Employee Cost: Connecticut vs Minnesota (2026)

Side-by-side comparison of employer costs, payroll taxes, SUTA rates, and workers' comp.

At a $60,000 salary

Minnesota saves $689/employee/year

$66,647 in Connecticut vs $65,958 in Minnesota

Connecticut

$66,647

1.11x salary

Minnesota

$65,958

1.1x salary

Cost Breakdown Comparison

Based on $60,000 annual salary

Cost Component CT MN Diff
Base Salary $60,000 $60,000
Social Security (6.2%) $3,720 $3,720
Medicare (1.45%) $870 $870
FUTA (0.6%) $42 $42
SUTA (State Unemployment) $725 $420 +$305
Workers' Compensation $990 $708 +$282
State-Mandated Insurance $300 $198 +$102
Total Employer Cost $66,647 $65,958 +$689

Tax Rate Comparison

Rate Connecticut Minnesota
SUTA Rate Range 1.5% – 6.9% 0.1% – 9.0%
SUTA Typical Rate 2.9% 1.0%
SUTA Wage Base $25,000 $42,000
Workers' Comp Rate 1.65% 1.18%
State Income Tax Yes Yes
Paid Family Leave 0.5% 0.33%

What This Means for Employers

For a business hiring at a $60,000 salary, choosing Minnesota over Connecticut saves $689 per employee per year in employer-side payroll costs alone. For a team of 10, that's $6,890 annually.

The biggest difference comes from SUTA (state unemployment tax) — Connecticut charges 2.9% vs Minnesota's 1.0%. Note that federal taxes (Social Security, Medicare, FUTA) are identical in both states.

These numbers reflect employer-side costs only and don't include benefits, overhead, or the employee's own tax burden. Use the interactive Employee Cost Calculator to model different salary levels and benefits packages.

Cost Comparison at Different Salary Levels

How the gap changes from $30K to $150K

Salary CT Total MN Total Difference
$30,000 $33,707 $33,090 +$617
$40,000 $44,687 $44,106 +$581
$50,000 $55,667 $55,042 +$625
$60,000 $66,647 $65,958 +$689
$75,000 $83,117 $82,332 +$785
$100,000 $110,567 $109,622 +$945
$125,000 $138,017 $136,912 +$1,105
$150,000 $165,467 $164,202 +$1,265

Click any amount to see the full cost breakdown for that salary and state. Amounts shown from the perspective of CT.

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