Abstract: Underemployment is an involuntary condition where individuals consider their employment inferior relative to a standard. This study analyzes underemployment among veterans using data from a large longitudinal study and federal occupational data to explore the relationship between subjective perceptions and objective indicators. Veterans reported their occupations, salaries, and subjective underemployment. Each veteran's occupation was matched with O*NET job zone, education, and occupational median income data. Four groups were identified: neither subjectively nor objectively underemployed, subjectively underemployed only, objectively underemployed only, and both subjectively and objectively underemployed. A one-way analysis of variance (ANOVA) examined salary differences. Most veterans' occupations required some education, and higher educational attainment correlated with increased underemployment. Two thirds of cases showed agreement between subjective and objective assessments, with underemployed veterans earning significantly less. This study highlights the reliability of self-reports as indicators of objective underemployment and underscores the need for innovative strategies to address veteran underemployment through early detection.