FICA Exemption
This is general information, not professional tax advice. For your specific situation, please consult a qualified tax professional.
The Rule
- Au pairs on J-1 visas who are nonresident aliens are exempt from FICA taxes (Social Security and Medicare).
- Legal basis: IRC Section 3121(b)(19) — services performed by a nonresident alien temporarily in the US on a J-1 visa.
- This is NOT a treaty benefit. It applies to all J-1 NRAs regardless of country.
What FICA Taxes Are
- Social Security tax: 6.2% of wages (employee portion)
- Medicare tax: 1.45% of wages (employee portion)
- Total: 7.65% of wages
If FICA Was Incorrectly Withheld
- Some host families or payroll services incorrectly withhold FICA taxes from au pair wages.
- The au pair can get this money back.
Step 1: Ask the Employer
- First, ask the host family or their payroll service for a refund.
- The employer can file Form 941-X (amended employment tax return) to correct the error and refund the taxes.
Step 2: File with the IRS (if employer can't refund)
If the employer refuses or is unable to refund:
- File Form 843 (Claim for Refund and Request for Abatement)
- Attach Form 8316 (Information Regarding Request for Refund of Social Security Tax)
- Attach a copy of the W-2 showing the FICA withholding
- Attach a letter from the employer stating they cannot provide the refund
- Attach a copy of the J-1 visa or I-94
Where to Mail
- Internal Revenue Service, Ogden, UT 84201-0038
Processing Time
- IRS FICA refund claims typically take 6-12 months to process.
- The refund amount = W-2 Box 4 (Social Security tax) + W-2 Box 6 (Medicare tax).
Important
- This exemption only applies while the au pair is a nonresident alien.
- If an au pair becomes a resident alien (after 2+ calendar years and meeting the substantial presence test), FICA taxes apply normally.