When are OASDI taxes levied according to FICA?

OASDI taxes, which stand for Old-Age, Survivors, and Disability Insurance taxes, are levied based on the wages earned by employees throughout the year. Under the Federal Insurance Contributions Act (FICA), these taxes come into play regardless of when the actual payment is made to the employee. The key point is that the obligation to pay OASDI taxes arises as employees earn their wages.

This means that from the moment an employee performs work and accrues wages, the employer is responsible for withholding OASDI taxes, thereby establishing the tax liability. This focus on 'earned' wages is crucial because it reflects the intent of the program: securing funding based on work contributions, regardless of the schedule in which payments are distributed or processed.

Other options reflect the timing of actions related to payroll and tax filing processes, but the fundamental trigger for OASDI tax liability is the earning of wages, not when they are paid or when tax filings occur.