Maine payroll taxes
Every tax withheld from a Maine paycheck or paid by the employer in 2026, with rates and wage limits.
Last verified November 2, 2026. Sources: maine.gov, taxfoundation.org, taxnews.ey.com, vialtopartners.com.
| Tax | Employee pays | Employer pays | Wage limit |
|---|---|---|---|
| Social Security | 6.2% | 6.2% | $184,500 |
| Medicare | 1.45%* | 1.45% | No limit |
| FUTA | — | 0.6% | $7,000 |
| Maine SUTA | — | 2.54% (new) | $12,000 |
| Maine Paid Family and Medical Leave | 0.5% | 0.5% | $184,500 |
| Maine income tax | 5.8%–7.15% | — | — |
*Plus 0.9% Additional Medicare Tax withheld on wages over $200,000. FUTA rate shown is net of the state credit.
State unemployment insurance
Maine charges new employers 2.54% on the first $12,000 each employee earns in a year. After a few years, the rate is based on the employer's layoff history and ranges from 0.31% to 6.6%. New employer rate is 2.23% base + 0.14% CSSF + 0.17% UPAF = 2.54%.
Competitive Skills Scholarship Fund (CSSF) 0.14% and Unemployment Program Administrative Fund (UPAF) 0.17%, included in the rates. Maine PFML is 1% split 50/50 (separate program).
Register and file with the Maine unemployment tax agency.
Paid leave and disability programs
- Maine Paid Family and Medical Leave: employees pay 0.5%, employers pay 0.5% on wages up to $184,500. Total 1.0% for employers with 15+ employees (employer may deduct up to half). Employers with <15 employees: 0.5% total, which may be fully deducted from employees. Contributions began Jan 1, 2025; rate set for 2025-2027.
Income tax withholding
Maine has a graduated income tax with 3 brackets, from 5.8% up to 7.15% on taxable income over $64,849 for single filers.
Frequently asked questions
- What payroll taxes do employers pay in Maine?
- Social Security, Medicare, federal unemployment (FUTA) and Maine unemployment insurance (SUTA), plus Maine Paid Family and Medical Leave.
- What is the Maine SUTA wage base for 2026?
- $12,000 per employee.
- Does Maine require state income tax withholding?
- Yes. Employers withhold Maine income tax based on the employee's state withholding certificate or federal W-4.