Students who both work and attend CCAC

Pay Frequency

Biweekly - 26 pays per year
Payday is every other Wednesday

Pay Type

Hourly

Student FICA Exemption

Student wages may be exempt from Social Security and Medicare taxes.  The student employee must be a student enrolled and regularly attending classes at CCAC (registered for 6 or more credits a term).  For a more detailed explanation see the Student FICA Exemption Narrative

Student Unemployment Exemption

Student wages are excluded from the definition of covered employment for computing unemployment benefits.  Therefore, these wages are not subject to unemployment taxes.

Resources

CCAC Financial Aid Office (web page)

Student FICA exception narrative

General

Congresses intent was for the student FICA exception to cover individuals earning small amounts who are expected to accumulate social security benefits through future employment that will follow the completion of their education.  The exception is not intended to cover an individual who has developed enough expertise to be working in a field where he or she is already licensed and has the capacity to earn substantial wages.

I. The employee must be a student enrolled and regularly attending classes at CCAC (registered for 6 or more credits a term).

II. The employee must be pursuing a course of study at CCAC.  (The completion of one or more courses results in the student being awarded an educational credential).

III. The employee must be an employee who performs services for the college as an incident to and for the purpose of pursuing a course of study.  The predominant relationship must = Student).

a. The employee’s course workload must be predominant

b. The nature of the employees employment relationship is not that of a career employee

i. Hours worked – cannot be fulltime hours

ii. Must not be a Professional employee – Professional employees typically perform services requiring knowledge of an advanced type, consistently exercise judgment, and/or their work is predominantly intellectual.

iii. Terms of employment – The employee is not eligible for benefits typically offered to career employees i.e. retirement, medical, vacation, paid holidays.

iv. The employee is not required to be licensed to perform a certain function that they have been hired to perform.

To classify employees answer the following questions with regard to their course workload and employment status.

Is the employee registered for 6 or more credits in the current term?

NO – NOT eligible for exemption

YES – go to the next question.

Is the employee a student employee in class code 0040 or 0050?

YES – Eligible for exemption

NO – go to the next question.

Is the employee registered for 12 or more credits?

NO – NOT eligible for exemption

YES – go to the next question.

Is the employee performing services as a Tutor, Reading Lab Assistant, Fitness Center Assistant, Computer Lab Assistant, Y Course Instructor?

YES – Eligible for exemption

NO – NOT eligible for exemption