Massachusetts (MA) – 2023

Massachusetts Effective 1/1/2023 Federal Effective 7/24/2009

Minimum WageMassachusettsFederal
Minimum Wage$15.00$7.25
Minimum Cash Wage (Tipped Employee)$6.75$2.13
Maximum Tip Credit$8.25$5.12
State Income TaxMassachusettsFederal
Wage WithholdingTables
Supplemental Wage / Bonus Rate5.00%
Unemployment InsuranceMassachusettsFederal
Maximum 2023 Taxable Earnings (Unchanged from 2022)$15,000
Employee 2023 DeductionNone
Employer 2023 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)0.56 – 8.62%
Standard 2023 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)1.45%
Employer Medical Assistance Contribution 2023 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 PermittedYes
Workforce Training Fund 2023 Rate0.056%

Federal (FED) – 2023

Minimum WageFederal
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 EarningsNo Limit
FICA (SOCIAL SECURITY)Federal
Maximum Taxable Earnings (Increased from $147,000 in 2022)$160,200
Employee / Employer Tax Rate (Unchanged from 2022)6.20%
FUTA (EMPLOYER-PAID)Federal
Normal Net Tax0.60%
Maximum Credit5.40%
Percent of Taxable Wages6.00%
Maximum Taxable Earnings$7,000
Health Savings AccountsFederal
Catch-up Contribution Limit (Employee / Employer) (Unchanged from 2022)$1,000
Family Contribution Limit (Employee / Employer) (Increased from $7,300 in 2022)$7,750
Self-Only Contribution Limit (Employee / Employer) (Increased from $3,650 in 2022)$3,850
Pension PlansFederal
Catch-up Contribution Limit – 401(k) & 403(b) plans (age 50 or older) (Increase from 6,500 in 2022)$7,500
Supplemental Wage / Bonus RatesFederal
Pay over $1 Million (Unchanged from 2022)37%
Flat Rate Withholding Method (Unchanged from 2022)22%

Massachusetts State Resources

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