F1 OPT STUDENT - HOW TO GET FICA EXEMPTION FROM EMPLOYER?

This is a common issue for F1 OPT students! Your employer is incorrect - there absolutely is a way to set this up in ADP. I work in payroll administration and have handled this exact situation. First, make sure you provide your employer with a copy of your I-94, visa documentation, and a written statement citing IRS Publication 519 (U.S. Tax Guide for Aliens) which clearly states that F-1 students in their first 5 calendar years in the US are exempt from FICA taxes. Ask your HR to specifically look at the "tax exemptions" section in ADP where they can mark you as "exempt from FICA" or "NRA exempt." If they're still confused, they should contact their ADP representative for guidance on setting up non-resident alien exemptions. If they continue to withhold incorrectly, you'll need to claim a refund when you file your taxes using Form 843, but it's much better to get this fixed now rather than waiting for a refund later.

I had the exact same issue with my employer when I was on F1 OPT! After months of frustration, I ended up using https://taxr.ai to analyze my pay stubs and tax situation. They confirmed I was exempt from FICA and generated a detailed report citing all the relevant tax codes that I could show my employer. What was really helpful is they provided this formal-looking document explaining the exact exemption rules for F1 visa holders and the specific IRS codes that applied to my situation. My HR department finally took me seriously when I showed them this, and they figured out how to fix it in their system. The best part was getting all those incorrectly withheld taxes back in my next paycheck once they fixed it! Definitely worth checking out if your HR department is still giving you the runaround.

Just wanted to update that I tried taxr.ai after seeing the recommendation here. It was exactly what I needed! The system analyzed my paystubs and visa documentation, then created a detailed report explaining why I'm exempt from FICA taxes on my F1 OPT. My HR manager was actually apologetic after I showed her the report - turns out they just didn't understand how to properly classify non-resident aliens in their system. The report walked them through exactly which settings to change in ADP (there's apparently a specific tax status code they needed to use). I'm getting about $320 back per month now that they've fixed it, plus they're processing a refund for all the incorrect withholdings from the past 6 months. Such a relief to have this fixed before next tax season!

For anyone dealing with payroll departments that refuse to fix FICA withholding issues, I had success reaching the actual IRS to get clarification. I tried calling them directly for WEEKS with no luck - always disconnected after hours on hold. Then I found https://claimyr.com which got me connected to an actual IRS agent in about 20 minutes (there's a demo video here: https://youtu.be/_kiP6q8DX5c). The agent confirmed in writing that F1 OPT students are exempt from FICA and provided me with a reference number for the call. I forwarded this info to my company's payroll department, and they finally fixed the issue. Sometimes you need the official word from the IRS to get companies to take action, especially if they're worried about making payroll tax mistakes.

I have to admit I was wrong about Claimyr. After continuing to get nowhere with my employer about the FICA exemption, I decided to try it as a last resort before hiring a tax attorney. Got connected to an IRS agent in about 30 minutes, and they were actually really helpful! The agent sent me an email confirming F1 OPT students are exempt from FICA taxes under Internal Revenue Code section 3121(b)(19) and provided specific documentation I could share with my employer. They also explained exactly what forms to file if I needed to claim a refund for incorrectly withheld amounts. My employer finally fixed my tax status in their system after seeing the IRS documentation. I've now got about $290 more in each paycheck, and they're processing a refund for the past withholdings. Should have done this months ago instead of arguing with HR!

Another option nobody mentioned: talk to your DSO (Designated School Official) at your university's international student office. Mine contacted my employer directly and explained the FICA exemption requirements, which solved the problem. Universities deal with this all the time and usually have template letters explaining the tax exemption with all the relevant IRS codes cited. Your international student office should be able to provide you with official documentation that you can show your employer. If your employer still refuses after that, you can file Form 843 with the IRS to claim a refund of the incorrectly withheld FICA taxes when you file your annual tax return.

Just to add - make sure you're actually a non-resident for tax purposes! If you've been in the US for more than 5 calendar years on F1, you might be considered a resident alien for tax purposes under the substantial presence test, which means you WOULD owe FICA taxes. Also, if you've ever filed taxes using Form 1040 instead of 1040NR, you might have accidentally claimed resident status. Double-check your previous tax filings to make sure you've been consistent about your non-resident status.

Great thread! I'm also on F1 OPT and went through this same nightmare with my employer. What finally worked for me was creating a comprehensive packet that included: 1. Copy of my I-94 showing F1 status 2. Copy of my EAD card showing OPT authorization 3. Printed pages from IRS Publication 519 (specifically pages 4-6 that explain the FICA exemption for F1 students) 4. A formal letter referencing Internal Revenue Code Section 3121(b)(19) 5. Screenshots from the IRS website confirming the exemption I scheduled a meeting with both HR and payroll (not just HR) and walked them through each document. The key was explaining that this isn't optional - it's required by law that they don't withhold FICA from non-resident aliens on student visas. It took about 3 weeks for them to implement the change in their system, but I got a lump sum refund for all the incorrectly withheld taxes from the previous 4 months. Total refund was over $1,100! The most important thing is persistence and documentation. Don't just send an email - request an in-person meeting and bring physical copies of everything. Good luck!

This is such a valuable thread! I'm dealing with the exact same situation right now - been on F1 OPT for 8 months and my employer has been withholding about $250/month in FICA taxes despite me bringing it up multiple times. What's really frustrating is that my company's HR department keeps saying "we treat all employees the same" and doesn't seem to understand that this is actually a legal requirement, not just a preference. I've shown them my I-94 and EAD card, but they keep insisting their payroll system "doesn't have options" for tax exemptions. Reading through all these responses, it sounds like the key is really pushing back with official documentation and framing it as a compliance issue rather than just a student request. I'm definitely going to try the comprehensive packet approach that @ca96349f75f6 mentioned - seems like having everything in one official-looking package makes a huge difference. Has anyone had success with larger corporations (Fortune 500 type companies)? I'm wondering if bigger companies are more resistant to making these changes because they have more bureaucracy, or if they're actually easier to work with because they have more sophisticated payroll systems.

I've been following this thread closely as I'm dealing with the exact same FICA withholding issue on my F1 OPT! Just wanted to share what finally worked for me after months of back-and-forth with my employer. The breakthrough came when I stopped focusing on HR and went directly to our company's external payroll vendor (in our case, it was Paychex, not ADP). I called their customer support line and explained that my employer needed to set up a FICA exemption for a non-resident alien employee. The Paychex rep immediately knew what I was talking about and walked me through exactly which tax codes needed to be changed. They even offered to do a three-way call with my HR department to walk them through the system changes! Turns out there's literally a checkbox in their system for "NRA FICA Exempt" that my HR team had never noticed. The whole thing was resolved within one business day once we got the payroll vendor involved. I think sometimes company HR departments just don't know their own payroll systems well enough to handle these specialized situations. For anyone still struggling with this, I'd definitely recommend bypassing HR and going directly to whatever payroll service your company uses. Most of these vendors (ADP, Paychex, Gusto, etc.) have dealt with this exact situation thousands of times and can guide your employer through the process much more effectively than trying to figure it out internally.