Farm laborer

[JenMO]

Farmer hires one employee but does not pay him over $2500 (over $150) as i read, no fica needs to be withheld? How do you fill out the w-2 and the 943

[TAXNJ]

See:

https://www.irs.gov/pub/irs-pdf/p51.pdf

[JenMO]

I have looked and read that publication, just wasnt clear enough

[kathyc2]

Note that if EITHER of the tests are true, then subject to FICA. The only way the 2,500 would come into play is if no one person was paid 150 or more.
The $150 Test or the $2,500 Test

All cash wages that you pay to an employee during the year for farmwork are subject to social security and Medicare taxes and federal income tax withholding if either of the two tests below is met.

• You pay cash wages to an employee of $150 or more in a year for farmwork (count all cash wages paid on a time, piecework, or other basis). The $150 test applies separately to each farmworker that you employ. If you employ a family of workers, each member is treated separately. Don't count wages paid by other employers.
• The total that you pay for farmwork (cash and noncash) to all your employees is $2,500 or more during the year.

[JenMO]

one employee, under $2500 in wages. do you still give a W-2 and just don't put in fica wages? How will SSA know?

[kathyc2]

If the one employee has wages of at least 150 no exemption form FICA.

[spanel]

one employee, under $2500 in wages. do you still give a W-2 and just don't put in fica wages? How will SSA know?

Are you not in the business of preparing employment tax returns as well? Why turn business away?

Chris

[TAXNJ]

Are you not in the business of preparing employment tax returns as well? Why turn business away?

Chris

What is your reply trying to provide?

Think the prior reply posts address the OP's post clearly.

[JenMO]

thank you Kathy, I understand now, just couldn't get it in my head.