \5\ 65 FR 54747 (September 11, 2000).
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    Cross-References: SSR 09-1p: Title XVI: Determining Childhood 
Disability Under the Functional Equivalence Rule--The ``Whole Child'' 
Approach; and Program Operations Manual System DI 25225.015, DI 
25225.020, DI 25225.025, and DI 28005.030.

[FR Doc. 2026-01154 Filed 1-21-26; 8:45 am]
BILLING CODE 4191-02-P


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Indexed from Federal Register on January 22, 2026.

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