Office of Human Resources - Polices, Guides & FAQs
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TAX WITHHOLDING ON STUDENT WAGES
Wages paid to a student employee through the payroll system are subject to the following withholding taxes: Federal Income Tax, State Income Tax, and FICA (Social Security and Medicare). The withholding of federal and state taxes is dependent upon the student's biweekly or semi-monthly gross income and how the student files their W-4 Form. A student may seek advice from the Internal Revenue Service regarding how to file their W-4 Form by calling the IRS toll-free number at 1(800) 829-1040. A student is not automatically exempt from tax withholding based upon their student status.
The number of credit hours a student is enrolled for at the end of the drop/add period determines whether or not FICA tax (7.65% of gross wages) is withheld. To be exempt from FICA tax a student must be enrolled at least half time:
| Regular Semester | Undergraduate Graduate Graduate Assistant* |
6 or more hours 5 or more hours 3 or more hours |
|---|---|---|
| 5 Week Summer | Undergraduate Graduate Graduate Assistant* |
2 or more hours 2 or more hours 1 or more hours |
| 8 Week Summer | Undergraduate Graduate |
3 or more hours 3 or more hours |
* For enrollment verification purposes, graduate assistant is a generic term that includes graduate assistant, teaching assistant, research assistant, graduate associate, teaching associate, and research associate.
F1 and J1 Status Nonresident Alien Students
The only exception to the above requirements is for nonresident alien students admitted to the United States in an F1 or J1 status. Student employees in this category remain exempt from FICA tax regardless of hours until they have passed the substantial presence test, i.e., been present in the United States during more then four calendar years.