Manage Payroll Tax in - Minnesota | Tax Compliance

Taxes in Minnesota

Employment taxes and statutory fees affect both your payroll and your employees’ paychecks in Minnesota.

Note that your employees may be liable for additional local taxes in certain areas.

Employer taxes

6 %

Federal unemployment insurance tax (FUTA) (charged on the first $7,000 an employee earns per year)

Up to 8.9%

State unemployment insurance tax (SUTA)

6.2 %

FICA (Social security)

1.45 %

FICA (Medicare)

Employee taxes

10% to 37%

Federal income tax

5.35% to 9.85%

State income tax

6.2 %

FICA (Social security)

1.45 %

FICA (Medicare)