Non-contact strain measurement systems and their method of use to detect strain on rotating components are disclosed. A non-contact strain measurement system comprises magnetic materials plated onto a rotatable component in addition to appropriate encoders and controller. The magnetic materials are spaced apart a first distance D1 when the component is not rotating, and a second distance D2 when the component is rotating. The encoders and controller are utilized to detect strain on the rotating component. A method of using the system to detect strain on a rotating component includes detecting the first distance D1 then detecting the second distance D2, and calculating the strain imparted onto the component from a difference between D1 and D2.