Cost to hire an employee in Rhode Island
On top of a $50,000 salary, a Rhode Island employer pays roughly $5,035 in payroll taxes and insurance before benefits, about 10.1% of wages.
Last verified November 2, 2026. Sources: dlt.ri.gov, oregon.gov.
What a Rhode Island 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 |
| Rhode Island unemployment (SUTA) | 1.21% new employer 0.9%–9.4% experienced | First $30,800 |
| Job Development Assessment | 0.21% | All wages |
| Workers' compensation | ~$1.38 per $100 | Varies by job class |
Job Development Assessment 0.21%, included in the rates. TDI is 1.1% employee-paid on up to $100,000 (separate disability program).
Total cost at different salaries
| Salary | Employer taxes & insurance | % of salary | Total cost |
|---|---|---|---|
| $35,000 | $3,649 | 10.4% | $38,649 |
| $50,000 | $5,035 | 10.1% | $55,035 |
| $75,000 | $7,345 | 9.8% | $82,345 |
| $100,000 | $9,655 | 9.7% | $109,655 |
| $150,000 | $14,275 | 9.5% | $164,275 |
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.
Rhode Island vs. neighboring states
| State | SUTA wage base | New-employer rate | Cost on $50,000 |
|---|---|---|---|
| Rhode Island | $30,800 | 1.21% | $5,035 |
| Connecticut | $27,000 | 1.9% | $5,120 |
| Massachusetts | $15,000 | 2.48% | $4,933 |
Frequently asked questions
- How much does it cost to hire an employee in Rhode Island?
- On a $50,000 salary, employer payroll taxes and insurance add about $5,035 (10.1%), before benefits, for a total of $55,035.
- What is the Rhode Island SUTA rate for new employers?
- New employers generally pay 1.21% on the first $30,800 of each employee's wages. Experienced employers pay between 0.9% and 9.4%.
- Do Rhode Island employers pay FUTA?
- Yes. Employers pay 6.0% on the first $7,000 of wages, reduced to 0.6% with the state unemployment credit.