Non-Covered Pensions are pensions based on non-covered income, i.e. income not taxed Social Security. Only certain retirement accounts and government and foreign pensions are non-covered.


Your receipt of a non-covered pension or retirement account can affect your Social Security retirement benefit through Social Security's Windfall Elimination Provision (WEP). Your non-covered pensions will also affect the amount of spousal and survivor benefits you can receive based on another's earnings record via the Government Pension Offset provision (GPO).


Only include retirement accounts based on non-covered income if they are a primary retirement plan or a supplemental plan that includes employer contributions or employer contributions along with employee contributions.


If a supplemental retirement account is based on non-covered income but includes contributions only from the employee, do not enter it as a non-covered retirement account.


For an example of how non-covered retirement accounts are handled by SSA, see POMS section RS DAL00605.364.