PaycheckPlain
Home › Payroll tax updates 2026

Payroll tax updates 2026

Updated 2026-09-21 · 2026 IRS and Social Security figures · how we calculate

Every change to the rules behind our calculators, newest first, with the date it takes effect and the official source. Changes that haven't taken effect yet are marked "upcoming".

Changes

Takes effectWhereWhat changed
July 1, 2027
upcoming		AlaskaMinimum wage rises to $15.00 (from $14.00). Source
January 1, 2027
upcoming		ColoradoFAMLI paid-leave premium falls from 0.88% to 0.86% of wages; employees pay up to half. Source
January 1, 2027
upcoming		MarylandFAMLI paid-leave contributions begin: 0.9% of wages, up to 0.45% from employees. Source
January 1, 2027
upcoming		MichiganMinimum wage rises to $15.00 (from $13.73). Source
January 1, 2027
upcoming		Rhode IslandMinimum wage rises to $17.00 (from $16.00). Source
September 30, 2026
upcoming		FloridaMinimum wage $15.00 an hour; $11.98 cash wage for tipped workers. Source
August 1, 2026OhioNew withholding tables: 1.6% / 2.99% / 3.4% (were 1.775% / 2.99% / 3.64%). Source
July 1, 2026AlaskaMinimum wage $14.00 an hour; no tip credit. Source
July 1, 2026District of ColumbiaMinimum wage $18.40 an hour; $10.30 cash wage for tipped workers. Source
July 1, 2026NevadaMinimum wage $12.00 an hour; no tip credit. Source
July 1, 2026OregonMinimum wage $15.55 an hour standard rate (higher in the Portland metro area, lower in non-urban counties); no tip credit. Source
July 1, 2026Philadelphia, PennsylvaniaWage tax lowered to 3.735% for residents (was 3.74%) and 3.425% for non-residents (was 3.43%). Source
June 1, 2026UtahNew withholding schedules at 4.45% (was 4.5%). Source
May 11, 2026GeorgiaWithholding rate cut from 5.19% to 4.99%; the dependent allowance rose from $4,000 to $5,000. Source
January 1, 2026ArizonaMinimum wage $15.15 an hour; $12.15 cash wage for tipped workers. Source
January 1, 2026CaliforniaMinimum wage $16.90 an hour; no tip credit. Source
January 1, 2026ColoradoMinimum wage $15.16 an hour; $12.14 cash wage for tipped workers. Source
January 1, 2026ConnecticutMinimum wage $16.94 an hour; $6.38 cash wage for tipped workers. Source
January 1, 2026FederalNew IRS Publication 15-T withholding tables for 2026; the Social Security wage base is $184,500. Source
January 1, 2026HawaiiMinimum wage $16.00 an hour; $14.75 cash wage for tipped workers. Source
January 1, 2026MaineMinimum wage $15.10 an hour; $7.55 cash wage for tipped workers. Source
January 1, 2026MichiganMinimum wage $13.73 an hour; $5.49 cash wage for tipped workers. Source
January 1, 2026MinnesotaMinimum wage $11.41 an hour; no tip credit. Source
January 1, 2026MissouriMinimum wage $15.00 an hour; $7.50 cash wage for tipped workers. Source
January 1, 2026MontanaMinimum wage $10.85 an hour; no tip credit. Source
January 1, 2026NebraskaMinimum wage $15.00 an hour; $2.13 cash wage for tipped workers. Source
January 1, 2026New JerseyMinimum wage $15.92 an hour; $6.05 cash wage for tipped workers. Source
January 1, 2026New YorkMinimum wage $16.00 an hour outside New York City, Long Island and Westchester (higher there); $10.70 cash wage for tipped workers. Source
January 1, 2026OhioMinimum wage $11.00 an hour; $5.50 cash wage for tipped workers. Source
January 1, 2026Rhode IslandMinimum wage $16.00 an hour; $3.89 cash wage for tipped workers. Source
January 1, 2026South DakotaMinimum wage $11.85 an hour; $5.925 cash wage for tipped workers. Source
January 1, 2026VermontMinimum wage $14.42 an hour; $7.21 cash wage for tipped workers. Source
January 1, 2026VirginiaMinimum wage $12.77 an hour; $2.13 cash wage for tipped workers. Source
January 1, 2026WashingtonMinimum wage $17.13 an hour; no tip credit. Source

Coming next

These figures for 2027 aren't published yet. We add them here, with the source, as soon as they are.

When we last checked each state

Federal figures checked September 21, 2026; federal employer taxes September 22, 2026; Ohio city rates September 23, 2026. Each state's figures come from its tax agency's own publications — the main one is listed below, and every state page lists all of them.

StateCheckedMain source
AlabamaSeptember 21, 2026Alabama Department of Revenue — Withholding Tax Tables and Instructions for Employers and Withholding Agents (revised January 2026)
AlaskaSeptember 21, 2026Alaska Office of the State Assessor — Alaska tax facts
ArizonaSeptember 21, 2026Arizona Department of Revenue — Form A-4, Employee's Arizona Withholding Election (2026)
ArkansasSeptember 21, 2026Arkansas Department of Finance and Administration — Withholding Tax Formula Method (Effective 01/01/2026)
CaliforniaSeptember 21, 2026California EDD — 2026 Withholding Schedules, Method B – Exact Calculation Method
ColoradoSeptember 21, 2026Colorado Department of Revenue — DR 1098, 2026 Colorado Withholding Worksheet for Employers
ConnecticutSeptember 21, 2026Connecticut DRS — TPG-211, 2026 Withholding Calculation Rules (Rev. 12/25)
DelawareSeptember 21, 2026Delaware Division of Revenue — Employer's Guide (Withholding Regulations and Employer's Duties)
District of ColumbiaSeptember 21, 2026D.C. Code § 47-1806.03 — Tax on residents and estates and trusts; rates
FloridaSeptember 21, 2026Florida Department of Revenue
GeorgiaSeptember 21, 2026Georgia Department of Revenue — 2026 Employer's Withholding Tax Guide (revised June 2026)
HawaiiSeptember 21, 2026Hawaii Department of Taxation — Appendix 2: Income Tax Withholding Tables for Taxable Years Beginning After December 31, 2025 (June 30, 2025)
IdahoSeptember 21, 2026Idaho State Tax Commission — Table for Percentage Computation Method of Withholding (EPB00744, 07-23-2026)
IllinoisSeptember 21, 2026Illinois Department of Revenue — Booklet IL-700-T, Illinois Withholding Tax Tables (2026)
IndianaSeptember 21, 2026Indiana Department of Revenue — Departmental Notice #1, Withholding (R46 / 01-26, effective Jan. 1, 2026)
IowaSeptember 21, 2026Iowa Department of Revenue — Iowa Individual Income Tax Withholding Formula, Effective January 1, 2026 (released November 2025)
KansasSeptember 21, 2026Kansas Department of Revenue — KW-100 Kansas Withholding Tax Guide
KentuckySeptember 21, 2026Kentucky Department of Revenue — 42A003 (TCF)(10-2025), 2026 Kentucky Withholding Tax Formula
LouisianaSeptember 21, 2026Louisiana Department of Revenue — R-1306 (1/26) Louisiana Withholding Tables and Formulas, effective January 1, 2026
MaineSeptember 21, 2026Maine Revenue Services — Withholding Tables for Individual Income Tax, tax year 2026 (rev. December 2025)
MarylandSeptember 21, 2026Comptroller of Maryland — 2026 Maryland Employer Withholding Guide
MassachusettsSeptember 21, 2026Massachusetts DOR — Circular M: Income Tax Withholding Tables at 5.0%, effective January 1, 2026
MichiganSeptember 21, 2026Michigan Department of Treasury — Form 446, 2026 Michigan Income Tax Withholding Guide
MinnesotaSeptember 21, 2026Minnesota Department of Revenue — 2026 Minnesota Withholding Tax Instructions and Tables (Computer Formula, page 34)
MississippiSeptember 21, 2026Mississippi Department of Revenue — Computer Payroll Accounting, For Periods In 2026 (flowchart, updated 8-13-25)
MissouriSeptember 21, 2026Missouri Department of Revenue — 2026 Missouri Withholding Tax Formula
MontanaSeptember 21, 2026Montana Department of Revenue — Montana Employer and Information Agent Guide with Montana Withholding Tax Tables (V4, November 2025; for use beginning Jan. 1, 2026)
NebraskaSeptember 21, 2026Nebraska Department of Revenue — 2026 Circular EN, Nebraska Income Tax Withholding (8-429-1998 Rev. 11-2025)
NevadaSeptember 21, 2026Nevada Legislative Counsel Bureau — Residency fact sheet
New HampshireSeptember 21, 2026New Hampshire Department of Revenue Administration — Interest and Dividends Tax
New JerseySeptember 21, 2026N.J. Division of Taxation — New Jersey Withholding Rate Tables (percentage method, paid on and after October 1, 2020)
New MexicoSeptember 21, 2026New Mexico Taxation and Revenue Department — FYI-104, New Mexico Withholding Tax, Effective January 1, 2026 (REV. 11/2025)
New YorkSeptember 21, 2026NYS Department of Taxation and Finance — NYS-50-T-NYS, New York State Withholding Tax Tables and Methods (1/26)
North CarolinaSeptember 21, 2026North Carolina Department of Revenue — NC-30 Income Tax Withholding Tables and Instructions for Employers (2026)
North DakotaSeptember 21, 2026North Dakota Office of State Tax Commissioner — Income Tax Withholding Rates and Instructions, For wages paid in 2026
OhioSeptember 21, 2026Ohio Department of Taxation — Employer Withholding Taxes: Optional Computer Formula (effective August 1, 2026)
OklahomaSeptember 21, 2026Oklahoma Tax Commission — Packet OW-2, 2026 Oklahoma Income Tax Withholding Tables (Revised 11-2025)
OregonSeptember 21, 2026Oregon Department of Revenue — Oregon Withholding Tax Formulas, 150-206-436 (effective January 1, 2026)
PennsylvaniaSeptember 21, 2026Pennsylvania Department of Revenue — Employer withholding
Rhode IslandSeptember 21, 2026RI Division of Taxation — 2026 Rhode Island Employer's Income Tax Withholding Tables
South CarolinaSeptember 21, 2026SCDOR — WH-1603F, Formula for Computing SC Withholding Tax, 2026 (Rev. 11/4/25)
South DakotaSeptember 21, 2026South Dakota Department of Revenue — Individual taxes
TennesseeSeptember 21, 2026Tennessee Department of Revenue — GEN-34 Income Tax Withholding
TexasSeptember 21, 2026Texas Constitution, Article 8, Section 24-a
UtahSeptember 21, 2026Utah State Tax Commission — Publication 14, Withholding Tax Guide (Rev. 4/26, effective June 1, 2026)
VermontSeptember 21, 2026Vermont Department of Taxes — GB-1210, 2026 Income Tax Withholding Instructions, Tables, and Charts
VirginiaSeptember 21, 2026Virginia Tax — Income Tax Withholding Guide for Employers (Rev. 05/25)
WashingtonSeptember 21, 2026Washington Department of Revenue — Income tax
West VirginiaSeptember 21, 2026West Virginia Tax Division — Form WV IT-100.2A, Tables for Percentage Method of Withholding (March 2026)
WisconsinSeptember 21, 2026Wisconsin Department of Revenue — Publication W-166, Withholding Tax Guide (1/26)
WyomingSeptember 21, 2026State of Wyoming — About Wyoming

Spotted a change we haven't picked up? Email hello@paycheckplain.com with the source. See also how we calculate.