Massachusetts (MA) – 2023
Massachusetts Effective 1/1/2023 Federal Effective 7/24/2009
| Minimum Wage | Massachusetts | Federal |
|---|---|---|
| Minimum Wage | $15.00 | $7.25 |
| Minimum Cash Wage (Tipped Employee) | $6.75 | $2.13 |
| Maximum Tip Credit | $8.25 | $5.12 |
| State Income Tax | Massachusetts | Federal |
| Wage Withholding | Tables | |
| Supplemental Wage / Bonus Rate | 5.00% | |
| Unemployment Insurance | Massachusetts | Federal |
| Maximum 2023 Taxable Earnings (Unchanged from 2022) | $15,000 | |
| Employee 2023 Deduction | None | |
| Employer 2023 Tax Rates (Plus 0.37% solvency assessment, 0.056% workforce training fund, and a COVID-19 Recovery Assessment equal to 126.40% of Employer’s UI Experience rate) | 0.56 – 8.62% | |
| Standard 2023 New Employer Rate (Plus 0.37% solvency assessment, 0.056% workforce training fund surcharge, a COVID-19 Recovery Assessment equal to 126.40% of Employer’s UI Experience Rate) | 1.45% | |
| Employer Medical Assistance Contribution 2023 Rates (0.12% fourth year of liability; 0.24% fifth year of liability; and 0.34% sixth year or later of liability) | 0.12 – 0.34% | |
| Voluntary Contribution Permitted | Yes | |
| Workforce Training Fund 2023 Rate | 0.056% |
Federal (FED) – 2023
| Minimum Wage | Federal |
|---|---|
| Youth Minimum Wage | $4.25 |
| Maximum Tip Credit | $5.12 |
| Minimum Cash Wage (Tipped Employee) | $2.13 |
| Minimum Wage | $7.25 |
| FICA (MEDICARE) | Federal |
| Additional Medicare Tax Withholding on Wages > $200,000 (No Employer Match) | 0.90% |
| Maximum Taxable Earnings | No Limit |
| FICA (SOCIAL SECURITY) | Federal |
| Maximum Taxable Earnings (Increased from $147,000 in 2022) | $160,200 |
| Employee / Employer Tax Rate (Unchanged from 2022) | 6.20% |
| FUTA (EMPLOYER-PAID) | Federal |
| Normal Net Tax | 0.60% |
| Maximum Credit | 5.40% |
| Percent of Taxable Wages | 6.00% |
| Maximum Taxable Earnings | $7,000 |
| Health Savings Accounts | Federal |
| Catch-up Contribution Limit (Employee / Employer) (Unchanged from 2022) | $1,000 |
| Family Contribution Limit (Employee / Employer) (Increased from $7,300 in 2022) | $7,750 |
| Self-Only Contribution Limit (Employee / Employer) (Increased from $3,650 in 2022) | $3,850 |
| Pension Plans | Federal |
| Catch-up Contribution Limit – 401(k) & 403(b) plans (age 50 or older) (Increase from 6,500 in 2022) | $7,500 |
| Supplemental Wage / Bonus Rates | Federal |
| Pay over $1 Million (Unchanged from 2022) | 37% |
| Flat Rate Withholding Method (Unchanged from 2022) | 22% |
Massachusetts State Resources
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