Do H-1B visa holders need to pay FICA taxes?
Yes, H-1B visa holders are generally required to pay Social Security (FICA) and Medicare taxes on their wages.
Here’s why:
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Unlike F-1 students, H-1B workers are considered resident aliens for tax purposes once they meet the Substantial Presence Test (usually after their first year in the U.S.).
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Resident aliens are subject to the same tax rules as U.S. citizens, including paying FICA taxes.
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Therefore, your employer should withhold Social Security (6.2%) and Medicare (1.45%) taxes from your paycheck.
Summary Table:
Visa Status | FICA Taxes (Social Security & Medicare) |
---|---|
F-1 student (first 5 years) | Exempt |
F-1 student (after 5 years) | Must pay |
H-1B visa holder | Must pay |
If you notice FICA taxes not withheld while on H-1B, you should notify your employer.
Let me know if you want more info about tax obligations on H-1B!