Military Service and Social Security 2016

Earnings for active duty military service 

or active duty training have been covered 

under Social Security since 1957.

Social Security has covered inactive duty 

service in the armed forces reserves (such as 

weekend drills) since 1988.

If you served in the military before 1957, you 

didn’t pay Social Security taxes, but we gave 

you special credit for some of your service.

You can get both Social Security benefits 

and military retirement. Generally, there 

is no reduction of Social Security benefits 

because of your military retirement benefits. 

You’ll get your full Social Security benefit 

based on your earnings.

Social Security and Medicare taxes

While you’re in military service, you pay 

Social Security taxes just as civilian employees 

do. You currently pay a 6.2 percent Social 

Security tax on up to $118,500 of your earnings. 

The Medicare tax rate is 1.45 percent on all 

wages, and high-income earners also pay 

an additional 0.9 percent on earnings above 

certain amounts.

How your work qualifies 

you for Social Security

To qualify for benefits, you must earn credits 

by working and paying Social Security taxes. 

The number of credits you need to qualify 

depends on your age and the type of benefit for 

which you’re eligible. In 2016, you’ll receive 

four credits if you earn at least $5,040. The 

minimum amount of earnings needed to get 

credit for your work goes up each year. The 

maximum number of credits you can earn in 

one year is 4. No one needs more than 10 years 

of work, or 40 credits.

Extra earnings

Your Social Security benefit depends on your 

earnings, averaged over your working lifetime. 

Generally, the higher your earnings, the higher 

your Social Security benefit. Under certain 

circumstances, special earnings can be credited 

to your military pay record for Social Security 

purposes. The extra earnings are for periods of 

active duty or active duty for training. These 

extra earnings may help you qualify for Social 

Security or increase the amount of your Social 

Security benefit.

If you served in the military after 1956, you 

paid Social Security taxes on those earnings. 

Since 1988, inactive duty service in the armed 

forces reserves (such as weekend drills) has also 

been covered by Social Security.

Under certain circumstances, special extra 

earnings for periods of active duty from 1957 

through 2001 can also be credited to your Social 

Security earnings record.

• From 1957 through 1967, we will add the 

extra credits to your record when you apply 

for Social Security benefits.

• From 1968 through 2001, you don’t need to 

do anything to receive these extra credits. 

The credits were automatically added to 

your record.

• After 2001, there are no special extra 

earnings credits for military service.

The information that follows explains how 

you can get credit for special extra earnings 

and applies only to active duty military service 

earnings from 1957 through 2001.

• From 1957 through 1977, you’re credited with 

$300 in additional earnings for each calendar 

quarter in which you received active duty 

basic pay.

• From 1978 through 2001, for every $300 

in active duty basic pay, you’re credited 

with an additional $100 in earnings up to a 

maximum of $1,200 a year. If you enlisted 

after September 7, 1980, and didn’t complete 

at least 24 months of active duty or your 

full tour, you may not be able to receive 

the additional earnings. Check with Social 

Security for details.

If you served in the military from 1940 

through 1956, including attendance at 

a service academy, you didn’t pay Social 

Security taxes. However, your Social Security 

record may be credited with $160 a month in 

(over)

Military Service and Social Security
earnings for military service from September 

16, 1940, through December 31, 1956, under 

the following circumstances:

• You were honorably discharged after 90 or 

more days of service, or you were released 

because of a disability or injury received in 

the line of duty; or

• You’re still on active duty; or

• You’re applying for survivors benefits and the 

veteran died while on active duty.

You can’t receive credit for these special 

earnings if you’re already receiving a federal 

benefit based on the same years of service. 

There is one exception: If you were on active 

duty after 1956, you can still get the special 

earnings for 1951 through 1956, even if you’re 

receiving a military retirement based on service 

during that period.

These extra earnings credits are added to 

your earnings record when you apply for Social 

Security benefits.

NOTE: In all cases, the additional 

earnings are credited to the earnings that 

we average over your working lifetime, not 

directly to your monthly benefit amount.

Your benefits

In addition to retirement benefits, Social 

Security pays survivors benefits to your family 

when you die. You also can get Social Security 

benefits for you and your family if you become 

disabled. For more information about these 

benefits, ask us for Understanding the Benefits

(Publication No. 05-10024).

If you became disabled while on active 

military service on or after October 1, 2001, 

visit www.socialsecurity.gov/woundedwarriors

to find out how you can receive expedited 

processing of your disability claim.

When you apply for Social Security benefits, 

you’ll be asked for proof of your military service 

(DD Form 214) or information about your 

Reserve or National Guard service.

When you are eligible for Medicare

If you have health care insurance from the 

Department of Veterans Affairs (VA) or under 

the TRICARE or CHAMPVA program, your 

health benefits may change or end when you 

become eligible for Medicare. You should 

contact the VA, the Department of Defense 

or a military health benefits advisor for 

more information.

You can work and get

retirement benefits

You can retire as early as age 62. But, if 

you do, your Social Security benefits will be 

reduced and won’t be increased when you reach 

full retirement age. If you decide to apply for 

benefits before your full retirement age, you can 

work and still get some Social Security benefits. 

There are limits on how much you can earn 

without losing some or all of your retirement 

benefits. These limits change each year. When 

you apply for benefits, we’ll tell you what the 

limits are at that time and whether work will 

affect your monthly benefits.

When you reach your full retirement age, you 

can earn as much as you are able and still get 

all of your Social Security benefits.

The full retirement age is 66 for people born 

from 1943 through 1954, and it will gradually 

increase to age 67 for those born in 1960 and 

later. To help you decide the best time to retire, 

contact us for Retirement Benefits (Publication 

No. 05-10035).

Contacting Social Security

Visit www.socialsecurity.gov anytime to 

apply for benefits, open a my Social Security

account, find publications, and get answers 

to frequently asked questions. Or, call us 

toll-free at 1-800-772-1213 (for the deaf 

or hard of hearing, call our TTY number, 

1-800-325-0778). We can answer case-specific 

questions from 7 a.m. to 7 p.m., Monday 

through Friday. Generally, you’ll have a shorter 

wait time if you call after Tuesday. We treat all 

calls confidentially. We also want to make sure 

you receive accurate and courteous service, so a 

second Social Security representative monitors 

some telephone calls. We can provide general 

information by automated phone service 24 

hours a day. And, remember, our website, 

www.socialsecurity.gov, is available to you 

anytime and anywhere!

Social Security Administration

SSA Publication No. 05-10017

ICN 451475

Unit of Issue - HD (one hundred)

Printed on recycled paper January 2016 (Recycle prior editions)