What employer payroll taxes apply in the District of Columbia?

DC employers pay the employer half of Social Security (6.2%) and Medicare (1.45%), federal FUTA, District of Columbia unemployment insurance (SUI), and the DC Paid Family Leave contribution of 0.26% of wages. These are all employer-side costs on top of gross salary.

What is the DC unemployment insurance wage base and rate?

The District of Columbia SUI taxable wage base is 9,000 dollars per employee per year. New employers are generally assigned a rate around 2.7%, while established employers receive an experience-based rate that can range higher or lower depending on their claims history.

What is the DC Paid Family Leave tax?

DC employers pay a Paid Family Leave (PFL) contribution of 0.26% of each employee's total gross wages, with no wage cap. It funds DC's paid leave program and is paid entirely by the employer, not deducted from the employee.

How does FUTA interact with state unemployment tax?

FUTA is 6.0% on the first 7,000 dollars of wages, but employers who pay state unemployment tax on time receive a 5.4% credit, lowering the effective FUTA rate to 0.6% — about 42 dollars per employee per year.

Is this calculator exact?

It is a close estimate using standard 2024 rates and wage bases. Your exact SUI rate comes from your DOES experience-rate notice, and special situations like multi-state employees or credit reductions can change the totals. Verify with the DC Department of Employment Services.

District of Columbia Employer Payroll Tax Calculator

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Hiring in the District of Columbia means employer-side payroll taxes on top of salary: the Social Security and Medicare match, federal FUTA, DC unemployment insurance (SUI), and the DC Paid Family Leave contribution. This calculator sums all of them per employee so you can budget the true cost of a hire.

How it works

Employer payroll tax is the sum of several components, each on its own wage base:

FICA match. 6.2% Social Security (up to $168,600) plus 1.45% Medicare on all wages.
FUTA. 0.6% effective rate on the first $7,000 of wages (after the 5.4% state credit).
DC SUI. Your rate (new employers ~2.7%) on the first $9,000 of wages.
DC Paid Family Leave. 0.26% of total wages, no cap.

The total is FICA + FUTA + SUI + PFL, each capped at its own wage base.

Tips and example

For an employee paid $60,000: FICA match is $60,000 × 7.65% = $4,590; FUTA is $7,000 × 0.6% = $42; DC SUI at 2.7% is $9,000 × 2.7% = $243; DC PFL is $60,000 × 0.26% = $156. Total employer payroll tax is about $5,031, roughly 8.4% above the salary.

Wage-base taxes (FUTA, SUI) are paid only until the employee crosses the cap early in the year. Your exact SUI rate comes from your DOES notice. Verify current rates and wage bases with the DC Department of Employment Services and the IRS.