For the United States, the agreement applies to the Retirement, Survivors, Disability
(RSDI) program, Federal Insurance Contributions Act (FICA) taxes for employment, and
Self-Employment Contributions Act (SECA) taxes for self-employment, including the
Medicare portion. Thus, if an employee is exempt from U.S. Social Security coverage
under this agreement, neither the employee nor the employer has to pay his or her
share of the FICA tax as long as the exemption is effective. A self-employed person
is also exempt from paying the SECA taxes (equivalent to the employee and employer
share of the FICA tax) for any period the exemption is effective.