Payroll Tax Rates
What Are Payroll Tax Rates?
Payroll taxes for employees are deductions made from an employee’s paycheck, including:
- Federal income tax
- State income tax
- Social Security
- Medicare
Payroll taxes for employers are made up of:
- Federal unemployment tax
- State unemployment tax
- Social Security
- Medicare
As of 2020, payroll tax rates are as follows:
Federal Unemployment Tax
Employer pays: 6%
Employee pays: 0%
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State Unemployment Tax
Varies by state. To find this information, visit your state’s Department of Labor website.
Social Security
Employer pays: 6.2%
Employee pays: 6.2%
Medicare
Employer pays: 1.45%
Employee pays 1.45%