Since January 1, 1951, Section 218 of the Social Security Act has made Social Security coverage available to State and local government employees through a unique voluntary Federal-State agreement known as a Section 218 Agreement. It represents a mutual commitment to assure that participation in the Social Security program is a viable part of employee benefit programs available to public employees. Each State has a Section 218 Agreement with the Social Security Administration, and it is still in force and effect.

In 1986 and 1991 Congress made significant legislative changes to the Social Security Act and the Internal Revenue Code, mandating Social Security and Medicare coverage for certain public employees. These changes have increased the role and responsibilities of State and local government employers significantly.

To learn how public employees are covered under a Section 218 Agreement and when they are mandatorily covered for Social Security and Medicare, click one of the following: