J-1 Exchange Students are not tax residents of the U.S. and are not subject to Social Security and Medicare Tax Deductions. They do not count as full-time employees towards the Affordable Care Act nor are offered any employee benefits like sick-leave, vacation etc. Use our calculator tool to see how much are our employers saving on payroll costs by hiring J-1 Students.
Social Security tax:
(6.2 percent of wages)
(1.45 percent of wages)
J-1 Students do not count as full-time employees into the Obamacare employer mandate requirement.