Massachusetts Effective 1/1/2023 Federal Effective 7/24/2009
Minimum Wage
Massachusetts
Federal
Minimum Wage
$15.00
$7.25
Minimum Cash Wage (Tipped Employee)
$6.75
$2.13
Maximum Tip Credit
$8.25
$5.12
State Income Tax
Massachusetts
Federal
Wage Withholding
Tables
Supplemental Wage / Bonus Rate
5.00%
Unemployment Insurance
Massachusetts
Federal
Maximum 2024 Taxable Earnings (Unchanged from 2023)
$15,000
Employee 2024 Deduction
None
Employer 2024 Tax Rates (Plus 0.37% solvency assessment, 0.056% workforce training fund, and a COVID-19 Recovery Assessment equal to 126.40% of Employer’s UI Experience rate)
0.293 – 4.469%
Standard 2024 New Employer Rate (Plus 0.37% solvency assessment, 0.056% workforce training fund surcharge, a COVID-19 Recovery Assessment equal to 126.40% of Employer’s UI Experience Rate)
1.87%
Employer Medical Assistance Contribution 2024 Rates (0.12% fourth year of liability; 0.24% fifth year of liability; and 0.34% sixth year or later of liability)
0.12 – 0.34%
Voluntary Contribution Permitted
Yes
Workforce Training Fund 2024 Rate
0.056%
Massachusetts Disability Insurance
Massachusetts
Federal
Paid Family Leave Insurance – Employee 2024 Family Deduction (Wage Base -$168,600)
0.18% of employee’s wages
Paid Family Leave Insurance – Maximum Employee Family 2024 Deduction
$303.48
Paid Family Leave Insurance – Employee 2024 Medical Deduction (Wage Base -$168,600)
0.28% of employee’s wages
Paid Family Leave Insurance – Maximum Employee Medical 2024 Deduction
$472.08
Federal (FED) – 2024
Minimum Wage
Federal
Youth Minimum Wage
$4.25
Maximum Tip Credit
$5.12
Minimum Cash Wage (Tipped Employee)
$2.13
Minimum Wage
$7.25
FICA (MEDICARE)
Federal
Additional Medicare Tax Withholding on Wages > $200,000 (No Employer Match)
0.90%
Maximum Taxable Earnings
No Limit
Employee / Employer Tax Rate (Unchanged from 2023)
1.45%
FICA (SOCIAL SECURITY)
Federal
Maximum Taxable Earnings (Increased from $160,200 in 2023)
$168,600
Employee / Employer Tax Rate (Unchanged from 2023)
6.20%
FUTA (EMPLOYER-PAID)
Federal
Normal Net Tax
0.60%
Maximum Credit
5.40%
Percent of Taxable Wages
6.00%
Maximum Taxable Earnings
$7,000
Health Savings Accounts
Federal
Catch-up Contribution Limit (Employee / Employer) (Unchanged from 2023)
$1,000
Family Contribution Limit (Employee / Employer) (Increased from $7,750 in 2023)
$8,300
Self-Only Contribution Limit (Employee / Employer) (Increased from $3,850 in 2023)
$4,150
Pension Plans
Federal
Catch-up Contribution Limit – 401(k) & 403(b) plans (age 50 or older) (Unchanged from $7,500 in 2023)
$7,500
Contribution Limit – 401(k) & 403(b) plans (Increased from $22,500 in 2023)
$23,000
Supplemental Wage / Bonus Rates
Federal
Pay over $1 Million (Unchanged from 2023)
37%
Flat Rate Withholding Method (Unchanged from 2023)
