A steering system with magnetic torque overlay of a vehicle is provided. The system comprises a hydraulic valve and differential-pressure transducer that monitors pressure created by the valve due to torque exerted by a driver of the vehicle in various directions on a steering wheel thereof. The transducer is fastened to a recirculating ball steering gear. A magnetic actuator generates an output of torque required from the steering gear for a maneuver of the steering wheel and applies the torque to the valve independently of input by the driver. A permanent magnet is located proximate the actuator. A control module calculates an appropriate amount of electric current and sends it to the actuator to generate the output torque. The torque is added to or subtracted from the system in any of the directions independently of the driver input by the pressure-monitoring and inputs from the vehicle into the control module.