Tuesday, August 5, 2008

Social Security Extra Earnings for Military Service

Please share this with anyone who's had active duty service prior to January 2002 and planning for retirement. In a nutshell it boils down to this:

You qualify for a higher social security payment because of your military service, for active duty from 1957 through 2001 (the program was done away with in January 2002). Up to $1200 per year of earnings credit credited at the time of application - which can make a substantial difference in social security monthly payments upon your retirement.

You must bring your DD-214 to the Social Security Office - and you must ask for this benefit to receive it!

See Social Security website:
http://www.ssa.gov/retire2/military.htm

This is directly from the Social Security Administration web site:

Since 1957, if you had military service earnings for active duty (including active duty for training), 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 your military service from 1957 through 2001 can be credited to your record for Social Security purposes. These extra earnings credits may help you qualify for Social Security or increase the amount of your Social Security benefit.

Special extra earnings credits are granted for periods of active duty or active duty for training. Special extra earnings are NOT granted for inactive duty training.

If your active military service occurred

FROM 1957 THROUGH 1967, they will add the extra credits to your record when you apply for Social Security benefits.

FROM 1968 THROUGH 2001, you do not need to do anything to receive the extra credits. The credits were automatically added to your record. (But I would still take my DD-214 down and ask at the time I sign up).

HOW YOU GET CREDIT FOR EXTRA SPECIAL EARNINGS

SERVICE IN 1957 THROUGH 1977
You are credited with $300.00 in additional earnings for each calendar quarter in which you received active duty basic pay.

SERVICE IN 1978 THROUGH 2001
For every $300.00 in active duty basic pay, you are credited with an additional $100.00 in earnings up to a maximum of $1,200.00 a year. If you enlisted after September 7, 1980, and you 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.

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