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REMOTE EMPLOYEES

Hiring a remote employee in Mississippi

Your company is in another state and one employee lives and works from home in Mississippi. Which state's taxes apply, unemployment, paid leave and Mississippi's employer rules, each with its official source.

Facts from the official sources listed at the end of this page; the oldest was read from an archived copy dated September 13, 2026. For employers. General information, not legal or tax advice: confirm a rule with the agency before you rely on it.

Mississippi at a glance

Income tax
Mississippi withholding
Reciprocity
None
Unemployment
$14,000 wage base, 1% new employer
Paid leave
None
New hire report
Within 15 days

Which state's taxes apply

Work state
Mississippi taxes wages for work done in Mississippi. Withhold Mississippi income tax on the employee's wages.Source: Mississippi DOR, Pub. 89-700, Withholding Income Tax Tables and Employer Instructions (Rev. 07/25; file revised 1/13/2026) (PDF) (opens in a new tab), checked October 5, 2026
Withholding form
Form 89-350Source: Mississippi DOR, Pub. 89-700, Withholding Income Tax Tables and Employer Instructions (Rev. 07/25; file revised 1/13/2026) (PDF) (opens in a new tab), checked October 5, 2026
Reciprocity
No state exempts Mississippi residents from its withholding by reciprocity.Source: Mississippi DOR, Pub. 89-700, Withholding Income Tax Tables and Employer Instructions (Rev. 07/25; file revised 1/13/2026) (PDF) (opens in a new tab), checked October 5, 2026
Convenience rules
If your company is in Delaware, New York or Pennsylvania, the employee is assigned to an office there and works there on some days, that state taxes the days worked from home in Mississippi for the employee's convenience.Source: Delaware Division of Revenue, 2025 Form PIT-NON Instructions, Non-Resident Individual Income Tax Return (PDF) (opens in a new tab), checked October 6, 2026; NYS DTF, TSB-M-06(5)I, New York Tax Treatment of Nonresidents and Part-Year Residents: Application of the Convenience of the Employer Test to Telecommuters and Others (May 15, 2006, PDF) (opens in a new tab), checked October 6, 2026; PA Department of Revenue, PA Personal Income Tax Guide, Gross Compensation (opens in a new tab), checked October 6, 2026
Office days in your company's state
That state's day limit, if it has one, decides whether it withholds on those days: see its page, or the helper below.
An employee from another state working in Mississippi
Mississippi sets no day count before a nonresident's wages for work there are withheld.Source: Mississippi DOR, Pub 89-700-25-1, Withholding Income Tax Tables and Employer Instructions (revised 1/13/2026, PDF) (opens in a new tab), checked October 6, 2026

Where to withhold: two states

Pick your company's state, the state where the employee lives and works from home, and the days a year the employee works at your office. The answer reads each state's rules from the data on these pages.

Your company is in
Employee lives and works from home in
Days a year at your office
Assigned to an employer office in New YorkMatters only in the states with a convenience rule (Connecticut, Delaware, New Jersey, New York and Pennsylvania), and only with office days there.

Income tax withholding

  • Mississippi: all wages.

No New York withholding: the employee does no work in New York.

Unemployment

Mississippi: the employee works from home there, so the work is localized in Mississippi.

Simplified: resident credits, dollar tests, local taxes and a move during the year are not worked out here. Each state's rule and its source are on its page.

Unemployment

The employee works from home in Mississippi, so the work is localized in Mississippi: pay Mississippi unemployment tax, not your company state's.

Agency
Mississippi Department of Employment Security (MDES)Source: MDES, Unemployment Tax (opens in a new tab), checked October 5, 2026
Wage base
$14,000 Fixed by lawSource: MDES, Employer FAQs (opens in a new tab), checked October 5, 2026
New employer rate
1% 1.0% in the first year of liability, 1.1% in the second, 1.2% in the third and later years until the employer qualifies for a modified (experience) rate; plus any Workforce Investment and Training contribution for the rate year Surcharges not includedSource: MDES, Employer FAQs (opens in a new tab), checked October 5, 2026

Open the account: Mississippi payroll tax registration

Mississippi has no paid leave program funded through payroll.

Mississippi employer rules

Employment law applies where the employee works, so these follow the employee into Mississippi.

Final pay
Not confirmed
Pay frequency
No general rule. Manufacturers with 50 or more employees and public service corporations pay at least every two weeks or twice a month.Source: U.S. Department of Labor, Wage and Hour Division, State Payday Requirements (revised January 1, 2023) (opens in a new tab), read from an archived copy dated September 13, 2026 (opens in a new tab)
Pay notice
No Mississippi law requires a written pay-rate notice at hire or when pay changes. The wage-payment statute (Miss. Code 71-1-35) sets pay frequency only.Source: Mississippi Legislature, 2025 House Bill 1307 (as introduced), Section 6 bringing forward Miss. Code §71-1-35 unchanged (PDF) (opens in a new tab), checked October 5, 2026
New hire reporting
Within 15 days of the date of hire.Source: Mississippi Legislature, 2023 Senate Bill 2810 (as sent to Governor; approved 2023-04-17), reenacting Miss. Code §43-19-46 (opens in a new tab), checked October 5, 2026
E-Verify
Every employer must register with and use E-Verify for all newly hired employees (all employers since July 1, 2011).Source: Mississippi Legislature, 2008 Senate Bill 2988 (Mississippi Employment Protection Act), approved by the Governor March 17, 2008 (PDF) (opens in a new tab), checked October 5, 2026
Sick leave
No state sick leave law.Source: Mississippi Legislature, 2013 House Bill 141, approved by the Governor March 25, 2013 (PDF) (opens in a new tab), checked October 5, 2026

Not confirmed: no official source settled it on the check date, so none is shown.

When the employee moves

Re-check the work state and the registrations before the next payroll: a move changes which state's withholding, unemployment, paid leave and employer rules apply.

Registering your business in Mississippi, and whether one remote employee creates tax nexus for your company, are separate questions this page does not cover.

More on Mississippi

WORKLIO HCM

Payroll for employees who work from home in another state

Worklio HCM withholds by home and work state, reciprocity included, and handles city and county taxes. We help open state withholding and unemployment accounts when you hire somewhere new, and our registration service can register your employer tax accounts for you. Taxes are calculated, deposited and filed in every state and locality, and when an agency notice arrives, you upload it and our tax team resolves it.

Remote employees in other states

Sources

The agency page or document behind each fact, as checked.

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 and for each state's rules.

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