It would be more accurate (and honest) to say the 6.2% FICA contribution is added to the overall cost of hiring employees than to say it is part of an individual employee's compensation, which is like saying the cost of heating in winter, air-conditioning in summer, access to toilets and drinking water is also part of the employees' compensation.It's part of their compensation and it's not like a pension or health insurance because the SS match is mandated by law therefore it is part of their income.
But if it makes you feel better to say it your way, I understand.
Lemme 'splain to you why Skull is correct. If I own a chain of retail stores and someone comes to me with an improved self-checkout lane system and claims that it will save 12% on labor costs over 5 years and 20% thereafter -- I'll start doing the math. I can control to some extent the other benefits that the employees get -- Like the CEO of Whole Foods did by instituting his own brand of health insurance -- but the 6.2% is a FIXED labor cost associated with each cashier that is FORCED on me.
It's gonna make that system calculation look a LOT more attractive if there's nothing I can do about the FICA contribution part of the wages. It's YOUR cost of labor. It's a price on your head that cannot be hand-waved away..