All About New Jersey Payroll Taxes

PaycheckCity’s Payroll Resources houses all of the tax research behind the paycheck calculators on PaycheckCity. At the new year, hundreds of payroll tax rates change, including state taxes, local taxes, rates, and jurisdictions. On PaycheckCity, you can find free of charge all of Symmetry Software’s—parent company of PaycheckCity—tax research. New Jersey is always one of the most requested and searched states for payroll tax information. Read this article for our current research on New Jersey taxes including state tax, unemployment, income tax, and more.

New Jersey State Tax Information-State Links

Division of the Treasury - Department of Taxation
Department of Labor and Workforce Development

Withholding Requirements:
Register as an employer by filing Form NJ-REG which can be found here. Employee's Withholding Allowance Certificate - Form NJ W-4

Withholding Method = formula

Supplemental Rate = Add to regular wages for current or preceding payroll period, compute tax on total, and subtract tax withheld from regular wages.

Local Taxes:

Newark payroll taxes and quarterly 1.0% (employer), Contact the City of Newark-Payroll at 973-733-3770.

State Unemployment Insurance (SUI):

Reserve ratio formula Contribution rate Schedule D:0.60% to 6.40% on $31,500 for 2014 New employers use 3.4% on $31,500 for 2014
Workers use 0.4250% on $31,500 for 2014 Employee rate includes the following:
*0.00% -Health Care subsidy Fund;
*0.3825% -Unemployment Compensation Fund;
*0.0425% -Workforce Development Fund

State Disability Insurance (SDI):
Employer rate - new employers pay .5%.
All others are experience rated with a wage limit of $31,500 for 2014
Employee rate - 0.38% on $31,500 for 2014

Family Leave Insurance (FLI):

Employee rate - .1% up to wage base of $31,500 for 2014

State Labor Laws:

Minimum wage - The federal minimum wage rate applies for 2013 and $8.25 for 2014
Termination Pay - Terminated/Quit - next regular payday.

New Hire Reporting:

Employers must report hiring, rehiring, and return to work within 15 days if through electronic media, otherwise 20 days on Form W-4 (Employees Withholding Allowance Certificate) to:
New Hire Operations Center
P.O. Box 4654 Trenton, NJ 08650-4654
Phone: 877-654-4737
Fax: 800-304-491
To report online click here.

Remit Withholding for Child Support to

New Jersey Family Support Payment Center
P.O. Box 4880 Trenton, NJ 08650-4880 800-559-3772
To report online click here.

Reciprocal States:

PennsylvaniaTo run a paycheck calculation, visit the New Jersey Paycheck Calculator at PaycheckCity. paycheckcity.com is a free online resource featuring a compilation of research, collaboration and web tools for use by payroll professionals. Interested in staying on top of payroll taxes as they change throughout the year? Check out Symmetry Software’s Tax Notification Service.

*These rates are accurate as of January 31, 2014.