SUTA Wage Bases by State (2026–2027)

What is SUTA?

State unemployment tax (SUTA) is the tax employers pay to fund their state’s unemployment insurance program. It is a percentage of the taxable wages you pay each employee, up to the state’s taxable wage base. Some states use a formula to set the wage base, others set it as a percentage of the state’s average annual wage, and a few simply follow the $7,000 FUTA wage base.

Requirements for Employers

Each state requires employers to submit quarterly contribution and wage reports containing some or all of the following information:

Total wages paid
Taxable wages paid
Nontaxable wages paid
Number of employees each month
Gross wages for each employee
Taxable/nontaxable wages breakdown for each employee
Number of weeks worked by each employee

How FUTA Affects SUTA

The Federal Unemployment Tax Act (FUTA) requires that each state’s taxable wage base be at least equal to the FUTA wage base of $7,000 per employee, although most states’ wage bases exceed the required amount.

The table below lists every state’s taxable wage base for 2027 and 2026, with 2027 shown as states announce it. Bookmark this page to make year-end processing easier, and see our year-end payroll and HR guide for the full checklist.

Last updated October 20, 2026. States announce 2027 wage bases through December, and we update this page as they do. See the sources at the bottom of this page.

SUTA Wage Bases

2027	2026
Alabama: $8,000†	Alabama: $8,000
Alaska: TBA	Alaska: $54,200
Arizona: $8,000†	Arizona: $8,000
Arkansas: TBA	Arkansas: $7,000
California: $7,000†	California: $7,000
Colorado: $32,100	Colorado: $30,600
Connecticut¹: TBA	Connecticut¹: $27,000
Delaware: $16,500	Delaware: $14,500
District of Columbia: $9,000†	District of Columbia: $9,000
Florida: $7,000†	Florida: $7,000
Georgia: $9,500†	Georgia: $9,500
Hawaii: TBA	Hawaii: $64,500
Idaho: TBA	Idaho: $58,300
Illinois: $14,592	Illinois: $14,250
Indiana: $9,500†	Indiana: $9,500
Iowa: $21,100	Iowa: $20,400
Kansas: TBA	Kansas: $15,100
Kentucky: $12,000†	Kentucky: $12,000
Louisiana: TBA	Louisiana: $7,000
Maine: $12,000†	Maine: $12,000
Maryland: $8,500†	Maryland: $8,500
Massachusetts: $15,000†	Massachusetts: $15,000
Michigan⁴: TBA	Michigan⁴: $9,000
Minnesota: TBA	Minnesota: $44,000
Mississippi: $14,000†	Mississippi: $14,000
Missouri: TBA	Missouri: $9,000
Montana: TBA	Montana: $47,300
Nebraska²: $9,000†	Nebraska²: $9,000
Nevada: $45,400	Nevada: $43,700
New Hampshire: $14,000†	New Hampshire: $14,000
New Jersey⁵: $46,400	New Jersey: $44,800
New Mexico: TBA	New Mexico: $34,800
New York: TBA	New York: $17,600
North Carolina: TBA	North Carolina: $34,200
North Dakota: TBA	North Dakota: $46,600
Ohio: $9,000†	Ohio: $9,000
Oklahoma: $24,400	Oklahoma: $25,000
Oregon: TBA	Oregon: $56,700
Pennsylvania: $10,000	Pennsylvania: $10,000
Rhode Island³: TBA	Rhode Island³: $30,800
South Carolina: $14,000†	South Carolina: $14,000
South Dakota: $15,000†	South Dakota: $15,000
Tennessee: TBA	Tennessee: $7,000
Texas: $9,000†	Texas: $9,000
Utah: TBA	Utah: $50,700
Vermont: TBA	Vermont: $15,400
Virginia: $8,000†	Virginia: $8,000
Washington: $82,000	Washington: $78,200
West Virginia: $9,500†	West Virginia: $9,500
Wisconsin: $14,000	Wisconsin: $14,000
Wyoming: $34,900	Wyoming: $33,800

¹ Connecticut – The wage base is adjusted annually beginning in 2025.

² Nebraska – The wage base is $24,000 for employers in the highest UI tax rate group (category 20).

³ Rhode Island – The wage base is $32,300 in 2026 for employers in the highest UI tax rate group.

⁴ Michigan – The wage base is $9,500 for employers that are delinquent on unemployment insurance payments.

⁵ New Jersey – The 2027 wage base of $46,400 is proposed and becomes final when the state adopts the rule.

† Set by state law. No change to the 2027 base has been announced.

TBA – The state has not yet announced its 2027 wage base. We update this table as states publish.

How This Affects Your Company

FUTA tax is 6.0% of the first $7,000 you pay each employee. Most employers get a credit of up to 5.4% for paying state unemployment tax on time, which brings the effective rate down to 0.6%, or $42 per employee. State and local governments, 501(c)(3) nonprofit organizations, and federally recognized Native American tribes are generally exempt from FUTA (see the Form 940 instructions). You report FUTA tax each year on Form 940, which is due January 31 of the following year. For 2026 wages, that is February 1, 2027, because January 31 falls on a Sunday. If you owe more than $500 in FUTA tax, you must deposit it quarterly.

The credit shrinks if your state has not repaid money it borrowed from the federal government to pay unemployment benefits. This is called a credit reduction, and you report it on Schedule A of Form 940. For 2025 wages, California has a 1.2% credit reduction and the U.S. Virgin Islands has 4.5%. For example, a California company with 10 employees who each earn at least $7,000 pays an effective FUTA rate of 1.8% (0.6% plus 1.2%). That is $126 per employee and $1,260 in total, instead of $42 per employee and $420.

How APS Can Help

Here’s how APS’ system helps simplify SUTA management:

Our payroll tax compliance experts handle all of the paperwork and filings for SUTA, keeping you in compliance.
We'll update the SUTA wage base for your company once you provide your new wage base information.
We'll help with preparation of your quarterly SUTA tax forms and filings.
We provide accurate calculations for SUTA payments.

SUTA Wage Base FAQs

What is the SUTA wage base?

The SUTA wage base is the maximum amount of each employee’s wages that is subject to state unemployment tax in a calendar year. Once an employee’s wages pass that amount, you stop paying SUTA on them for the rest of the year. Each state sets its own base. In 2026, state wage bases range from $7,000 to $78,200.

Which state has the highest SUTA wage base?

Washington has the highest SUTA wage base in 2026 at $78,200, and it rises to $82,000 in 2027. Hawaii ($64,500) and Idaho ($58,300) are next for 2026.

Which states have the lowest SUTA wage base?

In 2026, Arkansas, California, Florida, Louisiana, and Tennessee use a $7,000 wage base, the same as the FUTA wage base.

When do states announce next year’s SUTA wage base?

It varies by state. Washington and Iowa announced their 2027 wage bases in June 2026, but many states wait until the fall or December. Check your state workforce agency for the official number, and use the table above, which we update as states publish.

What is the difference between SUTA and FUTA?

SUTA is the state unemployment tax. Each state sets its own wage base and tax rate. FUTA is the federal unemployment tax: 6.0% on the first $7,000 you pay each employee. Most employers receive a credit of up to 5.4% for paying SUTA on time, so the effective FUTA rate is usually 0.6%. See IRS Topic 759 for the filing and deposit rules.

Sources

Wage base figures on this page come from state workforce agency pages, state law, and the U.S. Department of Labor. We last checked them on October 20, 2026. Confirm your wage base with your state agency before you file.