January Paycheck Not What You Expected?

What is “FICA” and why is it making my paycheck smaller?

“FICA” (which stands for "Federal Insurance Contributions Act") refers to the payroll taxes withheld from your salary that fund both the US Social Security and Medicare programs. Employees who are full-time students, nonresident alien students (F-1s/J-1s) and nonresident alien scholars (J-1s in the first two years of their program) do not have to pay FICA taxes.

If you are required to pay FICA taxes, the Medicare contribution is identified as “Fed MED/EE” and the Social Security contribution is identified as “Fed OASDI/EE” on your paycheck. The Medicare contribution is 1.45% of your taxable income. In January 2013, the employee’s share of the Social Security payroll tax was increased to 6.2% of your taxable income.

Note: Some of you may have been exempt in 2013 because of your nonresident tax status, but that status may have changed in 2014 and you are paying FICA for the first time.  If you are unsure, check your GLACIER tax summary for information on when you can expect to start paying FICA taxes.

Questions?  Email nra.ask@ohr.gatech.edu

Anxious to Start Your 2013 Tax Return?

As we enter the tax filing period for 2013, you may be anxious to complete your return and to get your refund.  We at OHR and OIE understand this, and want to help!  

This year the IRS has delayed all tax filings and will not accept returns earlier than January 31, 2014.  Please keep in mind that all non-US citizens (who are not US green card holders) should first use the GLACIER tax compliance system to determine if you are a resident or nonresident alien for tax purposes.  If GLACIER determines that you are a nonresident for tax purposes, we can help!  As a nonresident for tax purposes you will be able to complete your federal tax return using GLACIER Tax Prep (GTP) which will be available for use via your current GLACIER account no later than February 17, 2014.  

Workshops assisting with the Georgia state tax forms will be held February 24 through April 14 Dates, times, and locations can be found here.

Also, please be reminded that both resident and nonresident aliens for tax purposes who claimed treaties in 2013, as well as all those students who are nonresident aliens for tax purposes receiving scholarships above and beyond tuition, will need a form 1042-S to complete their tax return.  1042-S forms will also be released no later than February 17, 2014.  Recipients will receive an email from GLACIER when the form is ready for use.

See the International Student and Scholar Tax FAQs for additional information

Questions?  Email nra.ask@ohr.gatech.edu

January Paycheck Not What You Expected?

What is “FICA” and why is it making my paycheck smaller?

“FICA” (which stands for "Federal Insurance Contributions Act") refers to the payroll taxes withheld from your salary that fund both the US Social Security and Medicare programs. Employees who are full-time students, nonresident alien students (F-1s/J-1s) and nonresident alien scholars (J-1s in the first two years of their program) do not have to pay FICA taxes.

If you are required to pay FICA taxes, the Medicare contribution is identified as “Fed MED/EE” and the Social Security contribution is identified as “Fed OASDI/EE” on your paycheck. The Medicare contribution is 1.45% of your taxable income. In January 2013, the employee’s share of the Social Security payroll tax was increased to 6.2% of your taxable income due to the expiration of payroll tax cuts which had been in place for the past two years. Previously, the contribution was 4.2%. The result is smaller paychecks for all FICA-eligible wage earners regardless of citizenship or treaty status as no tax treaty will exempt employees’ FICA taxes.

Note: Some of you may have been exempt in 2012 because of your nonresident tax status, but that status may have changed in 2013 and you are paying FICA for the first time.  If you are unsure, check your GLACIER tax summary for information on when you can expect to start paying FICA taxes.

Anxious to Start Your 2012 Tax Return?

As we enter the tax filing period for 2012, you may be anxious to complete your return and to get your refund.  We at OHR and OIE understand this, and want to help!  

Please keep in mind that all non-US citizens (who are not US green card holders) should first use the GLACIER tax compliance system to determine if you are a resident or nonresident alien for tax purposes.  If GLACIER determines that you are a nonresident for tax purposes, we can help!  As a nonresident for tax purposes you will be able to complete your federal tax return using GLACIER Tax Prep (GTP) which will be available for use via your current GLACIER account no later than February 15, 2013.  

Workshops assisting with the Georgia state tax forms will be held February 20 through April 12 with dates, times, and locations to be announced soon.

Also, please be reminded that both resident and nonresident aliens for tax purposes who claimed treaties in 2012, as well as all those students who are nonresident aliens for tax purposes receiving scholarships above and beyond tuition, will need a form 1042-S to complete their tax return.  1042-S forms will also be released no later than February 15, 2013.  Recipients will receive an email from GLACIER when the form is ready for use.

See the International Student and Scholar Tax FAQs for additional information

Questions?  Email nra.ask@ohr.gatech.edu