Washington Tax Guide for Employers (2026) 

Washington is one of nine states that does not levy a state income tax on earned wages. Washington is one of nine states that does not levy a state income tax on earned wages. However, Washington has a Paid Family and Medical Leave (PFML) program that requires contributions from both employers and employees. The state also has a long-term care insurance program (WA Cares) funded through employee payroll deductions. 

Washington does not impose a state income tax on individual wages. This means employers do not need to withhold any state income tax from employee paychecks. Employees get to keep more of their gross pay, and payroll administrators have one fewer withholding calculation to manage. 

Even without a state income tax, Washington employers are still required to pay into the state’s unemployment insurance fund. 

Your specific SUTA rate will be assigned by the state based on your company’s history with unemployment claims. New employers typically start at the default rate until they build enough experience for an individualized rate. 

Washington requires contributions to Washington Paid Family and Medical Leave (PFML). Both employer and/or employee contributions may apply. Verify the current rates and requirements at https://esd.wa.gov/employer-taxes.

Washington’s WA Cares Fund requires employee payroll deductions for long-term care insurance. The rate is 0.58% of wages (2024). Verify current rates at wacaresfund.wa.gov.

Follow these steps to begin withholding Washington payroll taxes for your employees:

1. Obtain your Federal EIN at irs.gov
2. Register for SUTA with the Washington Employment Security Department at esd.wa.gov
3. Register for PFML at paidleave.wa.gov
4. Register for WA Cares at wacaresfund.wa.gov
5. No state income tax withholding registration required
6. Submit a Netchex tax team request to enable Washington SUTA, PFML, and WA Cares
7. Have each employee complete their tax forms with an automated onboarding task in Netchex, digitally storing tax forms
8. Configure any additional tax settings in the employee profile

Once setup is complete in Netchex, the system will automatically calculate, withhold, and remit all Washington payroll taxes on your behalf.

The following are general filing and deposit deadlines for Washington payroll taxes. Deadlines may vary based on your employer size and deposit frequency. Always verify current schedules at Washington Employment Security Department.

Note: Deadlines are subject to change. Always confirm current requirements directly with Washington Employment Security Department at https://esd.wa.gov/employer-taxes.

The following official resources will help you stay current on Washington payroll tax requirements:

• Washington Employment Security Department
• Washington Paid Family and Medical Leave
• WA Cares Fund

Does Washington have a state income tax?
No. Washington does not impose a state income tax on wages.

What is Washington’s PFML program?
Washington’s Paid Family and Medical Leave requires employer and employee contributions. Verify current rates at paidleave.wa.gov.

What is WA Cares Fund?
WA Cares is Washington’s long-term care insurance program funded by employee payroll deductions at 0.58% of wages (2024). Verify at wacaresfund.wa.gov.

What is Washington’s SUTA wage base?
Washington’s SUTA wage base is $72,800 per employee per year (2025). Verify at esd.wa.gov.

Does Washington have local payroll taxes?
No. Washington does not impose local income or payroll taxes.

While Washington keeps things simple at the state level, all standard federal payroll taxes still apply: 

Running payroll in Washington is relatively straightforward. Without a state income tax, you’ll primarily focus on federal withholdings and the employer-paid SUTA contribution. The key things to stay on top of are making sure your SUTA rate is current each year and that federal withholdings are calculated correctly based on each employee’s W-4.