[strapped]

The oasdi and med taxes were not taken out of last years earning. Why this year? Is it part of the resolution to the fiscal cliff?

[ebaines]

Are you talking about OASDI and Medicare being withheld from wages? Both OASDI (social security) and medicare should be withheld, both last year and this, though the rate is increased this year with the expiration of the 2% tax break that we had in 2011 and 2012. In 2011 and 2012 the withholding rates for regular employees were 4.2% for OASDI and 1.45% for Medicare. In 2013 the rates are 6.2% for OASDI and 1.45% for Medicare. If these taxes weren't withheld from your pay in 2012 it's either because your employment status changed (i.e. you were a contractor then and a regular employee now), or someone goofed.

[AtlantaTaxExpert]

ebaines:

The OP may be under a F-1 or J-1 visa. Students under F-1 or J-1 visas are exempt from FICA (Social Security and Medicare) taxes for FIVE years, but become liable on the sixth year.

Business apprentices, trainees and teachers under the J-1 visa become liable for FICA taxes in the third year. This is what I suspect happened with the OP.

[ebaines]

Good points ATE - perhaps the OP will confirm that he falls into one of these categories.