Military service is covered employment for Social Security purposes. If you served in the U.S. military, your service likely counts toward your Social Security work credits — and in some cases, you may be eligible for extra wage credits that boost your eventual benefit. Here’s what veterans need to know.
Active duty military service and Social Security
Active duty military members pay Social Security taxes on their wages, just like civilian workers. This means every year of active duty counts toward your Social Security work credits and earnings record. The more you earned, the higher your eventual retirement or disability benefit.
Social Security coverage for active duty military began in 1957. Service before 1957 is handled differently (see below).
Special extra wage credits for military service (1957–2001)
For military service between 1957 and 2001, the Social Security Administration credits extra wages to your earnings record — even if those wages weren’t actually paid. These are sometimes called “deemed military wage credits” or “special extra credits.”
- 1957–1977: $300 in extra earnings credited for each calendar quarter in which you received any active duty pay
- 1978–2001: $100 in extra earnings credited for each $300 in active duty basic pay, up to $1,200 per year
These extra credits are added automatically when SSA processes your benefit claim — you don’t need to apply for them separately. They can meaningfully increase your benefit, especially for veterans who served in the 1960s through 1980s when base pay was relatively low.
After 2001, no additional extra wage credits are granted — but active duty pay is still fully covered and taxed under Social Security.
Service before 1957: noncontributory credits
Military service before 1957 (World War II, Korea) was not covered by Social Security payroll taxes. However, Congress later granted “noncontributory credits” for this earlier service. Veterans who served between 1940 and 1956 can receive $160 in Social Security wage credits for each month of active duty service.
To receive these pre-1957 credits, you must apply — they are not automatically added. Contact the SSA and provide documentation of your service, such as discharge papers (DD-214 or equivalent).
Guard and Reserve members
National Guard and Reserve service is covered by Social Security on the same basis as active duty when members are on active duty or active duty for training. Inactive duty for training (weekend drills, etc.) is also covered for Social Security purposes from 1988 onward.
Military retirement pay and Social Security
Military retirement pay (pension) is entirely separate from Social Security. Receiving military retirement does not reduce your Social Security retirement benefit — unlike civilian government pensions, which can trigger the Windfall Elimination Provision (WEP) or Government Pension Offset (GPO).
The WEP and GPO apply to non-covered pensions — pensions from jobs that did NOT pay Social Security taxes. Because military pay is covered by Social Security, military retirement does not trigger either of these reductions.
Veterans benefits (VA) and Social Security
VA disability compensation and Social Security disability (SSDI) are separate programs with separate eligibility criteria. Receiving VA disability does not disqualify you from SSDI — and vice versa. However, if you receive SSI (Supplemental Security Income), VA disability payments count as income and may reduce your SSI benefit.
Further Reading
- Social Security Government Pensions and Public Workers
- How Social Security Benefits Are Calculated
- How to Check Your Social Security Earnings Record
- SSI vs. SSDI: What’s the Difference?
This article is for general educational purposes only and does not constitute financial or tax advice. Social Security rules change periodically and individual situations vary — verify current rules with the Social Security Administration (ssa.gov) or consult a qualified financial advisor before making decisions.