Cost to hire an employee in Massachusetts
On top of a $50,000 salary, a Massachusetts employer pays roughly $4,933 in payroll taxes and insurance before benefits, about 9.9% of wages.
Last verified November 2, 2026. Sources: teamed.global, mass.gov, oregon.gov.
What a Massachusetts 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 |
| Massachusetts unemployment (SUTA) | 2.48% new employer 1.17%–17.14% experienced | First $15,000 |
| Paid Family and Medical Leave | 0.42% | Wages up to $184,500 |
| Workers' compensation | ~$0.97 per $100 | Varies by job class |
Workforce Training Fund 0.056% and COVID-19 Recovery Assessment (0.178%-2.716%, experienced employers only), both included in the rates. EMAC is 0.12%-0.34% from year 4 for employers with 6+ employees. PFML is 0.88% total (separate program).
Total cost at different salaries
| Salary | Employer taxes & insurance | % of salary | Total cost |
|---|---|---|---|
| $35,000 | $3,577 | 10.2% | $38,577 |
| $50,000 | $4,933 | 9.9% | $54,933 |
| $75,000 | $7,193 | 9.6% | $82,193 |
| $100,000 | $9,453 | 9.5% | $109,453 |
| $150,000 | $13,973 | 9.3% | $163,973 |
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.
Massachusetts vs. neighboring states
| State | SUTA wage base | New-employer rate | Cost on $50,000 |
|---|---|---|---|
| Massachusetts | $15,000 | 2.48% | $4,933 |
| Connecticut | $27,000 | 1.9% | $5,120 |
| New Hampshire | $14,000 | 1.7% | $4,715 |
| New York | $17,600 | 4.1% | $5,579 |
| Rhode Island | $30,800 | 1.21% | $5,035 |
| Vermont | $15,400 | 1% | $4,986 |
Frequently asked questions
- How much does it cost to hire an employee in Massachusetts?
- On a $50,000 salary, employer payroll taxes and insurance add about $4,933 (9.9%), before benefits, for a total of $54,933.
- What is the Massachusetts SUTA rate for new employers?
- New employers generally pay 2.48% on the first $15,000 of each employee's wages. Experienced employers pay between 1.17% and 17.14%.
- Do Massachusetts employers pay FUTA?
- Yes. Employers pay 6.0% on the first $7,000 of wages, reduced to 0.6% with the state unemployment credit.