By Russell Gloor, National Social Security Advisor at the AMAC Foundation, the non-profit arm of the Association of Mature American Citizens
Dear Rusty: I served in the U S Army from January 1958 to Feb 1961. What increase should I receive for those years and who do I call and at what phone number? Signed: Proud Veteran
Dear Proud Veteran: First, thank you for your military service! I expect you are referring to the “special extra credits for military service” which are available to some who served in in the US Military in earlier years. It is important to note that these “extra credits” take the form of an adjustment to your military pay record while serving and are not an incremental amount added to your monthly Social Security benefit because you served.
Military pay has been subject to deductions for Social Security since 1957. Thus, while serving between 1958 and 1961 you paid SS tax on your military earnings. But, for purposes of determining your Social Security benefit, your military earnings record would be increased by $300 for each quarter you served on active duty, up to a maximum of $1,200 increase per year of service. That means for 1958 – 1960, when calculating your SS benefit, $1,200 would be added to your military earnings record for each year you served. FYI, for those who served after 1967, this adjustment was automatically made by Social Security. But for service years prior to 1967 (as in your case) you would need to inform Social Security of your service when you claimed SS and provide a copy of your military form DD-214 (your discharge papers). SS would then make the appropriate adjustment to your military earnings record prior to calculating your benefit amount. And, for clarity, additional credits for military service are not available to those who served after 2001.
A key point to understand is that this adjustment to your military pay may – or may not – affect the amount of your Social Security benefit. Social Security determines your benefit amount based on your highest earning 35 years over your entire lifetime (adjusted for inflation). If, after you served in the military, you had at least 35 years of civilian employment where you earned more than your military pay, it is probable that your military pay is not included when calculating your Social Security benefit. If that is the case, it is likely that the “special extra credits for military service” would have no effect on your Social Security payment. If, however, your military pay (including those special extra credits) for any year is more than you earned in civilian life, then you can contact Social Security (1.800.772.1213), provide them with a copy of your DD-214, and ask that they recalculate your Social Security benefit to include the extra credits for your years of military service.
Again, thank you for your service to our country, and please do not hesitate to contact us again if you have any further questions. FYI, you may also find the “For Veterans” section of our AMAC Foundation website interesting (www.amacfoundation.org)
This article is intended for information purposes only and does not represent legal or financial guidance. It presents the opinions and interpretations of the AMAC Foundation’s staff, trained and accredited by the National Social Security Association (NSSA). NSSA and the AMAC Foundation and its staff are not affiliated with or endorsed by the Social Security Administration or any other governmental entity. To submit a question, visit our website (amacfoundation.org/programs/social-security-advisory) or email us at ssadvisor@amacfoundation.org.
