Key Washington regulations payroll professionals need to know
Washington minimum wage
Tipped employees cannot receive lower than the state minimum wage. However, youth employees may be paid 80% of the minimum wage.
Washington pay stubs
Washington employers must furnish pay stubs on each payday. These must include:
- Hours or days worked
- Pay rate
- Gross wages
- All deductions
- Start and end dates of the pay period
Washington pay periods
Washington employers may pay their employees monthly, semimonthly, bi-weekly, weekly, or more frequently according to these rules:
- Employees paid monthly must be paid on the last day of the month, for at least all wages earned during the first 24 days of the month.
- Employees paid on a more frequent basis than monthly must be paid 10 days after the pay period for all wages earned during the pay period.
Determining time worked in Washington
State law says workers should be paid when they’re required to be on company grounds or another designated work site. Once an employee works more than 40 hours in a week, you need to pay them overtime.
Washington overtime pay and tracking
Nonexempt employees in Washington must be paid time and a half once they work beyond 40 hours in a week. Overtime pay must be paid with the pay period in which the overtime was worked. If overtime cannot be correctly calculated by the end of the pay period, then it may be issued during the second pay period after the pay cycle is complete.
Washington final wage payment
Washington employees must be paid all final wages no later than the end of the current pay period.
Income tax withholding in Washington
Washington does not collect state income tax for individuals or corporations.
All employees in Washington are entitled to federal Social Security and Family and Medical Leave Act (FMLA) benefits. Additional Washington state benefits regulations include:
- Workers’ compensation: Nearly all Washington state employers must cover employees and independent contractors with workers’ compensation.
- Health insurance: Although Washington state law doesn’t require employers to offer health insurance, the federal Patient Protection and Affordable Care Act (ACA) requires all U.S. employers with at least 50 full-time (or equivalent) employees to provide employee insurance benefits.
- Sick leave: All Washington state employers must provide all full-time, part-time, seasonal, and temporary employees one hour of paid sick leave for every 40 hours worked.
- Paid family leave: Employees that have worked at least 820 hours may receive up to 12 weeks of paid family leave or 12 weeks of paid medical leave, with a combined maximum leave amount of 16 weeks during a 52-week period.
Voting: Washington has an extensive vote-by-mail system and doesn’t require employers to provide time off for voting.
Finding the right payroll provider in Washington—Why Gusto?
1. Unlimited payroll
With Gusto, you can run payroll for your team, as often as you need. With just a few quick clicks, full-time, part-time, contractors, employees paid at different rates, and hourly employees can all be paid on the same schedule through one system. We offer dozens of customizable options so you can choose the right Gusto plan from to fit your needs.
2. Tax filings and paperwork
Gusto streamlines compliance with municipal, state, and federal tax and labor authorities, no matter where in Washington your business is located. Meet your tax-filing and payment obligations through Gusto. And our payroll system stays up-to-date no matter the time of year, which helps you never miss a change in rates or obligations.
The communication is great. Gusto reminds me to run payroll and keep me on schedule.
3. Forms and reports
Going paperless with Gusto. You can use our platform to auto generate forms and reports, including your employees’ W-2s and 1099s, quarterly and year-end tax forms, and customized reporting, all without a printer. We email W-2 and 1099 copies to your team too. And thanks to our e-file, e-sign, and e-fax tools, collecting signatures and sending off forms just takes a few clicks.
4. Employee benefits
Take care of your employees both in and out of the office. Through Gusto’s robust benefits network, you can offer your employees a full suite of employee benefits, such as:
- Medical, dental, and vision insurance
- 401(k) retirement accounts
- Flexible spending accounts
- Commuter benefits
- 529 college savings
- Life and disability insurance
- And more