New Jersey (NJ) – 2016

New Jersey

Minimum WageNew JerseyFederal
Minimum Wage$8.38$7.25
Minimum Cash Wage (Tipped Employee)$2.13$2.13
Maximum Tip Credit$6.25$5.12
Youth Minimum Wage$8.38$4.25
State Income TaxNew JerseyFederal
Wage WithholdingTables
Supplemental Wage / Bonus Rates: Flat rate withholding method (Unchanged from 2016)No provision, but for pay over $500,000 withhold at 9.9%
Supplemental Wage / Bonus Rates: Pay over $1 Million (Unchanged from 2016)No provision, but for pay over $500,000 withhold at 9.9%
Unemployment InsuranceNew JerseyFederal
Maximum 2017 Taxable Earnings$33,500 (Increased from $32,600 in 2016)
Employee Deduction0.505%
Workforce Development / Supplemental Workforce0.0425%
UI Fund0.3825%
Family Leave Insurance0.08%
Maximum 2016 Employee Deduction$164.63
Employer FY2017 Tax Rates(Effective July 1, 2016 – June 30, 2017) 0.5 – 5.8%
Standard FY2017 New Employer Rate(Effective July 1, 2016 – June 30, 2017) (UI-2.6825% + WF/SWF-0.1175%) 2.8%
Voluntary Contribution PermittedYes
Disability InsuranceNew JerseyFederal
Employee 2017 Deduction Rate0.20%
Standard FY2017 Tax Rates0.1 – 0.75%
New Employer FY2017 Rate0.50%

Federal (FED) – 2016

Minimum WageFederal
Youth Minimum Wage$4.25
Maximum Tip Credit$5.12
Minimum Cash Wage (Tipped Employee)$2.13
Minimum Wage$7.25
Additional Medicare Tax Withholding on Wages > $200,000 (No Employer Match)0.9%
Employee / Employer Tax Rate (Unchanged from 2016)1.45%
Maximum Taxable EarningsNo Limit
Employee / Employer Tax Rate (Unchanged from 2016)6.2%
Maximum Taxable Earnings (Increased from $118,500 in 2016)$127,200
Normal Net Tax0.6%
Maximum Credit5.4%
Percent of Taxable Wages6.0%
Maximum Taxable Earnings$7,000
Health Savings AccountsFederal
Catch-up Contribution Limit (Employee / Employer) (Unchanged from 2016)$1,000
Family Contribution Limit (Employee / Employer) (Unchanged from 2016)$6,750
Self-Only Contribution Limit (Employee / Employer) (Increased from $3,350 in 2016)$3,400
Supplemental Wage / Bonus RatesFederal
Pay over $1 Million (Unchanged from 2016)39.6%
Flat rate withholding method (Unchanged from 2016)25%

New Jersey State Resources

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