Utah Payroll Taxes for Employers (2026): SUTA and State Programs
Last updated: 2026-10-12 · 2026 rates checked against Utah Department of Workforce Services's own pages and the other official sources below
Utah employers pay state unemployment tax (SUTA) on the first $50,700 of each employee's wages in 2026. New employers get an industry-based rate rather than one statewide figure: New employers get their industry's average benefit-cost rate × 1.10 reserve factor + 0.1% social cost (no single published figure). New out-of-state contractors pay the maximum 7.1%. Every Utah employer also pays federal Social Security (6.2% up to $184,500), Medicare (1.45%) and FUTA (0.6% on the first $7,000).
What will payroll taxes cost me in Utah?
Enter your headcount and average pay to see the employer's share of Utah and federal payroll taxes for 2026. Change the SUTA rate to the one on your rate notice.
Utah employer payroll tax estimator · 2026
Runs in your browser · nothing is sent anywhere| Tax | Per year |
|---|---|
Utah unemployment (SUTA) 0.54% × first $50,700 per employee | $1,350 |
Federal unemployment (FUTA) 0.6% × first $7,000 after the full state credit | $210 |
Social Security (employer half) 6.2% × first $184,500 | $15,500 |
Medicare (employer half) 1.45% of all wages | $3,625 |
| Total employer taxes | $20,685 |
| Per employee | $4,137 |
Assumes every employee earns the average and works in Utah all year. Workers' comp premiums and benefits are extra — the payroll cost calculator adds them.
Utah unemployment insurance tax (SUTA) in 2026
- 2026 taxable wage base
- $50,700 per employee (6th highest of 51)
- New-employer rate
- Industry-based (no single statewide figure)
- How the new-employer rate works
- New employers get their industry's average benefit-cost rate × 1.10 reserve factor + 0.1% social cost (no single published figure). New out-of-state contractors pay the maximum 7.1%.
- Experience-rated range (2026, as published)
- 0.1% to 7.1%
- 2025 average employer rate
- 0.54% of taxable wages (U.S. DOL)
- Employee contribution
- None — employer-paid only
Register with Utah Department of Workforce Services when you first pay wages in Utah; you get an account number for quarterly wage reports and tax payments.
Federal payroll taxes every Utah employer pays
- Social Security: 6.2% from you and 6.2% withheld from the employee, on wages up to $184,500 in 2026.
- Medicare: 1.45% each on all wages; withhold an extra 0.9% (employee only) on wages over $200,000.
- FUTA: 6.0% of the first $7,000 per employee, less up to 5.4% credit for Utah unemployment tax paid on time = 0.6%, or $42 per employee.
- Federal income tax withholding from each paycheck based on the employee's Form W-4.
Next for Utah employers: Utah paycheck calculator (employee withholding) · Utah new hire reporting · Utah payday & final paycheck rules · Utah workers' comp · full payroll cost calculator
Utah payroll tax FAQ
What is the Utah SUTA rate for new employers in 2026?
Utah doesn't use a single new-employer rate. New employers get their industry's average benefit-cost rate × 1.10 reserve factor + 0.1% social cost (no single published figure). New out-of-state contractors pay the maximum 7.1%.
What is the Utah SUTA wage base for 2026?
$50,700 per employee. Once an employee's 2026 wages pass that amount, you stop paying Utah unemployment tax on them for the rest of the year. That is the 6th highest wage base of the 50 states and DC (the federal FUTA base is $7,000).
Do employees pay unemployment tax in Utah?
No. In Utah unemployment tax is paid only by the employer; it can't be deducted from pay. Only Alaska, New Jersey and Pennsylvania collect an employee share.
What other payroll taxes do Utah employers pay?
For 2026, Utah has no statewide paid-leave or disability payroll tax, so the state-level employer tax is unemployment insurance. You still withhold any state income tax from employees' pay.
How much FUTA do Utah employers pay?
0.6% of the first $7,000 of each employee's wages — $42 per employee per year — after the full 5.4% credit for paying Utah unemployment tax on time. Utah is not a credit-reduction state for 2026.
How does my Utah SUTA rate change after the first years?
New employers keep the new-employer rate until they have enough history to be experience-rated (the timing is set by state law). After that, Utah Department of Workforce Services assigns a rate each year based on your layoffs and benefit charges; published 2026 rates run from 0.1% to 7.1%. Use the rate on your annual rate notice. The 2025 average employer rate in Utah was 0.54% of taxable wages.
Official Sources
Figures checked against these sources on 2026-10-12Related Resources on This Site
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- Sales TaxUtah sales tax rates & rules
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Payroll taxes in other states
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General information, not tax advice. Rates change every year; confirm yours on the notice from Utah Department of Workforce Services before filing.