What is the SUTA rate in Virginia?

Virginia's SUTA (State Unemployment Tax) rates range from 0.17% to 6.5%, with a typical new employer rate around 1.56%. The SUTA wage base is $8,000 per employee.

Does Virginia have state income tax?

Yes, Virginia has a state income tax. While this is paid by the employee (not the employer), it affects take-home pay and overall compensation planning.

What workers' compensation insurance costs in Virginia?

The average workers' compensation rate in Virginia is approximately 0.88% of payroll. For a $60,000 salary, that's about $528 per year. Rates vary significantly by industry and claims history.

How Much Does It Cost to Hire an Employee in Virginia? (2026)

State-specific payroll taxes, workers' comp, and total employer costs in Virginia.

Total Cost at $60K Salary

$65,285

Cost multiplier: 1.09x

SUTA Rate (Mid)

1.56%

Wage base: $8,000

Workers' Comp Rate

0.88%

Has state income tax

Virginia Employer Tax Details

State-specific payroll obligations for employers

SUTA Rate Range	0.17% – 6.5%
SUTA New Employer Rate (typical)	1.56%
SUTA Wage Base	$8,000
Workers' Compensation (avg)	0.88% of payroll
State Income Tax	Yes

Example Employer Costs in Virginia

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 (VA)	$125	$125	$125
Workers' Comp	$352	$528	$704
Total Employer Taxes	$3,579	$5,285	$6,991
Total Cost (salary + taxes)	$43,579 (1.09x)	$65,285 (1.09x)	$86,991 (1.09x)

These estimates include mandatory employer payroll taxes only. Add benefits ($7K-$17K) and overhead (~10% of salary) for full cost.

How Virginia Compares

Virginia's typical SUTA rate of 1.56% is below the national average of ~1.70%. With a relatively low wage base of $8,000, the maximum SUTA cost per employee is capped early.

Workers' compensation at 0.88% of payroll is below the national average of ~1.20%.

Employee Costs in Other States

Alabama AL Alaska AK Arizona AZ Arkansas AR California CA Colorado CO Connecticut CT Delaware DE District of Columbia DC Florida FL Georgia GA Hawaii HI Idaho ID Illinois IL Indiana IN Iowa IA Kansas KS Kentucky KY Louisiana LA Maine ME Maryland MD Massachusetts MA Michigan MI Minnesota MN Mississippi MS Missouri MO Montana MT Nebraska NE Nevada NV New Hampshire NH New Jersey NJ New Mexico NM New York NY North Carolina NC North Dakota ND Ohio OH Oklahoma OK Oregon OR Pennsylvania PA Rhode Island RI South Carolina SC South Dakota SD Tennessee TN Texas TX Utah UT Vermont VT Washington WA West Virginia WV Wisconsin WI Wyoming WY

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