North Carolina payroll tax rates
Unemployment tax, income tax withholding, minimum wage and paid leave in North Carolina, each with its effective date and the agency page it comes from.
Unemployment insurance
Checked on October 5, 2026.
Income tax withholding
| Item | Value | Effective | Source |
|---|---|---|---|
| Agency | North Carolina Department of Revenue (opens in a new tab) | NCDOR, Withholding Tax (opens in a new tab) | |
| Withholding rates | 3.99% flat | NCDOR, NC-30 2026 Income Tax Withholding Tables and Instructions for Employers (PDF) (opens in a new tab) | |
| Supplemental wages | 4.09% optional flat rate | NCDOR, NC-30 2026 Income Tax Withholding Tables and Instructions for Employers (PDF) (opens in a new tab) | |
| Reciprocity | None | NCDOR, NC-30 2026 Income Tax Withholding Tables and Instructions for Employers (PDF) (opens in a new tab) | |
| Employee's withholding form | Form NC-4 | NCDOR, Withholding Tax Frequently Asked Questions (opens in a new tab) | |
| Local income taxes | No | NC General Statutes, G.S. 160A-206 (cities) and G.S. 153A-146 (counties), General power to impose taxes (opens in a new tab) |
Checked on October 5, 2026.
Minimum wage
| Item | Value | Effective | Source |
|---|---|---|---|
| Minimum wage | $7.25 | NC Department of Labor, Minimum Wage in N.C. (opens in a new tab) | |
| Tipped employees, cash wage | $2.13 | NC Department of Labor, Minimum Wage in N.C. (opens in a new tab) | |
| Rises with inflation | No | NC General Statutes, G.S. 95-25.3, Minimum wage (opens in a new tab) | |
| Local rates | No local minimum wage: state law preempts local wage, hour, benefit and leave rules for private employers (G.S. 95-25.1(d)); local governments set pay only for their own staff. $7.25 statewide. | NC General Statutes, G.S. 95-25.1, Short title and legislative purpose; local governments preempted (opens in a new tab) |
Checked on October 5, 2026.
Paid family and medical leave
| Item | Value | Effective | Source |
|---|---|---|---|
| State program | None | NC Department of Labor, Promised Wages Including Wage Benefits (opens in a new tab) |
Checked on October 5, 2026.
Workers' compensation
| Item | Value | Effective | Source |
|---|---|---|---|
| Required | From 3 employeesRegularly employed; corporate officers count; 1 or more where work involves radiation | North Carolina Industrial Commission, Employers (opens in a new tab) | |
| State fund | None; private insurers | North Carolina Industrial Commission, Employers (opens in a new tab) |
Checked on May 14, 2026.
What a paycheck costs the employer in North Carolina
Employer taxes and contributions on one employee's pay in North Carolina, per check and for the year, at the rates a new employer pays. State rates are the ones on this page; federal rates are the ones on the federal payroll tax rates page.
- Employer taxes and contributions per check
- $213.47
- First check of the year
- Cost per check
- $2,521.16
- Pay included, first check
- Cost per year
- $64,974.00
- Pay included
Later checks cost less once pay passes a wage base: the year's last check costs $2,484.23, pay included.
| Item | Rate | First check | Per year | Source |
|---|---|---|---|---|
| Social Security, employer share | 6.2% on the first $184,500 | $143.08 | $3,720.00 | IRS, Publication 15 (2026), Employer's Tax Guide (opens in a new tab) |
| Medicare, employer share | 1.45% of all pay | $33.46 | $870.00 | IRS, Publication 15 (2026), Employer's Tax Guide (opens in a new tab) |
| Federal unemployment (FUTA) | 0.6% on the first $7,000After the full 5.4% credit. Employers in a credit reduction state pay more. | $13.85None after check 4 | $42.00 | IRS, Publication 15 (2026), Employer's Tax Guide (opens in a new tab) |
| North Carolina unemployment | 1% on the first $34,2001.0% standard beginning rate until the employer qualifies for an experience rateSurcharges not included | $23.08None after check 15 | $342.00 | NC Division of Employment Security, Tax Rate Information (opens in a new tab) |
| Employer taxes and contributions | $213.47 | $4,974.00 | ||
| Pay | $2,307.69 | $60,000.00 | ||
| Pay plus employer costs | $2,521.16 | $64,974.00 |
Checked on October 5, 2026. Shows one employee's pay for a full calendar year, every check at the rates in force on October 13, 2026, with all pay subject to these taxes, the new employer rates and the full employer shares the law sets. An employer may choose to pay an employee's share too. Benefits and other costs are not included.
Common questions
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Payroll taxes calculated, deposited and filed in every state
Worklio HCM calculates, deposits and files payroll taxes in every state and locality, city, county and school district taxes included, and rates and rules update without you noticing. We help open state accounts when you hire somewhere new. Payroll and HCM for companies with 50 to 50,000+ employees.
Rates in other states
- Alabama
- Alaska
- Arizona
- Arkansas
- California
- Colorado
- Connecticut
- Delaware
- District of Columbia
- Florida
- Georgia
- Hawaii
- Idaho
- Illinois
- Indiana
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Massachusetts
- Michigan
- Minnesota
- Mississippi
- Missouri
- Montana
- Nebraska
- Nevada
- New Hampshire
- New Jersey
- New Mexico
- New York
- North Dakota
- Ohio
- Oklahoma
- Oregon
- Pennsylvania
- Rhode Island
- South Carolina
- South Dakota
- Tennessee
- Texas
- Utah
- Vermont
- Virginia
- Washington
- West Virginia
- Wisconsin
- Wyoming
Sources
The agency page or document behind each figure, as checked.
- NC Division of Employment Security, Employers (opens in a new tab)
- NC Division of Employment Security, Tax Rate Information (opens in a new tab)
- NC Division of Employment Security, Am I Required to Pay Taxes? (opens in a new tab)
- US DOL, FUTA Credit Reductions (Potential 2026 Credit Reductions, Jan 15, 2026) (opens in a new tab)
- NCDOR, Withholding Tax (opens in a new tab)
- NCDOR, NC-30 2026 Income Tax Withholding Tables and Instructions for Employers (PDF) (opens in a new tab)
- NCDOR, Withholding Tax Frequently Asked Questions (opens in a new tab)
- NC General Statutes, G.S. 160A-206 (cities) and G.S. 153A-146 (counties), General power to impose taxes (opens in a new tab)
- NC Department of Labor, Minimum Wage in N.C. (opens in a new tab)
- NC General Statutes, G.S. 95-25.3, Minimum wage (opens in a new tab)
- NC General Statutes, G.S. 95-25.1, Short title and legislative purpose; local governments preempted (opens in a new tab)
- NC Department of Labor, Promised Wages Including Wage Benefits (opens in a new tab)
- North Carolina Industrial Commission, Employers (opens in a new tab)
- IRS, Publication 15 (2026), Employer's Tax Guide (opens in a new tab)
General information, not legal or tax advice. Rules change; confirm current requirements with the relevant agency or your advisor. You remain responsible for your employment taxes.