Cost to hire an employee in New York
On top of a $50,000 salary, a New York employer pays roughly $5,579 in payroll taxes and insurance before benefits, about 11.2% of wages.
Last verified November 2, 2026. Sources: dol.ny.gov, dfs.ny.gov, taxnews.ey.com, oregon.gov.
What a New York 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 |
| New York unemployment (SUTA) | 4.1% new employer 1.7%–9.5% experienced | First $17,600 |
| Workers' compensation | ~$1.98 per $100 | Varies by job class |
Re-employment Services Fund (RSF) 0.075% and subsidiary rate, included in the rates. Employees pay DBL (up to $0.60/week) and Paid Family Leave (separate programs).
Total cost at different salaries
| Salary | Employer taxes & insurance | % of salary | Total cost |
|---|---|---|---|
| $35,000 | $4,134 | 11.8% | $39,134 |
| $50,000 | $5,579 | 11.2% | $55,579 |
| $75,000 | $7,986 | 10.6% | $82,986 |
| $100,000 | $10,394 | 10.4% | $110,394 |
| $150,000 | $15,209 | 10.1% | $165,209 |
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.
New York vs. neighboring states
| State | SUTA wage base | New-employer rate | Cost on $50,000 |
|---|---|---|---|
| New York | $17,600 | 4.1% | $5,579 |
| Connecticut | $27,000 | 1.9% | $5,120 |
| Massachusetts | $15,000 | 2.48% | $4,933 |
| New Jersey | $44,800 | 2.8% | $6,451 |
| Pennsylvania | $10,000 | 3.82% | $4,819 |
| Vermont | $15,400 | 1% | $4,986 |
Frequently asked questions
- How much does it cost to hire an employee in New York?
- On a $50,000 salary, employer payroll taxes and insurance add about $5,579 (11.2%), before benefits, for a total of $55,579.
- What is the New York SUTA rate for new employers?
- New employers generally pay 4.1% on the first $17,600 of each employee's wages. Experienced employers pay between 1.7% and 9.5%.
- Do New York employers pay FUTA?
- Yes. Employers pay 6.0% on the first $7,000 of wages, reduced to 0.6% with the state unemployment credit.