Maine · 2026 and 2027
Maine employer payroll taxes and employee cost: 2.23% SUTA on $12,000
In Maine, a $50,000 employee costs a new employer about $62,754 a year in 2026: 25.5% on top of pay for payroll taxes, unemployment insurance, state leave premiums, workers' comp and health coverage. Change any input to see your own number.
Calculate the cost of an employee in Maine
Estimates for planning, not tax or legal advice. Rates change and some depend on your business; confirm yours with your state agencies, insurer or payroll provider.
What a Maine employer pays on top of pay
Every line of the calculator, explained, with the official source of each number.
- Social Security and Medicare
7.65% of pay
The employer matches the employee: 6.2% Social Security on pay up to $184,500 in 2026 ($192,300 in 2027) and 1.45% Medicare on all pay.
per Social Security Administration, as of Jan 1, 2026
- Federal unemployment tax (FUTA)
$42 per employee
6% of the first $7,000 of each employee's pay, less the 5.4% credit for paying Maine unemployment tax on time.
per Internal Revenue Service, as of Jan 1, 2026
- Maine unemployment insurance (SUTA)
2.23% of $12,000
New employers pay 2.23% on the first $12,000 of each employee's pay in 2026. After two to three years the rate follows your own claims history.
per U.S. Department of Labor, Employment and Training Administration, as of Jan 1, 2026
- Maine Paid Family and Medical Leave (employer share)
0.5% from 15+ employees
Employers with 15 or more employees owe 1% of wages and may deduct half (0.5% employer); smaller employers owe 0.5%, which may all come from employees.
per Maine Department of Labor, Paid Family and Medical Leave, as of Jan 1, 2025
- Paid sick leave
40 hours a year
Employers with more than 10 employees give 1 hour of earned paid leave per 40 hours worked, up to 40 hours a year, for any reason. The hours are paid but not worked, so they raise the cost per hour worked.
per Maine Department of Labor, as of Jan 1, 2026
- Workers' compensation
$1.37 per $100 of payroll
Index rate for a standard mix of job classes: rank 11 of 51 (1 = highest) and 125% of the national median in the 2024 study. Your premium depends on your job classes and claims history.
per Oregon Department of Consumer and Business Services, as of Jan 1, 2024
- Health insurance (employer share)
$7,934 single / $19,027 family
Average employer contribution per enrolled employee a year at Maine private-sector employers that offer coverage, 2025 survey.
per Agency for Healthcare Research and Quality (MEPS-IC), as of Jan 1, 2025
- Minimum wage
$15.10 in 2026, $15.70 in 2027
Maine's rate since Jan 1, 2026. Portland and Rockland set higher local rates From January 1, 2027: $15.70.
per Maine Department of Labor, as of Jan 1, 2026
Checked against each source on Oct 23, 2026.
Two worked examples in Maine
Both for a new employer with 10 employees in a general industry in 2026, with single health coverage at the state average.
Salaried employee at $50,000
A $50,000 salary, 40 hours a week.
| Pay for hours worked2,080 hours | $50,000 |
|---|---|
| Social Security (employer share)6.2% of $50,000 | $3,100 |
| Medicare (employer share)1.45% of $50,000 | $725 |
| FUTA (federal unemployment tax)0.6% of $7,000 | $42 |
| State unemployment insurance (new employer)2.23% of $12,000 | $268 |
| Workers' compensation (state index rate)$1.37 per $100 of payroll | $685 |
| Health insurance (single coverage, state average)average employer contribution | $7,934 |
| Total cost a year | $62,754 |
25.5% on top of pay · $30.17 per hour worked
Hourly employee at $18 an hour
$18 an hour for 40 hours a week, 52 weeks.
| Pay for hours worked2,080 hours | $37,440 |
|---|---|
| Social Security (employer share)6.2% of $37,440 | $2,321 |
| Medicare (employer share)1.45% of $37,440 | $543 |
| FUTA (federal unemployment tax)0.6% of $7,000 | $42 |
| State unemployment insurance (new employer)2.23% of $12,000 | $268 |
| Workers' compensation (state index rate)$1.37 per $100 of payroll | $513 |
| Health insurance (single coverage, state average)average employer contribution | $7,934 |
| Total cost a year | $49,061 |
31% on top of pay · $23.59 per hour worked
What changes for Maine employers in 2027
- The Social Security wage base rises from $184,500 to $192,300: up to $484 more employer tax for employees paid above it. per Social Security Administration, as of Jan 1, 2027
- Maine's minimum wage becomes $15.70 an hour on January 1, 2027. per Maine Department of Labor, as of Jan 1, 2027
Only changes already official on Oct 23, 2026. Most states publish next year's unemployment insurance rates in November and December; this page is updated when they do.
Frequently asked questions
How much does it cost to hire an employee in Maine?
About $62,754 a year in 2026 for a $50,000 employee of a new Maine employer with 10 staff: $12,754 above pay, of which $7,934 is health coverage, $685 workers' comp and $268 Maine unemployment tax. At $18 an hour full time: $49,061.
What payroll taxes do employers pay in Maine?
Maine new employers pay $4,135 yearly on a $50,000 salary, $268 of it state unemployment tax.
What is the Maine SUTA rate for new employers in 2026?
2.23% on the first $12,000 of each employee's pay: up to $268 per employee a year.
What is the minimum wage in Maine in 2027?
$15.70 an hour from January 1, 2027, after $15.10 an hour in 2026: $32,656 for a full-time year.
Is paid sick leave required in Maine?
Yes. Employers with more than 10 employees give 1 hour of earned paid leave per 40 hours worked, up to 40 hours a year, for any reason. That is 40 paid hours a year for a full-time Maine employee at 100 employees.
How much does workers' comp cost in Maine?
$1.37 per $100 of payroll at Maine's index rate (rank 11 of 51, 125% of the median): about $685 on $50,000 of pay.
How much do Maine employers pay for health insurance?
$7,934 a year per employee with single coverage and $19,027 with family coverage, the average Maine private-employer share of $9,803 and $26,106 premiums in 2025.
Does Maine have a paid family leave or disability tax for employers?
Employers with 15 or more employees owe 1% of wages and may deduct half (0.5% employer); smaller employers owe 0.5%, which may all come from employees.
More employer cost pages
States with a similar employer cost
Data and rules for every state
Software and services for these costs
- Payroll Software
Calculates and files these payroll taxes for every state you hire in.
- PEO Services
Takes on payroll taxes, workers' comp and benefits, often at group rates.
- Benefits Administration
Runs the health plan and leave programs behind the benefits lines.
Benefits and workers’ comp are most of this cost
A PEO pools employers for health insurance and workers’ comp, often at group rates. Compare PEOs we research, with verified prices and features.