Lana Oconnell
Arizona State University offers a wide range of student employment opportunities, including both on-campus and off-campus jobs. Student workers at ASU are generally subject to federal, state, and local taxes, with the withholding of these taxes depending on the student's income and how they file their tax forms. While F-1 and J-1 students are exempt from Social Security and Medicare taxes, exceeding visa limits or having taxable scholarships or fellowships can impact a student worker's tax liability. Additionally, international students on visas have restrictions on their working hours, and all student workers must complete anti-harassment and non-discrimination training.
| Characteristics | Values |
|---|---|
| Wage scale | Starts at $14.35/hour and should not exceed $50.00/hour |
| Work hours | Undergraduate student workers are limited to a rolling average of 25 hours per week for the year |
| Work hours during academic semesters | International students on a visa can work up to 20 hours per week |
| Work hours during summer | Undergraduate student workers can work more than 25 hours per week during the summer |
| Graduate students | Often hold faculty teaching and research positions to continue their education |
| Training | All student workers must complete mandatory training on anti-harassment, non-discrimination, and non-retaliation |
| Taxes | Withholding of federal and state taxes depends on the student's biweekly gross income and how they file their Form W-4 and state withholding forms |
| Tax forms | W-2 form, 1098-T form, 1098-E form, Form 8843, Statement for Exempt Individuals, Individual Tax Identification Number (ITIN), Form 1042-S |
| Tax exemptions | F-1 students who have been in the U.S. for fewer than six years are exempt from Social Security (FICA) and Medicare taxes |
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What You'll Learn
Undergraduate student workers are limited to 25 hours per week
Undergraduate student workers at ASU are limited to a rolling average of 25 hours per week for the year. This limit applies to the combined total of all jobs, including hours associated with stipends paid for services. The maximum hours worked per week is in place to ensure that students' education and training are not compromised by commitments to additional employment.
The student employment program at ASU was established to help students secure part-time employment to earn supplementary income to meet educational expenses. The wage scale for student workers at ASU starts at $14.35 per hour, and pay rates should not exceed $50.00 per hour. Students working outside of Arizona may require pay rates above the Standard Wage Scale minimum.
International students on a visa are not allowed to work more than 20 hours per week during the academic semesters. They must also stop their employment on their graduation day.
ASU students who work are required to file federal income tax returns and a Form 8843, Statement for Exempt Individuals, by April 15 each year. Students who earned more than $12,950 in gross income during the tax year are required to file a tax return. Students who receive taxable awards, scholarships, or fellowships and are not eligible for SSNs will be required to secure an ITIN.
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Graduate assistants are exempt from FICA tax
Graduate assistants are exempt from paying FICA taxes on any income related to their position as graduate students. This includes stipends for teaching assistants (TAs), research assistants (RAs), and graduate assistants (GAs). However, it is important to note that if a graduate student holds a job at the university that is not directly related to their graduate studies, such as working in a cafeteria, FICA taxes will be applicable to those earnings.
FICA, which stands for Federal Insurance Contributions Act, encompasses Social Security and Medicare taxes. Typically, FICA taxes are withheld from an employee's wages to fund these social security and Medicare programs. However, students who are employed by a school, college, or university where they are pursuing their studies are exempt from paying FICA taxes on those services. This exemption is outlined in the Internal Revenue Service's (IRS) guidelines for the Student FICA Exception.
To qualify for the Student FICA Exception, an individual must be enrolled as at least a half-time student and not be considered a professional employee of the educational institution. The exemption applies to services performed in the employ of certain public or private nonprofit educational institutions, including universities and affiliated organizations described in Section 509(a)(3) of the Internal Revenue Code. The student's primary relationship with the institution should be that of a student rather than an employee.
It is worth noting that FICA withholding for graduate assistants at Arizona State University (ASU) is based on the number of credit hours they are enrolled in at the end of the add/drop period. To be eligible for a FICA exemption, graduate assistants must be enrolled at least half-time. Additionally, nonresident students in the United States on an F-1 or J-1 visa remain in a FICA tax-exempt status, regardless of the credit hour enrollment requirement.
While graduate assistants are generally exempt from FICA taxes on income related to their graduate studies, they may still be responsible for paying other taxes, such as federal and state income taxes. It is always advisable to consult the IRS or a tax professional for specific guidance on tax obligations, as individual circumstances may vary.
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Student workers can access W-2 forms via their MyASU account
Student workers at Arizona State University (ASU) are required to pay federal and state taxes. The withholding of these taxes depends on the student's biweekly gross income and how they file their Form W-4 and state withholding forms. Students can seek advice from the Internal Revenue Service about how to file these forms correctly.
Student workers at ASU can access their W-2 forms via their MyASU account. The W-2 form details how much a student earned during the tax year and how much was withheld. It also includes information about gross wages and federal income tax withholding. To access their MyASU account, students need their ASURITE UserID and activation code, which can be found in an email from [email protected] with the subject "ASU Account Activation". The code is also listed on the student's ASU admittance letter.
MyASU is a platform that provides students with convenient access to a range of information and services, including financial and account details, registration holds, ASU email, software, university announcements, and more. It also allows students to view and act on their financial aid awards and enroll in direct deposit.
Additionally, students can access their 1098-T form through their MyASU account. This form outlines the amount of tuition paid and any scholarships or grants received. It is important to note that scholarship money used for optional expenses is considered taxable income.
By utilizing the MyASU platform, ASU student workers can conveniently access important tax documents, such as the W-2 and 1098-T forms, to facilitate their tax filing process.
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Student workers must complete anti-harassment training
Arizona State University (ASU) employs students in many jobs across all its campuses. Student workers at ASU are required to complete anti-harassment training. This training is designed to increase awareness of the university's policies regarding anti-harassment, non-discrimination, and non-retaliation. The training is mandatory for all student workers in all academic and administrative units. It includes an online module, a quiz, and a resource guide with information and policies to review. The quiz consists of 15 questions, 12 of which must be answered correctly to pass.
ASU has a strict policy against discrimination, harassment, and retaliation. The university prohibits these behaviors from employees, students, contractors, or agents based on any protected status, including race and color. Reports of sexual harassment, discrimination, and retaliation by employees must be made to the ASU Office of University Rights and Responsibilities or the Title IX Coordinator/Deputy Title IX Coordinators. Employees are required to immediately disclose any allegation of sexual harassment to the appropriate office.
ASU has an informal resolution process for reports of policy violations, which aims to resolve concerns at the earliest stage through the cooperation of all parties involved. This process includes options such as facilitating an agreement between the parties, separating the parties, referring them to counseling programs, and conducting targeted educational and training programs.
In addition to the anti-harassment training, student workers at ASU should be aware of their tax obligations. The withholding of federal and state taxes depends on the student's biweekly gross income and how they file their Form W-4 and state withholding forms. Students can seek advice from the Internal Revenue Service about how to file these forms correctly. ASU student workers can access their W-2 forms, which show their gross wages and federal income tax withholding, through their MyASU account.
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F-1 students are exempt from Social Security and Medicare taxes
F-1 students are generally exempt from Social Security and Medicare taxes if they are nonresident aliens. Nonresident aliens are foreign students who are temporarily present in the United States on an F-1, J-1, or M-1 visa for less than five calendar years. These students are considered nonresident aliens under the residency rules of IRC section 7701(b).
However, F-1 students who become resident aliens may be subject to Social Security and Medicare taxes. A foreign student may become a resident alien for tax purposes if they have been in the United States for more than five calendar years and meet the "Substantial Presence Test." In such cases, the student would be liable for Social Security and Medicare taxes unless they qualify for the "student FICA exemption."
It is important to note that the "student FICA exemption" applies to all students, regardless of their U.S. tax residency status, as long as they are enrolled at least half-time and their on-campus employment is directly related to their course of study.
Additionally, F-1 students who engage in self-employment while in the United States may violate their nonimmigrant status and become subject to self-employment taxes, in addition to income taxes.
To summarize, while F-1 students are generally exempt from Social Security and Medicare taxes as nonresident aliens, their tax liability may change if they become resident aliens or engage in self-employment. It is always advisable for students to seek guidance from the Internal Revenue Service or a tax professional to understand their specific tax obligations.
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Frequently asked questions
Yes, student workers at ASU are required to pay taxes. The withholding of federal and state taxes depends on the student’s biweekly gross income and how they file their Form W-4 and state withholding forms.
You can receive your W-2 forms through your MyASU account. You must file a federal income tax return and a Form 8843 by April 15 of each year.
If you are an F-1 student who has been in the U.S. for fewer than five calendar years, you are generally exempt from Medicare and Social Security taxes. However, if you exceed the exempt years allowed under your visa status, you may be subject to Medicare and Social Security tax withholding.
Yes, undergraduate student workers are limited to a rolling average of 25 hours per week for the year. International students on a visa can work up to 20 hours per week during the academic semesters.
