Work under EAD, can we get social security benefit?

[cindywang16]

hi, Everyone:
I had this question from a friend of my and I want to find out about this for myself as well.

I just got my EAD and starting looking for a job, wondering we all get charged for social security fee every month from our paycheck.
For my understanding, Social security benefit is for US citizen.
So I am wondering, if I get sick today (which I had been paying social security every month), am I entitle of apply for social security when I am working under EAD? if not....how about after I received my Green card?

 

[Jewel12]

hi, Everyone:
I had this question from a friend of my and I want to find out about this for myself as well.

I just got my EAD and starting looking for a job, wondering we all get charged for social security fee every month from our paycheck.
For my understanding, Social security benefit is for US citizen.
So I am wondering, if I get sick today (which I had been paying social security every month), am I entitle of apply for social security when I am working under EAD? if not....how about after I received my Green card?

You are not going to pay FICA (Social Security and Medicare tax) while working with an EAD. You will pay non-resident alien tax and income tax.

Your FICA will kick in when you become an Permanent resident, but you won't be eligible to collect SS benefits until after 10 years of employment. This is true for U.S. citizens as well - no one can collect SS benefits if he/she has less than 40 quarters of work under his/her belt

Hope this helps!

 

[dr_lha]

You are not going to pay FICA (Social Security and Medicare tax) while working with an EAD. You will pay non-resident alien tax and income tax.

Your FICA will kick in when you become an Permanent resident, but you won't be eligible to collect SS benefits until after 10 years of employment. This is true for U.S. citizens as well - no one can collect SS benefits if he/she has less than 40 quarters of work under his/her belt

Hope this helps!

I believe you are wrong here. You will have to pay FICA/Social Security. Just because you're an NRA you can't avoid it. The only people that are exempt from FICA are F-1 and J-1 students for their first 5 years or J-1 workers for their first 2 years, I can find no specific exemption from FICA for any other non-residents aliens.

http://www.thetaxguy.com/sstax.htm

 

[cindywang16]

Mmmmm.............thank you so much for all the information.
My friend is using OPT to work, so I guess that means, she definitly dont' need to pay social security right? or she still have to pay because she is working off campus?

than for me, since I use EAD that means I will need to pay?
or I start after I am permnant resident?
Law is so confusing
thank you for all the information, just they are really confusing ....really appreciated.

 

[dr_lha]

OPT holders are exempt from FICA if they are in the USA on an F-1 visa and have been present for less than 5 years.

Look at it this way, the reason why students and short term visitors (J-1) are exempt from FICA is because its assumed they will never get benefit from it. As an applicant for a Green Card, you are proposing to become a permenant resident of this country, and as such, will use your Social Security benefits in the future, therefore you have to pay.

The bar deciding who pays FICA and who doesn't is set very low. In most cases if you don't know if you're exempt from FICA: you're not.

 

[cindywang16]

that is true...thank you so much.
I think I should start paying that is better for later as well.

thank you

 

[Jewel12]

I believe you are wrong here. You will have to pay FICA/Social Security. Just because you're an NRA you can't avoid it. The only people that are exempt from FICA are F-1 and J-1 students for their first 5 years or J-1 workers for their first 2 years, I can find no specific exemption from FICA for any other non-residents aliens.

http://www.thetaxguy.com/sstax.htm

Yes, I admit, I may have been wrong. But I also know that it may depend on a job too. If a job is part-time, without benefits, worker's comp, FMLA leave etc., even U.S. citizens don't pay FICA. My co-worker is a U.S. citizen, but he doesn't pay social security taxes because of the nature of the job. It's a rare thing though, I believe - most people probably pay it.

 

[Jewel12]

Yes, I admit, I may have been wrong. But I also know that it may depend on a job too. If a job is part-time, without benefits, worker's comp, FMLA leave etc., even U.S. citizens don't pay FICA. My co-worker is a U.S. citizen, but he doesn't pay social security taxes because of the nature of the job. It's a rare thing though, I believe - most people probably pay it.

Well, I said all that and, out of curiousity, started looking for info on that. Found nothing. I'm kinda surprised, because I clearly remember our new hire orientation, and the HR person said that this job wasn't subject to FICA withholdings... I'm totally lost now.

 

[cindywang16]

hehehe...Jewel 12 you are so cute.
I tried to find some information about this, however, whatever I found the article confused me so bad.

I have no problem to pay for social security, just I wont' like to pay if I am not entitle for any benefit later, feels weird. You know...that is human nature.

Right now, I actually just got a SUPER part-time job, by super means, 6 hours a week. But I get charge quite a lot of percentage of my paycheck for Social security and medicare. anyone know, is that normal?

I mean besides the tax, social security and medicare is more than 10% of my pays.... kind of sad that I finally get EAD and got a part time job and just social security took off most of my paycheck.

I know tax, as low as my income, I can get it back the end of the year. But anyone know how about social security?

 

[TheRealCanadian]

I have no problem to pay for social security, just I wont' like to pay if I am not entitle for any benefit later, feels weird.

Of course you'll be eligible, so long as you work 40 quarters. It is possible for a Canadian to spend 10 years or more working in the US in a non-immigrant status and be eligible once he or she retires, despite never having been a US citizen or permanent resident.

I know tax, as low as my income, I can get it back the end of the year. But anyone know how about social security?

No.

 

[cindywang16]

wow...so not matter what nationality we are, as long as we pay social security long enough, we are entitle of benefit later when we retired or sick? By any chance you know what if my friend is working under visa? can she build up her social security as well? So I am working under EAD, and I am already starting building my social security??
hehe...thank you...I kind of liking the system of charging social security now, although it took a lot.

This is a question have nothing to do with this tread again, but since I have a job waiting for me, can I start already although I haven't get my actual EAD card yet? (p.s. I already received the EAD approval e-mail) ^-^

thank you so much,

 

[TheRealCanadian]

wow...so not matter what nationality we are, as long as we pay social security long enough, we are entitle of benefit later when we retired or sick?

By and large, yes. The SSA has a good page on their site outlining all of the exceptions and totalization agreements, and any authoritative answer needs to include how long you worked in the US and other countries, and where you live when you retire.

By any chance you know what if my friend is working under visa? can she build up her social security as well? So I am working under EAD, and I am already starting building my social security?? hehe...thank you...I kind of liking the system of charging social security now, although it took a lot.

You'll like it a lot less when you discover that you are not "building" anything, exception quarters of contributions. The money you pay pretty much goes to pay current beneficiaries, and older folks who will be retiring in the next few years. By the time folks in their 30s retire, contributions will go up, retirement age will be pushed back and benefits will go down by up to 25% - or some combination thereof.

This is a question have nothing to do with this tread again, but since I have a job waiting for me, can I start already although I haven't get my actual EAD card yet? (p.s. I already received the EAD approval e-mail)

If it's been approved, you're technically authorized to work. If your employer will let you start without the physical card, I don't see a problem.

 

[eddie_d]

You silly people actually believe SS will be around when you retire? HA HA HA!! Oh man that's a good one. Unless you're about 45 now, any money you put into SS is going down a deep dark hole and you will never see that money again.

 

[cindywang16]

that is very sad news that all the money is taken from me every month wont' give me benefit later when I get retired.

From Therealcanadian, at least we will get something, just not as good as the people who are using social security benefit right now. By the time we need it, it will be less and we will have to work longer.

But from eddie_d, is that mean in social security system, they are more people spending it than putting money in? so you think this social security system will stop, maybe even collapse when we get old?

From Eddie_d, social security system sounds like a house insurance, we have to pay for it, but when we need it, the insurance still do no good for us much.


so that means, I will need to get my own retirement plan from a private company right? Government's social security benefit ideal is not very dependable? So in our age group (around 20-30) right now, by the time when we get old, government wont' take care of us right? we will have to figure things out for ourself?


that is so sad

 

[GotPR?]

eddie_d, is that mean in social security system, they are more people spending it than putting money in? so you think this social security system will stop, maybe even collapse when we get old?

If I remember correctly, that will start happening around 2037.

 

[cindywang16]

only another 20 years.
I wont' even qualified to get the benefit.
So sad ......... so after I get financially more stable, am I suppose to start invest my private retirement plan with private company?

how come some country can afford all these benefit to their citizen, plus medical care and we wont' even get retirement care from government here that we all pay for???

sorry, I am very new to this society, just trying to figure all the social care and benefit right now it is very sad sounding.

 

[TheRealCanadian]

If I remember correctly, that will start happening around 2037.

Anyone who says that SS will "stop" or "go broke" clearly has no idea what they are talking about.

What will happen is that the accumulated SS surplus will be totally gone around that date, and benefits will probably have to be reduced to match contributions coming in. That level is estimated to be at around 75% of current benefits. So it won't go broke, but contributions will go down.

Anyone who relies on SS alone for savings is a fool. SS is of value, but should be considered in addition to a private retirement account such as an IRA, Roth, or 401k, as well as a house and taxable savings.

 

[cindywang16]

hi, sorry if I have stupid question again.
Since this is my first time start working and paying tax in this country. I am just trying to figure out the situation here.

So...when I get a full time job, maybe my employer will offer me 401K, as my retirement plan from my company right? so I don't really need to go out and find my own private investment for our retirement?

So social security is just another benefit that I can get when I am old?

I saw a lot of job ad, says "full benefit included", usually that means 401k as well ? 401k is a retirement plan that I pay every month from my paycheck right? What if I lost this job, will my 401k follows me?

sorry, therealcanadian, what is taxable savings? like stocks, money market?

so shy...sorry, I feel I am like a teenager. Never deal with financial issues before. Just this whole US government's charges are very new for me. I just got EAD for 5 days So just learning what all those charges for. Just want to be prepared when I am old

 

[TheRealCanadian]

hi,So...when I get a full time job, maybe my employer will offer me 401K, as my retirement plan from my company right? so I don't really need to go out and find my own private investment for our retirement?

That is the best solution. Take advantage of it - far too few workers do.

So social security is just another benefit that I can get when I am old?

Yes.

401k is a retirement plan that I pay every month from my paycheck right? What if I lost this job, will my 401k follows me?

Yes. You can roll over your 401k into your new employer's 401k, or transfer it into an IRA (an Individual Retirement Account) or cash the money out. Under no cricumstances should you do the last option; the tax hit is quite punitive.