Washington Employee Cost Calculator
Washington has the highest state minimum wage at $16.28/hour with no state income tax. Calculate employment costs including WA SUI and paid family leave.
$16.28/hr
2.00%
0.27% -5.40%
$78,200
Enter salary and state, then click Calculate
Ready to run payroll in Washington?
Once you know the true employee cost, the next job is paying people correctly. Full-service payroll software can help with pay runs, tax filings, W-2s, new-hire reporting, and state unemployment details.
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Key Facts About Hiring in Washington
No state income tax
Minimum wage: $16.28/hour (2026)
SUI rates: 0.27% to 5.4%
Paid Family Leave: ~1.0%
Highest minimum wage in US
2026 Washington Employer Cost Snapshot
Washington has no state income tax, but it has a high unemployment wage base, industry-based new-employer rates, paid leave programs, and a high statewide minimum wage. Employers should not treat it as a low-compliance payroll state.
Benefits are modeled at 18% for this example. Use the calculator above to replace this with your actual health insurance, retirement, and PTO assumptions.
The 2026 Washington unemployment taxable wage base is $78,200.
New employers pay an industry-based rate, with a federal minimum rate of 1%.
Washington Paid Family and Medical Leave and WA Cares deductions affect payroll setup.
High wage floors and strong benefit expectations can move the total cost materially.
- Register for Washington unemployment insurance and verify the assigned industry rate.
- Configure Paid Family and Medical Leave and WA Cares separately from UI.
- Check city-specific labor rules in Seattle and other local jurisdictions.
- Model workers' compensation with Washington's state system outside the SUI estimate.
- Washington is one of the states where the SUI wage base can materially affect higher salaries.
- No state income tax does not mean no payroll complexity; paid leave and workers' comp setup still matter.
- Washington pages should link to technology, contractor comparison, and payroll software pages.
Ready to run payroll in Washington?
Once you know the true employee cost, the next job is paying people correctly. Full-service payroll software can help with pay runs, tax filings, W-2s, new-hire reporting, and state unemployment details.
Disclosure: some payroll links may be affiliate links, at no extra cost to you.
Official Washington payroll sources
Frequently Asked Questions - Washington
Calculate Washington Costs by Industry
Workers' compensation rates, turnover, and compliance requirements vary significantly by industry. See industry-specific costs for Washington.
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