Several components determine an individual’s particular taxation such as the way the W-4 Card is completed, citizenship status, age, student enrollment status and multiple employment that results in a dual compensation situation.
In the State of Florida, there are 3 taxes that must be addressed during employment:
| 1. | Social Security (4.20% of gross taxable wages |
| up to $110,000 in 2012) | |
| 2. | Medicare (1.45% of gross taxable wages) |
| 3. | Federal Withholding Tax (see IRS Publication 15, |
| Employer’s Tax Guide) | |
Social Security and Medicare Tax
Undergraduate Student Employees
Criteria for Exemption Eligibility:
| 1. | In order to be exempt from FICA tax, students |
| must be (1) enrolled in at least ½ time status at FAU, (2) regularly attending classes in the semester at FAU. | |
| 2. | Students must be “scheduled” to work 32 hours |
| or less in order to have FICA exception. A schedule is determined by the employing department and submitted to Student employment via a Student appointment form (SAP). | |
Failure to meet the above criteria will result in the student paying Social Security (4.20%) and Medicare (1.45%) tax on the taxable gross paid for the pay period. Each department is responsible for the employer-matching portion of the tax and it will come out of the same funding department being charged for the student’s salary.
Graduate Student Employees
Criteria for Exemption Eligibility:
| 1. | In order to be exempt from FICA tax, students |
| must be (1) enrolled in at least ½ time status at FAU, (2) regularly attending classes in the semester at FAU. | |
| 2. | Students must be “scheduled” to work 32 hours |
| or less in order to have FICA exception. A schedule is determined by the employing department and submitted to Student employment via a Student appointment form (SAP). | |
Failure to meet the above criteria will result in the student paying Social Security (4.20%) and Medicare (1.45%) tax on the taxable gross paid for the pay period. Each department is responsible for the employer-matching portion of the tax and it will come out of the same funding department being charged for the student’s salary.
Doctoral Students
Criteria for Exemption Eligibility:
| 1. | In order to be exempt from FICA tax, students |
| must be (1) enrolled in at least ½ time status at FAU, (2) regularly attending classes in the semester at FAU. | |
| 2. | Students must be “scheduled” to work 32 hours |
| or less in order to have FICA exception. A schedule is determined by the employing department and submitted to Student employment via a Student appointment form (SAP). | |
| 3. | The work performed must be incidental to |
| pursuing a degree. | |
Failure to meet the above criteria will result in the student paying Social Security (4.20%) and Medicare (1.45%) tax on the taxable gross paid for the pay period. Each department is responsible for the employer-matching portion of the tax and it will come out of the same funding department being charged for the student’s salary.
