New Jersey (NJ) – 2023
New Jersey Effective 1/1/2023 Federal Effective 7/24/2009
| Minimum Wage | New Jersey | Federal |
|---|---|---|
| Minimum Wage | $14.13 | $7.25 |
| Minimum Cash Wage (Tipped Employee) | $5.26 | $2.13 |
| Maximum Tip Credit | $8.87 | $5.12 |
| State Income Tax | New Jersey | Federal |
| Wage Withholding | Tables | |
| Supplemental Wage / Bonus Rate | No provision, but for taxable wages over $500,000 withhold at 9.9%. For taxable wages over $1,000,000 withhold at 11.8%. | |
| Unemployment Insurance | New Jersey | Federal |
| Maximum 2023 Taxable Earnings (Increased from $39,800 in 2022) | $41,100 | |
| Employee 2023 Deduction (0.3825%-UI + 0.0425%-Workforce Dev/Supplemental Workforce) | 0.425% | |
| Maximum 2023 Employee Deduction | $174.68 | |
| Employer FY2023 Tax Rates (Includes Workforce Dev/Supplemental Workforce) | 0.6 – 6.4% | |
| Standard FY2023 New Employer Rate (2.9825%-UI + 0.1175%-Workforce Dev/Supplemental Workforce) | 3.10% | |
| Voluntary Contribution Permitted | Yes | |
| Disability Insurance | New Jersey | Federal |
| Maximum 2023 Taxable Earnings Employee (Increased from $151,900 in 2022) | $156,800 | |
| Maximum 2023 Taxable Earnings Employer (Increased from $39,800 in 2022) | $41,100 | |
| Employee 2023 Deduction | 0.00% | |
| Employer FY2023 Tax Rates | 0.1 – 0.75% | |
| Standard FY2023 New Employer Rate | 0.50% | |
| Family Leave Insurance – Employee 2023 Deduction | 0.06% | |
| Family Leave Insurance – Maximum Employee 2023 Deduction | $94.06 |
Federal (FED) – 2023
| 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 |
| 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 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 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 Plans | Federal |
| Catch-up Contribution Limit – 401(k) & 403(b) plans (age 50 or older) (Increase from 6,500 in 2022) | $7,500 |
| Supplemental Wage / Bonus Rates | Federal |
| Pay over $1 Million (Unchanged from 2022) | 37% |
| Flat Rate Withholding Method (Unchanged from 2022) | 22% |
New Jersey State Resources
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