Poll Worker FICA Threshold Increased in 2024

At A Glance

• The Social Security Administration (SSA) announced that the poll (election) worker threshold for tax year 2024 has increased by $100.
• The new FICA threshold for tax year 2024 is $2,300.

2024 Poll Worker Federal Threshold for FICA

Poll (election) workers are exempt from FICA tax for the first $2,300. Poll workers paid less than the federal threshold amount mandated by law are excluded from coverage.
Therefore, Social Security and Medicare taxes will not apply until the poll worker is paid $2,300 or more. If the poll worker’s compensation exceeds the federal threshold amount, the entire amount is taxable from dollar one.

Federal Income Tax Withholding

Federal withholding is typically required from all salaries or wages paid to employees of a state or local government. Amounts paid to state, county, and municipal precinct workers (including poll workers) are exempt from Federal withholding.

The IRS does allow employers and employees to enter into voluntary agreements that withhold federal income tax from wages for services performed. Election workers may request this voluntary income tax withholding by completing and giving the employer a Form W-4, Employee's Withholding Certificate.

Reporting Payments to Poll Workers

Poll workers are exempt from Federal withholding and FICA because the government considers the wages employee compensation. Employers must report payments to a poll worker on the Federal Form W-2 (not Form 1099-MISC) if they total $600 or more in a calendar year.

If a poll worker's compensation is subject to FICA tax withholding, the employer must report payments on Form W-2 regardless of the compensation amount.

State Exclusions

States follow the Federal threshold; however, there are some states that have set thresholds that differ from the Federal threshold. Contact the Social Security Administrator for your state or region to learn more about how your state handles these exclusions. Find contact information at Social Security Online | State and Local Government Employers (ssa.gov).

Next Steps

As a Paylocity client, you do not need to act. Paylocity will apply this update on time for all payrolls dated in 2024.

Thank you for choosing Paylocity as your Payroll Tax partner. This information is provided as a courtesy, may change, and is not intended as legal or tax guidance. Employers with questions or concerns outside the scope of a Payroll Service Provider are encouraged to seek the advice of a qualified CPA, tax attorney, or tax advisor.