Northeast Employee Cost by State (2026)
State-by-state employer payroll costs across the Northeast at all salary levels. Regional averages, state rankings, and key cost drivers.
Hiring a $60,000/year employee in the Northeast costs employers an average of $65,926 in 2026 — 0.2% above the national average of $65,802. The lowest-cost state is New Hampshire ($65,592) and the highest is Connecticut ($66,705).
The Northeast is one of the most expensive regions to employ workers in the U.S., driven by higher SUTA rates, mandatory disability and paid family leave programs, and elevated workers' compensation premiums in states like New York and New Jersey.
Regional Average at $60K
$65,926
Across 12 states
Lowest-Cost State
New Hampshire
$65,592 at $60K
Highest-Cost State
Connecticut
$66,705 at $60K
Northeast is 0.2% above the national average
National average at $60K salary: $65,802. The Northeast average is $65,926 — a difference of $124/year per employee.
Regional Average Employer Cost by Salary Level
What employers in the Northeast pay on average at each salary tier (includes all mandatory taxes)
| Salary | Northeast Avg | National Avg | Overhead Cost | Multiplier |
|---|---|---|---|---|
| $30,000 | $33,146 | $33,027 | +$3,146 | 1.1x |
| $40,000 | $44,085 | $43,964 | +$4,085 | 1.1x |
| $50,000 | $55,011 | $54,890 | +$5,011 | 1.1x |
| $60,000 benchmark | $65,926 | $65,802 | +$5,926 | 1.1x |
| $75,000 | $82,300 | $82,153 | +$7,300 | 1.1x |
| $100,000 | $109,589 | $109,392 | +$9,589 | 1.1x |
| $125,000 | $136,879 | $136,630 | +$11,879 | 1.1x |
| $150,000 | $164,168 | $163,867 | +$14,168 | 1.09x |
Northeast States Ranked by Employer Cost
Cheapest to most expensive at $60K salary
| Rank | State | $30K | $50K | $60K | $75K | $100K | $150K | Multiplier | |
|---|---|---|---|---|---|---|---|---|---|
| #1 | New Hampshire no income tax | $32,922 | $54,702 | $65,592 | $81,927 | $109,152 | $163,602 | 1.093x | Full breakdown → |
| #2 | Delaware | $32,945 | $54,735 | $65,630 | $81,972 | $109,210 | $163,685 | 1.094x | Full breakdown → |
| #3 | Maine | $32,966 | $54,752 | $65,645 | $81,984 | $109,217 | $163,682 | 1.094x | Full breakdown → |
| #4 | Maryland + mandated programs | $32,936 | $54,746 | $65,651 | $82,008 | $109,271 | $163,796 | 1.094x | Full breakdown → |
| #5 | Pennsylvania | $32,964 | $54,756 | $65,652 | $81,996 | $109,236 | $163,716 | 1.094x | Full breakdown → |
| #6 | District of Columbia + mandated programs | $32,973 | $54,825 | $65,751 | $82,140 | $109,455 | $164,085 | 1.096x | Full breakdown → |
| #7 | Vermont | $33,087 | $54,953 | $65,886 | $82,286 | $109,618 | $164,283 | 1.098x | Full breakdown → |
| #8 | New York + mandated programs | $33,212 | $55,032 | $65,942 | $82,307 | $109,582 | $164,132 | 1.099x | Full breakdown → |
| #9 | Massachusetts + mandated programs | $33,168 | $55,022 | $65,949 | $82,340 | $109,657 | $164,292 | 1.099x | Full breakdown → |
| #10 | Rhode Island | $33,273 | $55,139 | $66,066 | $82,457 | $109,774 | $164,409 | 1.101x | Full breakdown → |
| #11 | New Jersey | $33,543 | $55,742 | $66,649 | $83,009 | $110,277 | $164,812 | 1.111x | Full breakdown → |
| #12 | Connecticut + mandated programs | $33,765 | $55,725 | $66,705 | $83,175 | $110,625 | $165,525 | 1.112x | Full breakdown → |
Key Findings: Northeast Employer Costs
- The regional average employer cost for a $60K employee is $65,926, 0.2% above the national average of $65,802.
- New Hampshire is the most cost-effective state for employers at $65,592 per $60K employee (1.093x salary).
- Connecticut has the highest employer costs at $66,705 per $60K employee (1.112x salary).
- New York and New Jersey require employer-side disability insurance. Several states impose paid family leave surcharges. Connecticut and Massachusetts have among the highest SUTA wage bases nationally.
- The spread between lowest and highest cost states within the region is $1,113/year per $60K employee. At a 10-person team, that's a potential difference of $11,130/year.
Compare Other Regions
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