Employee Cost: North Carolina vs Pennsylvania (2026)

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

At a $60,000 salary

North Carolina saves $136/employee/year

$65,516 in North Carolina vs $65,652 in Pennsylvania

North Carolina

$65,516

1.09x salary

Pennsylvania

$65,652

1.09x salary

Cost Breakdown Comparison

Based on $60,000 annual salary

Cost Component NC PA 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) $296 $234 +$62
Workers' Compensation $588 $786 -$198
Total Employer Cost $65,516 $65,652 -$136

Tax Rate Comparison

Rate North Carolina Pennsylvania
SUTA Rate Range 0.06% – 5.6% 0.69% – 9.07%
SUTA Typical Rate 1.0% 2.34%
SUTA Wage Base $29,600 $10,000
Workers' Comp Rate 0.98% 1.31%
State Income Tax Yes Yes

What This Means for Employers

For a business hiring at a $60,000 salary, choosing North Carolina over Pennsylvania saves $136 per employee per year in employer-side payroll costs alone. For a team of 10, that's $1,360 annually.

The biggest difference comes from workers' compensation rates — North Carolina charges 0.98% vs Pennsylvania's 1.31%. 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 NC Total PA Total Difference
$30,000 $32,927 $32,964 -$37
$40,000 $43,790 $43,860 -$70
$50,000 $54,653 $54,756 -$103
$60,000 $65,516 $65,652 -$136
$75,000 $81,811 $81,996 -$186
$100,000 $108,968 $109,236 -$268
$125,000 $136,126 $136,476 -$351
$150,000 $163,283 $163,716 -$433

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

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