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Payroll and Benefits Guide United States – Federal
Last updated: Mar 03, 2026
Currency
Unknown
Employer Taxes
8.25% - 13.65%
Payroll Frequency
Unknown
Employee Costs
8.55%
Capital
Unknown
Date Format
Unknown
Fiscal Year
Unknown
Contribution
| Employer Payroll Contributions | |
| 6.20% | Federal Insurance Contributions Act (FICA) - Social Security, applied on salary up to 176,100 USD per year. |
| 1.45% | Federal Insurance Contributions Act (FICA) – Medicare.
An additional 0.9% should be withheld from employees earning above 200,000 USD per year. |
| 0.60% – 6.00% | Federal Unemployment Tax Act (FUTA), applied on salary up to 7,000 USD per year.Employers who pay their state unemployment tax in full and on time are eligible for a 5.4% tax credit, reducing the FUTA rate to 0.6%. |
| 8.25% – 13.65% | Total Employment Cost |
| Employee Payroll Contributions | |
| 6.20% | Federal Insurance Contributions Act (FICA) - Social Security, applied on salary up to 176,100 USD per year. |
| 1.45% | Federal Insurance Contributions Act (FICA) – Medicare.
An additional 0.9% should be withheld from employees earning above 200,000 USD per year. |
| 7.65% – 8.55% | Total Employee Cost |
| Federal Employee Income Tax | Annual |
| Federal Tax – Singles | |
| 10.00% | Up to 11,925 USD |
| 12.00% | 11,925 – 48,475 USD |
| 22.00% | 448,475 – 103,350 USD |
| 24.00% | 103,350 – 197,300 USD |
| 32.00% | 197,300 – 250,525 USD |
| 35.00% | 250,525 – 626,350 USD |
| 37.00% | Above 626,350 USD |
| Federal Tax – Married – Joint Filing | |
| 0.00% | Up to 23,850 USD |
| 12.00% | 23,850 – 96,950 USD |
| 22.00% | 96,950 – 206,700 USD |
| 24.00% | 206,700 – 394,600 USD |
| 32.00% | 394,600 – 501,050 USD |
| 35.00% | 501,050 – 751,600 USD |
| 37.00% | Above 751,600 USD |
| Federal Tax – Heads of Household | |
| 10.00% | Up to 17,000 USD |
| 12.00% | 17,000 – 64,850 USD |
| 22.00% | 64,850 – 103,350 USD |
| 24.00% | 103,350 – 197,300 USD |
| 32.00% | 197,300 – 250,500 USD |
| 35.00% | 250,500 – 626,350 USD |
| 37.00% | Above 626,350 USD |
| Standard Deduction and Personal Exemption | |
| 15,000 USD | Single |
| 30,000 USD | Married Filing Jointly |
| 22,500 USD | Head of Household |
Minimum Wage
General
The Federal minimum wage is 7.25 USD per hour for employees that are covered by the Fair Labor Standards Act.
MINIMUM WAGE (PER MONTH)
Highest
Lowest
Vacation Days
Public Holidays
Highest
Lowest
PAID MATERNITY LEAVE (DAYS)
Highest
Lowest
Termination
| Salary payment interval / date | Final payment on termination | Bank account/payment method requirement |
|---|---|---|
| Under the Fair Labor Standards Act (FLSA) the employer must pay wages for hours worked in the pay period in a “regular, predetermined payday” schedule. But federal law does not specify a fixed frequency (weekly/bi-weekly/monthly) or a fixed numerical date for all employers. | Under federal rules, the employer must pay an employee for wages earned in the last pay period by the regular payday for that period. There is no federal law requiring a separate or special deadline for “final pay” beyond the next regularly scheduled payday. | The FLSA requires wages to be paid in “cash or negotiable instrument payable at par” (e.g., check) – so payment must be in legal tender or its equivalent. It does not require that payment be made only via a bank account or electronic transfer in all cases. |
Minimal Statutory Termination Costs
Some states require PTO balances to be paid out during termination, also any bonuses or commissions that were promised in the employment contract
Common Benefits
- Cell phone allowance $75 -$100 a month.
- Life insurance.
- Home/internet allowance $100 -$200 a month.
Stay up to date on payroll & employment law changes
Version History
May 23, 2022
Payroll contributions and personal income tax rates have been updated.
Questions & Answers
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Payroll and Benefits Guide
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Payroll and Benefits Guide
in United States – Federal
What’s covered in this guide:
- Employer/employee contributions
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Public Holidays Calendar
United States – Federal
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ICS
| Date | Day | Holiday | Notes |
|---|---|---|---|
| 1 January 2026 | Thursday | New Year’s Day | Standard holiday |
| 19 January 2026 | Monday | Birthday of Martin Luther King, Jr. | Standard holiday |
| 16 February 2026 | Monday | Washington’s Birthday (Presidents’ Day) | Standard holiday |
| 25 May 2026 | Monday | Memorial Day | Standard holiday |
| 19 June 2026 | Friday | Juneteenth National Independence Day | Standard holiday |
| 3 July 2026 | Friday | Independence Day (Observed) | Standard holiday |
| 7 September 2026 | Monday | Labor Day | Standard holiday |
| 12 October 2026 | Monday | Columbus Day (Indigenous Peoples’ Day) | Standard holiday |
| 11 November 2026 | Wednesday | Veterans Day | Standard holiday |
| 26 November 2026 | Thursday | Thanksgiving Day | Standard holiday |
| 25 December 2026 | Friday | Christmas Day | Standard holiday |
Can you carry over unused paid leave?
In general, there are no laws regarding paid annual vacation in the United States. If paid leave is given to an employee, it is generally outlined in the employment agreement or company policy. This usually will include provisions such as how paid vacation must be used.