Wisconsin Hourly Paycheck Calculator
If you’re a Wisconsin employer and feeling overwhelmed by payroll taxes, you’ve come to the right place. We’ve answered the most frequently asked questions about Wisconsin payroll taxes and paycheck rules below.
Wisconsin state payroll taxes
Do employers have to withhold state income tax from employee paychecks?
Yes. A business that meets both of the following requirements must withhold state income taxes from employees’ pay in Wisconsin.
- The business pays wages to a Wisconsin resident or certain non-residents that perform services in Wisconsin.
- The business operates in Wisconsin.
How should my business withhold taxes from Wisconsin paychecks?
Employers will need to register for a Wisconsin withholding number. This can be done online, at My Tax Account or with a paper application.
Employees will report state exemptions and can elect for additional withholding using this form. With this information, you can calculate the withholding amount.
What payroll tax forms need to be filed in Wisconsin?
There are two payroll forms to file in Wisconsin.
- Form WT-6, Withholding Tax Deposit Report
- This is filed quarterly, monthly, or semi-monthly, depending on the frequency assigned to you by the state. It’s important to note that it must be filed even if no tax was withheld.
- Form WT-7, Employer’s Annual Reconciliation of Wisconsin Income Tax Withheld
- This is filed annually.
Does Wisconsin have an unemployment insurance tax?
Yes. Wisconsin collects unemployment insurance tax from employers. In 2022, the taxable wage base for unemployment tax in Wisconsin is $14,000 per employee.
There is a lengthy rate table that is made available on the Wisconsin Department of Workforce Development website. Rates for 2021 range from 0–12%, while new employers pay rates ranging from 2.9–3.25%.
What is the minimum wage in Wisconsin?
There are a few different minimum wage rates depending on the type of employment.
|Wisconsin Minimum Wage in 2022|
|Adults & Minors||$7.25 per hour|
|Tipped Employee||$2.33 per hour|
|Caddies||$5.90 – $10.50 per hour|
|Camp Counselors||$210 – $350 per week|
What are the reporting requirements for new hires in Wisconsin?
All new hires and rehires must be reported within 20 days of the date of hire. Reports are made to the Wisconsin Department of Workforce Development. Full-time, part-time, and temporary works must all be reported.
What are Wisconsin’s overtime rules for hourly employees?
Overtime is paid at 1.5 times the employee’s regular hourly wage rate and is paid for hours worked over 40 in a week.
What other payroll rules in Wisconsin should I know about?
Keep in mind these paycheck rules:
- Family & Medical Leave: Wisconsin’s Family and Medical Leave Act (FMLA) provides leave benefits for certain employees. Employers must provide up to two weeks of leave for serious health conditions affecting themselves or certain family members and up to six weeks for the birth or adoption of a child. By default, this leave is unpaid, but employers can make it paid. See the Department of Workforce Development for more on this.
- Final paychecks: When employees leave, final paychecks must be given with the next regularly scheduled pay date.
- Workers’ Compensation insurance: Requirements to obtain Workers’ Compensation vary by state, this table outlines some of these requirements. If you determine that your company is required to purchase Workers’ Compensation insurance in your state, learn how to sign up for this insurance with Gusto. Sometimes, companies get a request for a workers’ comp audit—head to this article and click the workers’ comp audit reports dropdown for more information.
Federal payroll taxes
Are employers responsible for paying federal taxes for employees?
Yes. As an employer, you’ll have to pay two federal payroll taxes.
First, you are required to pay a portion of FICA taxes. FICA stands for Federal Insurance Contribution Act and is made up of the Medicare tax and the Social Security tax. In 2022, the Social Security tax requires employers and employees to each contribute 6.2% of wages up to $147,000. The Medicare tax requires each to contribute 1.45% of all wages. See the IRS webpage for details, like maximum thresholds.
Second, you’ll have to pay federal unemployment tax. Like the state, the federal government also has an unemployment tax. It’s called FUTA and it’s an annual tax employers pay on the first $7,000 of each employee’s wages. The FUTA rate for 2022 is 6%, but many employers only have to pay 0.6% each year.
Are there payroll taxes that I have to withhold from employees’ paychecks?
Yes. There are two main federal payroll taxes.
Federal income tax (FIT):
Each employee should complete Form W-4 when they begin working for you. On this form, they disclose how many dependents they have, filing status, and personal identifying information. Learn more about completing Form W-4.
With the information on Form W-4 and some complex tax tables, you’ll be able to figure out how much tax to take out. Thankfully, payroll software will make this easy and do the math for you.
Additional Medicare tax:
This tax is relevant to anyone making more than $200,000 in a year. The 2022 rate is 0.9%—so you will have to withhold 0.9% on earnings above the $200,000 threshold.
If these payroll tasks aren’t your cup of tea, Gusto can do it for you.