Social Security Lump-Sum and Terminated Benefit Disposition Act of 1983 - Amends title II (Old Age, Survivors and Disability Insurance) of the Social Security Act to eliminate the requirement that a widow or widower be living in the same household with the deceased at the time of death in order to receive lump-sum death benefits under title II. Requires the equitable distribution of such benefits if there is no widow or widower.

Continues an individual's OASDI benefits through the month of his or her death. Provides that the monthly benefit for the month in which a beneficiary dies shall be payable only to the extent proportionate to the number of days in such month preceding the beneficiary's death.