New York Payroll Tax Calculator
What a New York employer pays on top of wages in 2026: Social Security, Medicare, FUTA at 0.6%, NY unemployment tax at the 4.1% new-employer rate, per paycheck and per year for 1 to 50 employees.
Reviewed by Slava Akulov, CEO & Co-Founder at Jupid · Last updated: October 2026
Pay type
Each employee is paid the amount above. Headcount sets which paid-leave employer shares apply.
Employer taxes per employee
$4,589
per year, $176 per paycheck
Effective employer tax rate: 9.18% of wages
Keep payroll costs sorted automatically
Jupid connects your bank and categorizes payroll, tax deposits and other New York business expenses for you.
Breakdown per employee, per year
Social Security
6.2% to $184,500
$3,100.00
Medicare
1.45%, no cap
$725.00
FUTA
0.6% of $7,000
$42.00
NY SUTA (new employer)
4.1% of $17,600
$721.60
Withheld from each employee (not an employer cost)
Per year, before income tax withholding. State amounts assume the largest employee share the program allows.
Disability Benefits Law (DBL) insurance: Employers must carry disability and Paid Family Leave coverage. They may collect 0.5% of wages from each employee toward disability coverage, capped at 60 cents a week, and pay the rest of the disability premium. For Paid Family Leave, the state sets the employee contribution each year to match the cost of coverage, so it is usually funded through payroll deductions.
Payroll taxes only. Workers' comp insurance, health coverage and other benefits are separate costs.
Payroll Taxes New York Employers Pay in 2026
For one employee paid $50,000 a year, a new New York employer pays about $4,589 in payroll taxes, or 9.18% on top of wages. Social Security and Medicare are most of it; the unemployment taxes are capped at their wage bases.
| Tax | Employer rate, 2026 | Notes |
|---|---|---|
| Social Security | 6.2% of wages up to $184,500 | Matches the employee's 6.2%. |
| Medicare | 1.45% of all wages | No employer share of the 0.9% Additional Medicare Tax. |
| FUTA | 0.6% of the first $7,000 | Full 5.4% state credit; not a credit reduction state. |
| NY SUTA | 4.1% of the first $17,600 (new employer) | 4.025% plus 0.075% Re-employment Service Fund. |
| Disability Benefits Law (DBL) insurance | Insurance premium, varies | Employers must carry disability and Paid Family Leave coverage. They may collect 0.5% of wages from each employee toward disability coverage, capped at 60 cents a week, and pay the rest of the disability premium. For Paid Family Leave, the state sets the employee contribution each year to match the cost of coverage, so it is usually funded through payroll deductions. Source |
| Re-employment Service Fund | 0.075% on $17,600 | Already inside the 4.1% SUTA figure (4.025% new-employer rate plus 0.075%). Source |
Local employer payroll taxes in New York
- Metropolitan Commuter Transportation Mobility Tax (Zone 1) (0.055% to 0.895% of quarterly payroll). Applies only when payroll in the MCTD tops $312,500 in a calendar quarter. The rate depends on the quarter's Zone 1 payroll and applies to all of it: 0.055% up to $375,000, 0.115% up to $437,500, 0.60% up to $2,500,000 and 0.895% above. Source
- Metropolitan Commuter Transportation Mobility Tax (Zone 2) (0.055% to 0.635% of quarterly payroll). Applies only when payroll in the MCTD tops $312,500 in a calendar quarter. The rate depends on the quarter's Zone 2 payroll and applies to all of it: 0.055% up to $375,000, 0.115% up to $437,500, 0.34% up to $2,500,000 and 0.635% above. Source
New York is not on the U.S. Department of Labor list of potential 2026 credit reduction states. Only California and the U.S. Virgin Islands are, so New York employers keep the full 5.4% credit and pay 0.6% FUTA: $42 per employee per year. The final list is set after November 10, 2026.
A new New York employer pays 4.1% on the first $17,600of each employee's wages, up to $721.60 per employee in 2026. After the new-employer period, the state assigns an experience rate based on benefits charged to your account, so a stable workforce usually pays less. Once you get your rate notice, that rate replaces the one used here.
- Register for an unemployment tax account with New York State Department of Labor and file wage reports and SUTA quarterly.
- Register for New York income tax withholding (New York State Department of Taxation and Finance) and deposit it on the schedule the state assigns.
- Deposit federal withholding, Social Security and Medicare monthly or semiweekly, file Form 941 quarterly (the Q3 2026 return is due November 2, 2026) and Form 940 for FUTA once a year (due February 1, 2027 for 2026).
What Changes for New York Employers in 2027
- The Social Security wage base rises to $192,300, so the employer share tops out at $11,922.60 per employee.
- New York's fiscal year 2026 budget committed to paying off the state's federal UI loan; the Department of Labor says reaching solvency saves employers an average of $250 per employee in 2027.
- Experienced employers get a new New York unemployment tax rate for 2027 on their annual rate notice; use it from the first 2027 payroll.
New York Payroll Tax FAQ
More Payroll Tools for New York
Employee Cost Calculator
Add benefits, workers' comp and overhead to see the full cost of a hire.
New York Paycheck Calculator
See your employee's take-home pay after federal and state withholding.
New York Hourly Paycheck Calculator
Take-home pay for hourly staff, including overtime hours.
New York 1099 Tax Calculator
Compare with what a contractor owes in self-employment tax.
Payroll Tax Due Dates 2026
Form 941 and 940 deadlines and monthly vs. semiweekly deposits.
Payroll Tax Calculator
The national employer payroll tax calculator with every state's SUTA rate.
Payroll Tax Calculators for Other States
SUTA wage bases run from $7,000 to $78,200 and several states add paid-leave premiums. Pick a state to see its 2026 employer taxes.
Official References
- IRS Publication 15 (2026), Employer's Tax Guide
Social Security, Medicare and FUTA rates, deposit schedules and Form 941/940
- U.S. Department of Labor: FUTA credit reductions
Potential 2026 credit reduction states
- U.S. Department of Labor: Significant Provisions of State UI Laws, January 2026
Taxable wage base and new-employer rate for every state
- New York State Department of Labor
New York unemployment tax rates and registration
Estimates for tax year 2026, assuming every employee earns the same amount evenly through the year and the employer pays the minimum share of each paid-leave program. SUTA uses the 2026 new-employer rate; your assigned rate may differ. Rates checked against the agency sources above on October 30, 2026. Consult a payroll professional for filings.
Let Jupid handle the books and taxes for you
- Transactions categorized and books kept clean — automatically
- Write-offs and deductions found year-round, not just in April
- Quarterly tax estimates and reminders, so nothing surprises you
Set up in minutes. Cancel anytime.
Let Jupid Handle the Bookkeeping
Jupid connects your bank accounts, categorizes every transaction automatically with 95.9% accuracy, and answers bookkeeping questions through an AI accountant in WhatsApp or iMessage.