Wagevane

Connecticut payroll taxes

Every tax withheld from a Connecticut paycheck or paid by the employer in 2026, with rates and wage limits.

Last verified November 2, 2026. Sources: portal.ct.gov, taxfoundation.org, ctpaidleave.org, oregon.gov.

TaxEmployee paysEmployer paysWage limit
Social Security6.2%6.2%$184,500
Medicare1.45%*1.45%No limit
FUTA—0.6%$7,000
Connecticut SUTA—1.9% (new)$27,000
CT Paid Leave0.5%—$184,500
Connecticut income tax2%–6.99%——

*Plus 0.9% Additional Medicare Tax withheld on wages over $200,000. FUTA rate shown is net of the state credit.

State unemployment insurance

Connecticut charges new employers 1.9% on the first $27,000 each employee earns in a year. After a few years, the rate is based on the employer's layoff history and ranges from 1.1% to 9.9%. Charged rates are 0.1%-8.9% + 1.0% fund solvency = 1.1%-9.9%. The new employer rate dropped from 2.2% to 1.9%. Wage base is indexed annually (2027 not yet announced).

Fund solvency tax 1.0% is included in the experienced range. CT Paid Leave is 0.5% employee-paid (separate program).

Register and file with the Connecticut unemployment tax agency.

Paid leave and disability programs

Income tax withholding

Connecticut has a graduated income tax with 7 brackets, from 2% up to 6.99% on taxable income over $500,000 for single filers.

Frequently asked questions

What payroll taxes do employers pay in Connecticut?
Social Security, Medicare, federal unemployment (FUTA) and Connecticut unemployment insurance (SUTA).
What is the Connecticut SUTA wage base for 2026?
$27,000 per employee.
Does Connecticut require state income tax withholding?
Yes. Employers withhold Connecticut income tax based on the employee's state withholding certificate or federal W-4.