SUTA Tax Calculator

SUTA Unemployment Tax Guide

State Unemployment Tax Act (SUTA) is an employer-paid payroll tax deposited into state unemployment trust funds to support workers during involuntary layoffs.

SUTA Calculation Formula

Taxable Wages Per Employee = Min(Annual Gross, State Wage Base)
SUTA Tax = Taxable Wages * (SUTA Rate / 100)
Net FUTA Tax = Min(Annual Gross, $7,000) * 0.60%

Frequently Asked Questions

Do employees pay SUTA tax?

In 47 states, SUTA is paid exclusively by employers. Only Alaska, New Jersey, and Pennsylvania withhold small employee-side SUTA contributions.

Why do state taxable wage bases vary?

Each state sets its statutory wage base annually, ranging from the federal minimum of $7,000 to over $70,000 based on state trust fund solvency rules.