Cost to hire an employee in Maryland
On top of a $50,000 salary, a Maryland employer pays roughly $4,533 in payroll taxes and insurance before benefits, about 9.1% of wages.
Last verified November 2, 2026. Sources: oui.doleta.gov, bakerdonelson.com, beancount.io, oregon.gov.
What a Maryland employer pays
| Cost | Rate | Applies to |
|---|---|---|
| Social Security | 6.2% | Wages up to $184,500 |
| Medicare | 1.45% | All wages |
| Federal unemployment (FUTA) | 0.6% net | First $7,000 |
| Maryland unemployment (SUTA) | 2.6% new employer 0.3%–7.5% experienced | First $8,500 |
| Workers' compensation | ~$0.89 per $100 | Varies by job class |
FAMLI paid-leave contributions begin Jan 1, 2027 (separate program)
Total cost at different salaries
| Salary | Employer taxes & insurance | % of salary | Total cost |
|---|---|---|---|
| $35,000 | $3,252 | 9.3% | $38,252 |
| $50,000 | $4,533 | 9.1% | $54,533 |
| $75,000 | $6,668 | 8.9% | $81,668 |
| $100,000 | $8,803 | 8.8% | $108,803 |
| $150,000 | $13,073 | 8.7% | $163,073 |
Benefits usually cost more than taxes. The BLS Employer Costs for Employee Compensation survey puts benefits at roughly 30% of total compensation in private industry. Add your health plan cost in the calculator to include it.
Maryland vs. neighboring states
| State | SUTA wage base | New-employer rate | Cost on $50,000 |
|---|---|---|---|
| Maryland | $8,500 | 2.6% | $4,533 |
| Delaware | $14,500 | 1.2% | $4,726 |
| Pennsylvania | $10,000 | 3.82% | $4,819 |
| Virginia | $8,000 | 2.5% | $4,432 |
| West Virginia | $9,500 | 2.7% | $4,394 |
| District of Columbia | $9,000 | 2.9% | $4,868 |
Frequently asked questions
- How much does it cost to hire an employee in Maryland?
- On a $50,000 salary, employer payroll taxes and insurance add about $4,533 (9.1%), before benefits, for a total of $54,533.
- What is the Maryland SUTA rate for new employers?
- New employers generally pay 2.6% on the first $8,500 of each employee's wages. Experienced employers pay between 0.3% and 7.5%.
- Do Maryland employers pay FUTA?
- Yes. Employers pay 6.0% on the first $7,000 of wages, reduced to 0.6% with the state unemployment credit.