Arizona Payroll Calculator (Employer)
For employers: estimate the full cost of an Arizona employee beyond gross wages, including your matching Social Security and Medicare contributions and Arizona's State Unemployment Tax (SUTA). New Arizona employers pay a flat 2.0% SUTA rate on the first $8,000 of each employee's wages for their first two years.
Total cost per employee (wages + employer taxes)
$64,750
- Gross wages
- $60,000
- Employer Social Security match
- + $3,720
- Employer Medicare match
- + $870
- Arizona SUTA (2.0%)
- + $160
What Employers Pay On Top of Wages
Beyond the wages you pay an employee, you're also responsible for matching their 6.2% Social Security and 1.45% Medicare withholding, plus Arizona's SUTA unemployment tax — a cost employees never see on their pay stub. If you need the employee-facing take-home pay number instead, use the Arizona Paycheck Calculator. For registration, filing deadlines, and rate details, see Arizona Payroll Taxes.
Frequently Asked Questions
How much does an employee really cost in Arizona beyond their salary?+
Add roughly 7.65% for employer-matched Social Security and Medicare, plus Arizona SUTA (2.0% on the first $8,000 of wages for new employers, or your experience-rated percentage) — typically an extra 8-10% of wages for most employers in their first two years.
What is Arizona SUTA?+
SUTA (State Unemployment Tax Act) is an employer-paid tax that funds Arizona's unemployment insurance program. New employers pay a flat 2.0% for their first two years; established employers are assigned an experience rate based on their claims history.
Tax year 2026 · Data reviewed 2026-08-15 · See methodology and sources. Estimates only — not tax or legal advice.