Click here for our tax filing instructions by location.
2018 PAYROLL & TAX-RELATED REGULATORY CHANGES
In 2018, 22 states (including DC and the U.S. Virgin Islands) have an updated minimum wage. Some don't come into play until the middle of the year. Is your state on the list?
For that information, plus tax rates and more, scroll down to find all the changes that will affect your small business this year.
Looking for 2017's information? Click here.
Stay updated on the latest payroll and tax regulations with the following:
- State-by-State Quick Wage and Tax Guide for 2018
- Each State's Current Wage and Tax Information
- Social Security Taxable Wage Base and Tax Rates
- Medicare Taxable Wage Base and Tax Rates
- FUTA Taxable Wage Base and Tax Rate
- Federal and State Minimum Wage Rates
- Pension Limits for Contributing to 401(k) Plans and SIMPLE IRAs
- Our 2018 Payroll Processing Calendar
All guides were published on January 10, 2018. Please note that some tax withholding tables for certain states are expected to change after the IRS releases guidance. Check back for updates.
Full PDF Download: PrimePay's 2018 Quick Wage & Tax Guide
Download the complete, state-by-state guide for free by clicking here:
Federal Wage & Tax Rates
Social Security's Old-Age, Survivors, and Disability Insurance (OASDI) program limits the amount of earnings subject to taxation for a given year. This limit is adjusted each year with changes in the national average wage index. This annual limit is called the contribution and benefit base.
For earnings in 2018 (increased from 2017), the Social Security taxable wage base is $128,400.
|Social Security Taxable Wage Base per Employee||$128,400|
|Employer Tax Rate for Social Security||6.2%|
|Employee Tax Rate for Social Security||6.2%|
|Medicare Taxable Wage Base per Employee||No Limit|
|Employer and Employee Tax Rate for Medicare||1.45%|
|Additional Tax on Earning > $200K||0.9%|
|FUTA Taxable Wage Base per Employee||$7,000|
|Employer Net Tax Rate||0.6%|
Federal Minimum Wage Rates [top]
Below are the federal minimum wage rates. Please note that some states have minimum wages that are higher than federal rates. Effective 7/24/2009.
|Minimum Wage||Tipped Employee: Min. Wage||Tip Credit (MAX)|
For information on state minimum wage rates, head to the Department of Labor’s website by clicking here: State minimum wage rates.
The federal government sets dollar limits as to how much an employee can contribute to their company’s qualified retirement plan each tax year. These limits are based on the cost-of-living index. If an employee reaches the age of 50 during the current tax year, they will qualify for the Catch-Up Provision… only if it is an established provision of the company’s 401(k) plan.
Some limits have changed from 2017.
|401(k), 403(b), 457 and Roth 401(k) Limits||$18,500||$24,000|
|SIMPLE IRA Plan for 2017||$12,500||$15,500|