Under the Social Security Act, certain services for workers must be excluded from social security by virtue of an agreement provided for in Article 218. At the request of the State (or a local body), certain services and posts may be excluded from social security by virtue of the State agreement referred to in Section 218. A list of state social security administrators can be found at www.ncsssa.org/statessadminmenu.html. For more information on the management of Section 218 agreements, including changes to those agreements, please see the U.S. Government Accountability Office, Social Security Administration: Management Oversight Needed to Ensure Accurate Treatment of State and Local Government Employees, GAO-10-936, September 2010, www.gao.gov/new.items/d10938.pdf. Election services in Massachusetts, Nevada and Ohio are not covered by a Section 218 agreement. Election officials and election officials from these three states who paid less than the threshold in a calendar year are excluded from FICA taxes because of the mandatory Social Security and Medicare provision, election officials, and election officials who earn less than the threshold. In South Carolina, Vermont, and the Virgin Islands, election services are covered by the state`s Section 218 agreement. Therefore, if the company has a Section 218 agreement, FICA taxes apply in those states from the first dollar paid. If the company does not have an agreement, the mandatory fica rules apply.
Entity-by-entity states allow any entity to decide whether workers who have been the subject of a choice should be covered for social security in accordance with an agreement referred to in section 218. Contact the State Social Security Administrator to find out if the company has an agreement under Section 218. If the company has an agreement, you will find out if it excludes the services of election agents and the amount indicated in the agreement. If the company`s agreement does not exclude election officials, FICA taxes apply from the first dollar paid. If the entity does not have an agreement under Section 218, the mandatory fica rules apply. The President`s Budget for Fiscal Year 2012, Analytical Outlook, February 2011, p. 162, www.whitehouse.gov/sites/default/files/omb/budget/fy2012/assets/spec.pdf. The lack of an implementation mechanism for WFP and the GPO also raises equity issues. Beneficiaries who do not declare their public pension information to the SSA may receive benefits in excess of those due to them under the legislation in force. For more information on capital, please see the „Capital Considerations“ section of this report. These agreements are permitted by Article 218 of the Social Security Act.
A Section 218 agreement is a voluntary agreement between the state and the Social Security Administration (SSA) to provide Social Security and Medicare Hospital (HI) or Medicare HI-only insurance coverage to government and local employees. . . .