South Carolina payroll taxes
Every tax withheld from a South Carolina paycheck or paid by the employer in 2026, with rates and wage limits.
Last verified November 2, 2026. Sources: eddy.com, dor.sc.gov, oregon.gov.
| 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 |
| South Carolina SUTA | — | 1.06% (new) | $14,000 |
| South Carolina income tax | 1.99%–5.21% | — | — |
*Plus 0.9% Additional Medicare Tax withheld on wages over $200,000. FUTA rate shown is net of the state credit.
State unemployment insurance
South Carolina charges new employers 1.06% on the first $14,000 each employee earns in a year. After a few years, the rate is based on the employer's layoff history and ranges from 0.06% to 5.46%. New employer rate is 1.0% + 0.06% contingency. Wage base fixed by statute.
Departmental administrative contingency assessment 0.06%, included in the rates
Register and file with the South Carolina unemployment tax agency.
Income tax withholding
South Carolina has a graduated income tax with 2 brackets, from 1.99% up to 5.21% on taxable income over $30,000 for single filers.
Frequently asked questions
- What payroll taxes do employers pay in South Carolina?
- Social Security, Medicare, federal unemployment (FUTA) and South Carolina unemployment insurance (SUTA).
- What is the South Carolina SUTA wage base for 2026?
- $14,000 per employee.
- Does South Carolina require state income tax withholding?
- Yes. Employers withhold South Carolina income tax based on the employee's state withholding certificate or federal W-4.