UNCLASSIFIED// ROUTINE R 111742Z SEP 20 MID200000097985U FM CNO WASHINGTON DC TO NAVADMIN INFO CNO WASHINGTON DC BT UNCLAS NAVADMIN 252/20 PASS TO OFFICE CODES: FM CNO WASHINGTON DC//N1// INFO CNO WASHINGTON DC//N1// MSGID/GENADMIN/CNO WASHINGTON DC/N1/SEP// SUBJ/2020 TEMPORARY DEFERRAL OF SOCIAL SECURITY TAXES// REF/A/MEMO/PRESIDENTIAL/8AUG2020// NARR/REF A IS A MEMORANDUM FROM THE PRESIDENT OF THE UNITED STATES, DEFERRING PAYROLL TAXES IN LIGHT OF THE ONGOING COVID-19 DISASTER. RMKS/1. In line with reference (a), this NAVADMIN announces the temporary deferral of social security (old age, survivors and disability insurance (OASDI), as seen on the leave and earnings statement (LES) as *FICA-SOC SECURITY*), tax withholdings through the end of the 2020 calendar year for Navy members to provide relief during the coronavirus disease 2019 pandemic. Collection of the deferred taxes will be taken from wages between 1 January and 30 April 2021. 2. Effective September 2020 mid-month pay, the Defense Finance and Accounting Service (DFAS) will temporarily defer the withholding of 6.2 percent social security tax for active and reserve Sailors and midshipmen if the monthly rate of basic pay is less than 8,666.66 dollars. If the monthly rate of basic pay is at or above this threshold, social security tax withholding will not be affected by the temporary deferral. 3. Key facts a. The social security tax is labeled as *FICA-SOC SECURITY* on the LES and is calculated as 6.2 percent of basic pay. b. This change is effective through the end of the 2020 calendar year and only applies to social security tax withholding. Normal withholding of FICA-Social Security taxes will resume effective 1 January 2021. In addition, collection of the deferred taxes will be taken from wages between 1 January and 30 April 2021. Sailors who separate or retire in 2020 before the social security tax can be collected in 2021 are still responsible for the social security tax repayment. c. Personnel are not eligible to opt-out of the deferral if their basic pay falls within the stated wage limits. The deferral will happen automatically. 4. Members will also receive notification from DFAS via Smartdocs. Additional information is available at https://www.dfas.mil/taxes/Social-Security-Deferral/. 5. Personnel with questions regarding the 2020 temporary deferral of social security taxes are encouraged to contact their Command Financial Specialist, a Personal Financial Manager at Fleet and Family Services or Military One Source online at https://www.militaryonesource.mil, or contact MyNavy Career Center, available 24/7, by phone at (833) 330-MNCC ((833) 330-6622) or via e- mail at askmncc(at)navy.mil. 6. This NAVADMIN will remain in effect until superseded or canceled, whichever occurs first. 7. Released by Vice Admiral John B. Nowell, Jr, N1.// BT #0001 NNNN UNCLASSIFIED//