Payroll Tax Calculator
Calculate the true cost of an employee beyond their salary. See FICA employer match, FUTA, SUTA by state, and workers' comp. Budget accurately for hiring.
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How to Use This Calculator
Employer Cost tab
Enter the employee's gross salary and select a state. The calculator shows every payroll tax you owe above salary: FICA employer match, FUTA, SUTA, and workers' comp. Expand "More options" to adjust your SUTA experience rate, workers' comp rate, and pay frequency.
Per Employee Breakdown tab
Same inputs, deeper detail. See annual, monthly, and per-paycheck costs plus a cost composition showing what percentage goes to salary vs. FICA vs. FUTA/SUTA vs. workers' comp. Use this to understand your effective overhead rate.
Hiring Calculator tab
Enter the number of employees and average salary to see your total payroll tax burden. The calculator shows per-employee averages and the marginal cost of the next hire — useful for headcount planning and budgeting.
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The Formula
Employer payroll taxes are calculated on top of the employee's gross salary:
FICA Match = (6.2% × min(Salary, $184,500)) + (1.45% × Salary)
FUTA = 0.6% × min(Salary, $7,000)
SUTA = Experience Rate × min(Salary, State Wage Base)
Workers' Comp = Rate × Salary
Total Employer Cost = Salary + Total Employer Tax
Effective Overhead Rate = Total Employer Tax ÷ Salary × 100
The employer matches the employee's FICA contribution (6.2% SS + 1.45% Medicare = 7.65%). The employer does NOT match the Additional Medicare Tax of 0.9% — that applies only to the employee on wages above $200,000.
FUTA is technically 6.0% on the first $7,000, but employers in states that pay SUTA on time receive a 5.4% credit, making the effective FUTA rate just 0.6%.
Example
TechStart LLC in Austin, TX hiring Sarah at $65,000
TechStart is a small startup in Texas. They're hiring Sarah as a software developer at $65,000/year. Texas SUTA new employer rate: 2.7% on $9,000 wage base. Workers' comp for office work: 0.5%.
Employer Cost Breakdown
Sarah's $65,000 salary actually costs TechStart $70,583 — an 8.6% overhead. For 5 employees at this salary, that's $27,915 in annual payroll taxes on top of $325,000 in salaries.