Author Topic: Social security exemption  (Read 1197 times)

Jay

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Social security exemption
« on: October 11, 2017, 08:32:27 PM »
I have social security exemption.  I’m 27 years old and have been paying taxes for 7 years and never paid social security taxes. I am thinking about trying to reverse that. . I’m wondering what I need to do to reverse that status. Would I need to pay for the years I missed or do I just start paying now?

Maccountant

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Re: Social security exemption
« Reply #1 on: November 15, 2017, 08:38:50 AM »
I am not completely familiar with the social security exemptions, but my understanding was that you submitted a form every year (with your income tax returns) stating you wanted to be exempt from payroll taxes (FICA), then you were not assessed the tax based on that exemption.

I am not sure if you actually have to file a revocation or if you just quit claiming the exemption going forward.

I am comfortable saying that you will not go back and pay any payroll tax on prior years. Paying payroll tax will be prospective not retrospective.

The social security administration takes your highest 30 years of contributions to determine your retirement benefit. So just work and pay into the SSA until you are 57 and the exemption years will not effect you.