A bill to amend section 218 of the Social Security Act to make it clear that sick pay under an approved wage continuation plan is to be excluded from the wages of State and local employees covered by an agreement thereunder.

Amends Title II (Old-Age, Survivors, and Disability Insurance) of the Social Security Act to exclude those payments made by a State to or on behalf of State or municipal employees on account of sickness or accident disability from the income of such employees in the calculation of the Social Security tax owed by the State to the United States Treasury on such income.