During the design, construction, and operation phases of an embankment, free surface seepage is considered a major concern due to in situ water-level conditions or the local rainfall pattern. Embankments resting on weak foundations are prone to catastrophic slope failure ignited due to resultant high pore water pressures from increased seepage. This paper investigates the seepage and stability behavior of a nail-stabilized embankment simulated on a soft soil foundation, focusing on the effectiveness of reinforcement in reducing the impact of seepage during a 30-day transient seepage analysis. The analysis was performed on a 6 m embankment resting on 4 m deep soft soil foundation with respect to safety factor, developed pore water pressures, hydraulic conductivity, and exit gradients. The soil nail reinforcement significantly maintained the stability of structure at a factor of safety of 2.457 at the end of the transient analysis with 20% reduction in developed pore water pressures, mitigating the risk of erosion and piping. Additionally, the hydraulic conductivity in the foundation was reduced to 1.2e−07 m/sec, thereby maintaining the integrity of structure. The study also highlights a reduction in the seepage gradient, with the XY-gradient around the nail ranging from 2 to 4, lowering the overall gradient in the embankment and foundation to 1 and 0.5, respectively. The redirection of seepage flow due to soil nail reinforcement played a crucial role in enhancing the stability of structure on weak foundations subjected to seepage forces.