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Employer Payroll Tax Calculator: Hire Confidently With Estimated Employee Costs

Thinking about growing your team? Use the Employer Payroll Tax Calculator to take the guesswork out of hiring and confidently estimate your employer payroll taxes so you can focus on building your dream team.

Estimate the Annual Costs of a New Employee

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How To Calculate Employer Payroll Taxes

Both the employer and employee have payroll tax responsibilities, and it all starts with taxes like FICA, FUTA, or SUI. As an employer, you’ll need to withhold certain amounts from each of your employees paychecks in order to fulfill your federal obligation. Wondering who pays payroll taxes? Here’s the breakdown:

Employers Are Responsible For:

  • Federal Unemployment Tax
  • State Unemployment Tax (If Applicable)
  • Other Employer Payroll Costs
    • Workers’ Compensation: Depends on industry and state
    • Health & Retirement Benefits: Employer contributions

Employees Are Responsible For:

  • Federal Income Tax
  • State Income Tax (If Applicable)

Employers & Employees Share Responsibility For:

  • Social Security & Medicare (FICA)

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