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Employer Payroll Tax Calculator (US, 2026)

Enter a salary and a state to see the payroll taxes a US employer pays on top of wages: Social Security, Medicare, federal and state unemployment. Add another country to compare.

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The employer payroll taxes

Employer tax = 6.2% × min(wages, $184,500) + 1.45% × wages + 0.6% × $7,000 + state rate × state wage baseSocial Security + Medicare + FUTA + SUTA, 2026

Social Security is 6.2% for the employer up to the $184,500 wage base, Medicare 1.45% with no cap, and federal unemployment (FUTA) 0.6% on the first $7,000 after the normal 5.4% state credit (IRS Publication 15, 2026). The extra 0.9% Medicare above $200,000 is employee-only. State unemployment (SUTA) depends on the state and on your claims history; the calculator uses each state's new-employer rate. California employers may also owe a FUTA credit reduction for 2026, listed as a potential 1.5% by the Department of Labor and final after November 10, 2026.

Worked example

2026, new-employer state rates.
$60,000, TexasSS $3,720 + Medicare $870 + FUTA $42 + SUTA $243 = $4,875 (8.1%)
$120,000, CaliforniaSS $7,440 + Medicare $1,740 + FUTA $42 + SUTA $245 + credit reduction $105 = $9,572 (8.0%)
$120,000, New YorkSS $7,440 + Medicare $1,740 + FUTA $42 + SUTA $722 = $9,944 (8.3%)
$250,000, CaliforniaSS stops at the wage base: $11,439 + Medicare $3,625 + $392 = $15,456 (6.2%)

Payroll taxes are the smaller part of a US hire's cost. The average employer share of single health cover was $7,885 in 2025 (KFF), and workers' compensation is required in almost every state. Neither is a payroll tax, so they are listed under "Not included"; the payroll cost calculator adds them for a whole team.

2027: the Social Security wage base rises to $192,300 (SSA). Switch the calculator to 2027: at $250,000 the employer's Social Security goes from $11,439 to $11,923.

See all 12 countries side by side in the employer cost by country calculator. In Adlega, salaries and employer costs feed a 36-month SaaS model with burn and runway, and the AI CFO explains each number.

Frequently asked questions

How much does an employer pay in payroll taxes?
For most salaries about 7.65% (Social Security 6.2% plus Medicare 1.45%) plus federal and state unemployment on the first few thousand dollars. At $120,000 in California that is $9,572 a year, about 8%.
What is the Social Security wage base for 2026 and 2027?
$184,500 for 2026 and $192,300 for 2027. The employer stops paying the 6.2% above it; Medicare has no cap.
What is the FUTA rate for 2026?
6.0% on the first $7,000 of wages, reduced to 0.6% ($42 per employee) by the 5.4% credit for state unemployment tax paid. States with outstanding federal loans, such as California, can lose part of that credit.
Do employers pay the additional 0.9% Medicare tax?
No. The 0.9% on wages over $200,000 is withheld from the employee only. The employer pays 1.45% on all wages.
What else does an employee cost besides payroll taxes?
Health insurance (about $7,885 a year for single cover on average), workers' compensation, retirement matching, equipment and software. Use the hiring plan calculator for a fully loaded cost.
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Citation

Adlega. "Employer Payroll Tax Calculator (2026): FICA, FUTA, SUTA." Updated October 22, 2026. https://adlega.com/blog/tools/employer-payroll-tax-calculator/

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<a href="https://adlega.com/blog/tools/employer-payroll-tax-calculator/">Employer Payroll Tax Calculator (2026): FICA, FUTA, SUTA</a> (Adlega, updated October 22, 2026)

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