Employer payroll taxes in Vermont for 2026
On top of each paycheck, a Vermont employer pays these taxes. None of them come out of the employee's pay. On a $60,000 salary they add $4,984.00 a year, so the employee costs $64,984.00.
| Employer tax | Rate | Wages taxed |
|---|---|---|
| Social Security | 6.2% | First $184,500 |
| Medicare | 1.45% | No limit |
| Federal unemployment (FUTA) | 0.6% | First $7,000 |
| Vermont unemployment (SUTA) | 1% for new employers | First $15,400 |
| VT child care contribution | 0.33% | No limit |
Vermont unemployment tax (SUTA)
Vermont employers pay state unemployment tax on the first $15,400 of each employee's wages in 2026. A new employer starts at 1%, and experienced employers pay from 0.4% to 5.4% depending on their layoff history.
Most new employers pay 1%.
Vermont paid leave and disability programs
The employer's share of these state programs is a payroll tax too. The calculator includes each one that applies to your headcount.
| Program | Employer rate | Wages taxed | Who pays |
|---|---|---|---|
| VT child care contribution | 0.33% | No limit | All employers |
Vermont's Child Care Contribution is 0.44% of wages. Employers pay at least 0.33% and may withhold the rest from employees.
What an employee costs in Vermont
Yearly employer taxes and total cost for a single filer paid every two weeks, at the new-employer unemployment rate, for an employer with 10 employees. Benefits and workers' compensation insurance are extra.
| Salary | Employer taxes | Total cost | Added to pay | Employee take-home |
|---|---|---|---|---|
| $30,000 | $2,590.00 | $32,590 | 8.6% | $25,592 |
| $40,000 | $3,388.00 | $43,388 | 8.5% | $33,292 |
| $50,000 | $4,186.00 | $54,186 | 8.4% | $40,992 |
| $60,000 | $4,984.00 | $64,984 | 8.3% | $48,692 |
| $75,000 | $6,181.00 | $81,181 | 8.2% | $58,907 |
| $100,000 | $8,176.00 | $108,176 | 8.2% | $74,845 |
| $125,000 | $10,171.00 | $135,171 | 8.1% | $90,718 |
| $150,000 | $12,166.00 | $162,166 | 8.1% | $105,978 |
Withholding from Vermont paychecks
From the employee's pay you withhold federal income tax under the W-4, 6.2% Social Security, 1.45% Medicare and Vermont income tax. Employees checking their own pay can use the Vermont paycheck calculator. Running a bonus? Use the bonus payroll calculator.
Vermont employer taxes compared with nearby states
The same $60,000 employee, at each state's new-employer unemployment rate. Of the states that border Vermont, New Hampshire has the lowest employer taxes.
| State | State unemployment | All employer taxes | Total cost |
|---|---|---|---|
| Vermont | $352.00 | $4,984.00 | $64,984 |
| Massachusetts payroll calculator | $371.40 | $5,003.40 | $65,003 |
| New Hampshire payroll calculator | $238.00 | $4,870.00 | $64,870 |
| New York payroll calculator | $721.60 | $5,353.60 | $65,354 |
Sources
Vermont unemployment and program rates come from the state's own 2026 figures: labor.vermont.gov, labor.vermont.gov, legislature.vermont.gov. Federal figures follow IRS Publication 15 and Publication 15-T. See how we calculate for the withholding method.