Access Leading Tax Experts And Technology
In Our Global Digital Marketplace

Please Type Topic Into Search Bar

Is military differential subject to FICA withholding? How does this affect my social security benefits?

social security benefits Military Differential Pay
TaxConnections Members... Answer This Question Want To be One of Our Tax Experts? Register Here

Tax Professional Answers

User Photo
Steven Potts JD EA
For purposes of Social Security coverage, section 209(a) of the Act defines wages as “remuneration…for employment” and section 210(a) defines employment (in part) as “any service…performed…by an employee for his or her employer.” Since reservists on active military duty are not performing services for their civilian employers, payments made to them by those employers are not considered remuneration for employment. Therefore, military differential or supplemental pay is not wages for Social Security purposes.

A person who is on active military duty will be accruing social security benefits from his military service. This will include the number of quarter worked requirements. The differential pay will not add to the social security benefits the individual will be eligible for in the future.
Leave a Comment 392 weeks ago


Meet Leading Tax Advisors

User Photo John Stancil

Professor

Lakeland

User Photo Peter J. Scalise

Federal Tax Credits & Incentives Practice Leader

New York, NY

User Photo John Dundon, II EA

Tax Director

Denver, CO

User Photo William Rogers, CFP, MBA, EA

CEO/Certified Financial Advisor

Rancho Santa Fe, CA

User Photo Monika Miles

President

San Jose, CA

User Photo Blake Christian

Tax Partner

Long Beach/ Park City, CA

User Photo John Richardson

Lawyer

Toronto, Canada

 

View/Select our Current List of Tax Topics

# A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Previous PageNext Page

INCREASE KNOWLEDGE WITH EVERY ISSUE OF TAXCONNECTIONS

 

Learn from tax advisors, straight to your inbox

Update My Email Address
Contact Us Today