May 06, 2008
What can I expect to owe in employer taxes?
Filed under: FAQ
Vision Payroll

Federally, all for profit companies have similar taxing situations. Every company must match the employees’ FICA and Medicare. In 2008, this is 6.2% of the first eligible $102,000 and 1.45% for all employees’ eligible wages. Federal unemployment tax is .8% of the first $7000 eligible wages. State taxes vary greatly from state to state. Most companies must pay their unemployment rate on eligible wages for each employee. For example, new companies in Massachusetts must pay 2.59% on the first $14,000 of each employee’s eligible wages. For individual states, please look at the links section to the unemployment agency for each state.


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