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Georgia vs Ohio: Business Hiring Cost Comparison (2026)

A $60K employee costs $65,446 in Georgia and $65,337 in Ohio. Ohio saves $109/year per hire.

No signup No tracking Last updated March 2026
Data current as of March 2026 Sources: IRS Publication 15, SSA COLA notices, State Workforce Agencies

Ohio is $109 per year cheaper than Georgia for a $60,000 employee in 2026, with total employer costs of $65,337 vs $65,446 including all mandatory payroll taxes.

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$60,000
$30K $200K

At a $60,000 salary

Ohio saves $109/employee/year

$65,446 in Georgia vs $65,337 in Ohio

Georgia

$65,446

1.09x salary

Ohio

$65,337

1.09x salary

Cost Breakdown Comparison

Based on $60,000 annual salary

Cost Component GA OH 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) $166 $117 +$49
Workers' Compensation $648 $588 +$60
Total Employer Cost $65,446 $65,337 +$109

Tax Rate Comparison

Rate Georgia Ohio
SUTA Rate Range 0.4% – 5.4% 0.1% – 6.5%
SUTA Typical Rate 1.75% 1.3%
SUTA Wage Base $9,500 $9,000
Workers' Comp Rate 1.08% 0.98%
State Income Tax Yes Yes

What This Means for Employers

For a business hiring at a $60,000 salary, choosing Ohio over Georgia saves $109 per employee per year in employer-side payroll costs alone. For a team of 10, that's $1,093 annually — enough to fund an additional hire or significantly offset operating costs.

The biggest difference comes from workers' compensation rates — Georgia charges 1.08% of payroll vs Ohio's 0.98%. Workers' comp rates vary by industry within each state, so high-risk industries (construction, manufacturing) will see larger absolute dollar differences. Federal taxes — Social Security (6.2%), Medicare (1.45%), and FUTA (0.6%) — are identical in both states and account for the majority of employer tax burden.

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.

Choosing Between Georgia and Ohio?

Cost alone favors Ohio: At a $60K salary, you save $109 per employee — a real number that compounds across a growing team. At 20 employees, that's $2,185/year before factoring in any raises.

When Georgia might still make sense: If your business depends on talent concentrated in Georgia — tech workers, finance professionals, specialized trades — the labor market access may outweigh the payroll cost premium. Remote-friendly roles, however, make the $109/employee savings a strong argument for Ohio-based registration.

What this comparison doesn't capture: State income tax (employee side) affects your offer competitiveness — employees in high-tax states need higher gross pay to net the same take-home. Georgia has state income tax; Ohio has state income tax. This affects what salary you need to offer to attract equivalent candidates.

State Employment Profiles

Georgia

Georgia offers moderate employer taxes with a $9,500 SUTA wage base and competitive workers' compensation rates, anchored by Atlanta's large white-collar workforce.

Top Industries

film & media production, logistics (Delta hub), financial technology

Employer Note

Atlanta's 'Hollywood of the South' film tax credits attract production companies, but these bring largely project-based rather than permanent employee relationships.

Ohio

Ohio's $9,000 SUTA wage base is among the lowest in the Midwest, and it operates a state-managed workers' compensation bureau (BWC) that provides stable — though sometimes higher — rates.

Top Industries

healthcare, automotive manufacturing, financial services

Employer Note

Ohio's Bureau of Workers' Compensation charges industry-rated premiums; employers can earn group rating discounts through industry associations, sometimes reducing rates significantly.

Employer Environment in Each State

Key factors that shape employer costs beyond the numbers above

Georgia Below-average employer costs
  • State income tax applies — factor into total compensation packages
  • SUTA rate 1.75% (wage base $9,500) — in line with national average
  • Workers' comp rate 1.08% — near national average, varies by industry classification
Ohio Below-average employer costs
  • State income tax applies — factor into total compensation packages
  • SUTA rate 1.3% (wage base $9,000) — in line with national average
  • Workers' comp rate 0.98% — near national average, varies by industry classification

Hiring Strategy Takeaway

The $109 per-employee cost gap at $60K salary is primarily driven by workers' compensation rates (GA: 1.08% vs OH: 0.98%). For a growing business, this difference compounds quickly — a 10-person team in Ohio costs $1,093 less annually than the same team in Georgia, before accounting for benefits, overhead, or salary-level differences.

Cost Comparison at Different Salary Levels

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

Salary GA Total OH Total Difference
$30,000 $32,827 $32,748 +$79
$40,000 $43,700 $43,611 +$89
$50,000 $54,573 $54,474 +$99
$60,000 $65,446 $65,337 +$109
$75,000 $81,756 $81,632 +$124
$100,000 $108,938 $108,789 +$149
$125,000 $136,121 $135,947 +$174
$150,000 $163,303 $163,104 +$199

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

What About Startup Costs?

Hiring is one piece. See what it costs to actually open in these states.

Get notified when hiring costs change in these states

We track SUTA rates, workers' comp, and payroll taxes across all 50 states. Free updates.

Estimates only. These results are based on publicly available data and standard formulas. Actual costs may vary based on your specific circumstances. This calculator does not constitute financial, tax, or legal advice. Consult a qualified professional for advice on your situation.

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