There are two different kinds of pensions: covered and noncovered.
- A covered pension is a pension based on employment that withheld Social Security taxes from your wages.
- A noncovered pension is based on employment that did not withhold Social Security taxes from your wages. These employers are typically state and local governments or non-U.S. employers.
If you have a covered pension (meaning you paid Social Security taxes on the wages you earned from the employer), the SSA will not reduce your Social Security benefits.
