How Much Does It Cost to Hire an Employee in Massachusetts? (2026)
State-specific payroll taxes, workers' comp, and total employer costs in Massachusetts.
Total Cost at $60K Salary
$65,949
Cost multiplier: 1.1x
SUTA Rate (Mid)
2.3%
Wage base: $15,000
Workers' Comp Rate
1.28%
Has state income tax
Massachusetts Employer Tax Details
State-specific payroll obligations for employers
| SUTA Rate Range | 0.56% – 8.4% |
| SUTA New Employer Rate (typical) | 2.3% |
| SUTA Wage Base | $15,000 |
| Workers' Compensation (avg) | 1.28% of payroll |
| State Income Tax | Yes |
| Paid Family Leave (employer share) | 0.34% |
Example Employer Costs in Massachusetts
Mandatory employer taxes only (no benefits or overhead)
| Component | $40,000 Salary | $60,000 Salary | $80,000 Salary |
|---|---|---|---|
| Social Security (6.2%) | $2,480 | $3,720 | $4,960 |
| Medicare (1.45%) | $580 | $870 | $1,160 |
| FUTA | $42 | $42 | $42 |
| SUTA (MA) | $345 | $345 | $345 |
| Workers' Comp | $512 | $768 | $1,024 |
| State Programs (DI/PFL) | $136 | $204 | $272 |
| Total Employer Taxes | $4,095 | $5,949 | $7,803 |
| Total Cost (salary + taxes) | $44,095 (1.1x) | $65,949 (1.1x) | $87,803 (1.1x) |
These estimates include mandatory employer payroll taxes only. Add benefits ($7K-$17K) and overhead (~10% of salary) for full cost.
How Massachusetts Compares
Massachusetts's typical SUTA rate of 2.3% is above the national average of ~1.70%.
Workers' compensation at 1.28% of payroll is above the national average of ~1.20%.
Employee Costs in Other States
Related Calculators
Calculate Your Exact Employee Cost
Use our interactive calculator with your specific salary, state, and benefits to get an exact number.
Open Employee Cost CalculatorMore Free Calculators
Break-Even Calculator
Find how many units to sell to cover costs
Markup & Margin
Convert between markup and margin percentages
Startup Cost Estimator
Estimate one-time and recurring startup costs
Loan Comparison
Compare loan options side by side
Profit Margin Calculator
Calculate gross, operating, and net margins
Employee Cost Calculator
Find the true cost of hiring an employee
Get Free Business Tips
Join small business owners getting weekly financial tips and calculator updates. No spam, unsubscribe anytime.
We respect your privacy. Unsubscribe with one click.