Massachusetts New Employer Information
Congratulations on your decision to become a new employer in Massachusetts! You will need a few things in place before you run your first payroll:
Federal and State Tax Accounts
Federal Tax Accounts:
- Although it is not required, we recommend that register for this federal tax paying system. You caneasily register online。This account will be helpful for you to make tax payments online or view whatever tax filings have been made on your behalf by Patriot if you are a Full Service Payroll customer.
- To find out more about the EFTPS, read our article,“What Is EFTPS?”
State of Massachusetts Tax Accounts:
- New employers will need toregister their business online马萨诸塞州部门的收入。Registration will be be necessary for a state income tax (SIT) withholding account.
- Massachusetts new employers will also need to register online with theUI Employer Registration Portalfor a state unemployment insurance (SUI) tax account once you have paid your employees. NOTE: You will not be able to get an EIN with the MA Labor and Workforce Development untilafteryou have paid your first employee.
- For more information, visit theMassachusetts Labor and Workforce Development.
- The Massachusetts new employer SUTA rate for non-construction employers is 2.42% for 2022(new construction employers use 6.72% for 2022).
- For your information: In addition to the unemployment insurance contribution, all employers are subject to a Workforce Training Fund of 0.056% for 2022. However, you DO NOT need to include this rate in your SUTA rate for our software. It is automatically calculated.
- You will be assigned an unemployment tax rate (SUTA) every year based on your industry and experience rating.
- Massachusetts new employers are exempt from the EMAC (Employer Medical Assistance Contribution) for the first 3 years. For more information,visit the Massachusetts Office of Labor and Workforce Development.
Setting Up Your New Employee:
- Massachusetts employers are required by law to report all new hires within14 daysfrom the date of hire or rehire.
- Employers in Massachusetts can report new hires onForm NHRwith the Department of Revenue. Fax the form to 617-376-3262 or report online withMassTaxConnect。
Once you have all the necessary information, you will be able to set up your payroll for your business.
You will want to keep all payroll records for at least three years. For more information, read our help article, “What Employers Should Know About Employee Payroll Records”
Let us know if you have any questions. We are here to help!
This is not an all-inclusive list and employers should contact their federal, state, and local government for a full list of compliances.
Let us know if you liked the post. That’s the only way we can improve.