||STATE OF CONNECTICUT
THE STATE COMPTROLLER
55 ELM STREET
MEMORANDUM NO. 2013-13
May 3, 2013
TO THE HEADS OF ALL STATE AGENCIES
||Chief Administrative and Fiscal Officers, Business
Managers, and Payroll and Personnel Officers
||FICA Withholding for Military Part Pay
- This memorandum is to notify agencies of a change for the Federal Insurance
Contributions Act (FICA) withholding for state employees called to active
military duty for a period of more than thirty days.
- The Internal Revenue Service of the Federal Government bulletins Revenue
Ruling 2009-11 FICA Contributions regarding differential wage payment to active
duty members of the uniformed services.
- A differential wage payment, also known as part pay, is any payment made by
the state to an employee for a period during which the employee is performing
service in the uniformed services while on active duty for a period of more than
thirty (30) days and represents all or a portion of the wages the employee would
have received from the state if the employee were performing services for the
- Effective January 1, 2009, differential wage payments the state pays
employees who go on to active military duty in the uniformed services of the
United States for a period of more than thirty days are subject to income tax
withholding but not subject to FICA withholding.
- Differential wage payments for employees called to active military duty
for a state are not affected by the Ruling and continue to be subject to income
tax withholding and FICA withholding.
- Agencies must complete a W2-C to refund the FICA withholding for any
- Questions may be directed as follows:
||Office of the State Comptroller, Budget and Financial
Analysis Division, (860) 702-3440;
||Office of the State Comptroller, Payroll Services
Division, (860) 702-3454;
||Office of the State Comptroller, Payroll Core-CT (860) 622-2412.
Return to Index of 2013 Comptroller's Memoranda
Return to Comptroller's Home Page