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Free New York payroll tax
calculator (and NY tax rates)

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    Pay Details

  • 2

    Exemptions

  • 3

    Federal Information

  • 4

    State Information

  • 5

    Locale Information

  • 6

    Voluntary Deductions

  • 7

    Calculate Paycheck

Welcome to our payroll calculator!

Before we jump in, who are you using this calculator for?

Thanks!

Our calculators are designed for employers, and they’ll ask for information you may not have. For a better experience, please check out this employee-focused paycheck calculator.

How much did your employee earn?

Gross Pay: This is the total amount of wages your employee earned before taxes and deductions are withheld.


For salaried employees, gross pay equals their annual salary divided by the number of pay periods per year. For hourly employees, gross pay equals the number of hours worked multiplied by their hourly wage.


(Don’t forget to add on any tips, commissions, or bonuses!)

Gross Pay Method: Is the gross pay amount based on your employee’s annual compensation, or by how many hours they worked in the last pay period?

Gross Pay YTD: Enter the total gross pay your employee has earned this year, prior to this paycheck. Normally, this can be found on the last pay stub.

Pay Frequency: How often do you normally issue paychecks?

Check Date: Enter the check date that should appear on your paycheck.

Is your employee exempt from any taxes?

Federal: In some cases, public and governmental employees are exempt from federal taxes. Check “yes” if your employee is exempt and Federal taxes should not be deducted.

FICA: In some cases, public and governmental employees are exempt from FICA. Check “yes” if your employee is exempt and FICA taxes should not be deducted.

Medicare: In some cases, public and governmental employees are exempt from Medicare taxes. Check “yes” if your employee is exempt and Medicare taxes should not be deducted.

Please enter your employee’s withholding information.

2020 W4: Would you like to use the 2020 withholding tables? Here’s an article that covers the 2020 W-4 updates if you aren’t sure.

Federal Filing Status: Select your employee’s filing status for federal withholding. This helps determine how much federal tax will be withheld.

Two Jobs: If the employee indicated that they have more than one job or are married and filing jointly with a working spouse, select Yes here.

Dependents Amount: Enter the amount your employee listed on Line 3 of their W-4, if any. This is where they claim dependents.

Other Income: If your employee listed another other income on line 4(a) of their W-4, enter the amount here.

Deductions: Enter any deductions that your employee listed on line 4(b) of their W-4, if applicable.

Additional Federal Withholding: If your employee has asked to have additional funds withheld from each paycheck, enter the amount here. If they have not, enter “0”.

Round Federal Withholding: Would you like us to round your employee’s withholding totals to the nearest dollar? (It’s not required, but it is permitted)

Now, add information for their state.

State: Select the state where withholding should be calculated. It should be the same state where the work was performed.

Now, add locale information if applicable.

Does your employee have any voluntary deductions?

Please add any additional deductions for items like health insurance, 401(k), HSAs/FSAs, or any other benefits.


Select type of deduction needed:

401(k)

Add deduction

HSA

Add deduction

Custom

Add deduction

Let’s finish crunching the numbers!

Click the button below to see your paycheck calculated.

Here’s your paycheck information:

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Updated: June 14, 2024

Whether in the city or upstate New York, employers can use our free payroll calculator at the top of this page, as well as the resources below to stay ahead of their payroll tax obligations.

Fast facts about New York State payroll taxes

  • Employers must withhold Social Security and Medicare taxes from employees’ wages as well as their own contributions for the IRS
  • Residents of New York City and Yonkers are subject to additional income tax
  • Employees who work in New York State but are not residents are subject to income tax withholding

Federal payroll taxes for New York employers

Of course, New York taxes are just part of the total tax equation. Let’s go over federal payroll taxes first. Our New York payroll calculator can also help you figure out the federal payroll tax withholding for both your employees and your business.

 

Below is a summary of everything that goes into calculating the payroll tax for a New York employee. If you would like to see a more detailed calculation, check out our step-by-step guide here.

  1. Figure out the employee’s gross wages. Gross wages represent the amount of money an employee has earned during the most recent pay period. a. Hourly employees: Multiply the number of hours worked in the most recent pay period by their pay rate. Make sure to calculate any overtime hours worked at the appropriate rate. b. Salaried employees: Divide each employee’s annual salary by the number of pay periods you have each year.
  2. Deduct any pre-tax withholdings. Do your employees have a 401(k), flexible spending account (FSA), or other pre-tax deductions? If so, subtract them from gross pay before you start applying federal payroll taxes. The process for documenting and remitting these funds is likely going to vary depending on the benefits providers you work with. Note that many services can be integrated with payroll software, which allows you to automate your deductions.
  3. Deduct and match any FICA taxes to cover Medicare and Social Security taxes: a. Social Security tax: You need to withhold 6.2% of each employee’s taxable wages until they have earned $168,600 in a given calendar year. As the employer, you must match this tax. b. Medicare tax: Also withhold 1.45% of each employee’s taxable wages. You will need to match this tax as well for a total of 2.9%. For employees who earn more than $200,000 in taxable wages, you need to withhold what’s called an Additional Medicare Tax of 0.9%. Only the employee is responsible for paying the Additional Medicare Tax.
  4. Pay FUTA unemployment taxes: You as the employer are responsible for paying 6% of the first $7,000 of taxable income an employee earns annually. Note that you can claim a tax credit of up to 5.4% for paying your New York state unemployment taxes in full and on time each quarter, which means that when everything’s said and done, you’ll only have to pay 0.6% FUTA tax. Note that employees are not responsible for paying FUTA taxes.
  5. Deduct federal income taxes, which can range from 0% to 37%. Withholding information can be found through the IRS.
  6. Subtract any post-tax deductions: Some employees may be responsible for court-ordered wage garnishments or child support. They may also choose to make post-tax contributions to savings accounts, elective benefits (like life insurance), or other withholdings.

 

Looking for more information on calculating payroll on your own? Read our guide on how to do payroll next for an in-depth overview (and information you can reference in the future).

New York State payroll taxes for 2024

Calculating taxes in New York is a little trickier than in other states. The state as a whole has a progressive income tax that ranges from 4.% to 10.9%, depending on an employee’s income level. There is also a supplemental withholding rate of 11.70% for bonuses and commissions.

 

In New York state, an employee’s tax burden can also vary based on location. Specifically, residents of New York City or Yonkers are subject to additional income taxes:

  • New York City surcharge: A 4.25% (.0425) income tax is deducted from taxable wages
  • Yonkers surcharge (as of January 1, 2023): People who work in Yonkers as well as Yonkers residents pay a tax of less than 1%, based on a number of factors
    • Yonkers Resident ………………………. 1.95975% (.0195975)
    • Yonkers Nonresident ………………….. 0.50% (.0050)

 

Per the state’s Department of Taxation and Finance, withholding tax tables from 2023 remain the same in 2024.

 

You can find detailed instructions on how to apply these local New York payroll taxes through the NY Department of Taxation. Taxes should be paid to the state on an ongoing basis using the following forms:

 

Non-resident employees

Because New York State considers income earned within its borders to be taxable, employees who work in the state (but are not residents) are subject to income tax withholding. Employers are responsible for withholding the appropriate amount of tax from their employees’ paychecks and also remitting it to the state on their behalf.

 

To figure out how much tax to withhold, employees on the payroll who work in the state, but live elsewhere, complete Form IT-2104.i (also known at the Employee’s Withholding Allowance Certificate). As an employer, you’ll use the information your employee provides to figure out how much tax to withhold.

 

Reporting new hires in New York

  • All employers in New York are required to report new hires to the state Department of Taxation within 20 calendar days of their hire date.
  • You must also notify the state of any previously employed workers who were on your team, left for another employer for 60 days or more, and have since returned to your organization.
  • As of January 1, 2022, an employer also must report any independent contractors who have contracts that exceed $2,500.

 

New hire reporting in NYS

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New York unemployment insurance

In 2024, on the first $12,500 each employee earns, New York employers also pay unemployment insurance of between 2.1% to 9.9%. In 2023, it was $12,300. Certain churches and non-profits are exempt from this payment. If you’re a new employer, you’ll pay a flat rate of 4.1%. Learn more about your NY UI rate here.

 

Pay frequency in New York

New York State Labor Law requires manual workers to be paid weekly, while clerical and other workers must be paid at least twice per month (this is a bi-weekly schedule). Some employers may apply to pay employees less frequently.

 

More information is available from New York state

Most workers are required by law to attend sexual harassment prevention training. Learn what training materials need to be included and which employees are required to participate in our employer’s guide to sexual harassment training in New York.

New York State disability insurance

Along with payroll-related taxes and withholding, New York employers are also responsible for providing employees with State Disability Insurance (SDI) to cover off-the-job injury or illness. The state allows employers to withhold 0.5% of wages, but no more than $0.60 per week, from employees to help fund this policy.

 

Staying compliant

Did you know that almost all employers in the state of New York must carry workers’ compensation? Learn more about who needs coverage, the benefits it provides, and how to get a policy in our employer’s guide to New York state workers’ comp insurance.

Paid family leave

New York is one of the states with PFML insurance to help employees have at least some wages coming in should they be unable to work due to illness (or if an employee needs to care for a sick family member).

 

Because the program is funded by contributions from employee’s after-tax wages, employers are responsible for collecting them when running payroll and then remitting the money to the state. Additionally, employers may choose to pay this contribution on behalf of employees rather than deduct it from their wages.

  • For 2024, New York’s contribution rate is 0.373% of an employee’s gross wages during each pay period.
  • The maximum annual contribution for an employee is $333.25.

 

More information is available from New York state

Want to save time on payroll-related to-dos but are unsure which provider is right for you? With our comparison tool, you can easily compare payroll companies side by side in seconds. It provides an overview of user reviews, features, ratings, and how each service provider stacks up against one another.

Write your employees’ paychecks

You’re good enough, you’re smart enough, and gosh darn it, you’ve figured out all your payroll! Once you’ve calculated your employees’ net pay by working out all their deductions and withholdings, you’re ready to cut their checks. In addition to making sure your employees get paid on time, don’t forget to set aside the employer taxes your company is responsible for. Those FICA and UI payments can add up if you don’t remit them on a regular basis. Federal tax filings are due quarterly by filing Form 941 and annually by filing Form 940, but for most New York employers, taxes must be paid on an ongoing basis via the EFTPS payment system. Find detailed information from the IRS here.

Additional NY payroll tax resources

Our calculator can help you do most of the heavy lifting, but here are some additional resources and contact information you may need to start running payroll in New York:

 

New York Department of Taxation & Finance (withholding assistance): (518) 485-6654 | Register for Withholding Taxes

 

New York Department of Labor (unemployment insurance assistance): (518) 457-9000 | Register for NY Unemployment Taxes

 

You can also learn more about city taxes and determine the appropriate withholding rates for your employees here:

 

All of the rates on this page are based on local legislation and can change at any time. Always consult a tax professional if you are unsure about your obligations.

Other useful payroll calculators

If you’re an employer in the state of New York, you can use the calculator at the top of this page to figure out your employees’ federal withholding as well as any additional taxes you need to pay without breaking a sweat. However, employers sometimes have to manage situations that require a bit more number crunching when cutting paychecks. For example, if you give bonuses to employees, Uncle Sam considers this income and taxes need to be withheld. Furthermore, if an employee leaves for another job, you may need to calculate a final pay check. So, if you need a little more help with the math, take a look at the additional calculators below.

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Frequently asked questions employers ask about New York payroll taxes

  • Are employers required to pay payroll taxes in New York?

    Yes, all New York State employers must withhold and pay personal income taxes on wages, salaries, bonuses, commissions, and other similar income paid to employees.

  • Is state disability insurance (SDI) paid by the employee or employer in New York?

    New York state employers can pay all disability insurance costs in full or have employees contribute a portion through payroll deductions.

  • Does NYS require companies to pay employees weekly?

    It depends on the type of employee in question. New York State Labor Law requires that manual workers be paid weekly. However, clerical and other workers must be paid at least twice per month.

  • Does OnPay help businesses in New York manage their payroll taxes? 

    Yes! OnPay withholds all payroll taxes (federal, state, and local) during each pay run and makes all tax payments, in addition to filing Form 941 quarterly and Form 940 at year’s end for clients based in New York state.