Having to comply with unique state taxes and wage laws can make processing payroll doubly daunting. Here’s everything you need to know about these rates and laws for the state of Florida.
Along with a state minimum wage rate that’s higher than the federally mandated rate, Florida has a corporate income tax it requires of businesses that operate within the state.
When it comes to processing payroll, Florida-based organizations must handle the following taxes in addition to those required by the federal government:
The below information was last updated June 16, 2023. It is not intended as legal or tax advice.
Florida Minimum Wage Rates
Wage Type
Florida Rates
Federal Rates
Minimum Wage
$11.00
$7.25
Tipped Minimum Wage
$7.98
$2.13
Actual Tip Credit
$3.02
$5.12
Wage Type
Florida Rates
Federal Rates
Minimum Wage
$11.00
$7.25
Tipped Minimum Wage
$7.98
$2.13
Actual Tip Credit
$3.02
$5.12
Florida State Income Tax (SIT) Rates
Florida is one of the few states that doesn't impose or collect a personal income tax.
Florida State Unemployment Insurance (SUI) Rates
SUI provides unemployment benefits to eligible workers who are unemployed through no fault of their own (as determined by state law) and meet the state’s eligibility requirements.
Florida SUI Tax Details
Taxable Wage Base
$7,000
Employee Subject to Tax
No
Rates for Experienced Employers
0.1% – 5.4%
Rates for New Employers
2.7%
Effective Period
Calendar Year
Voluntary Contributions Allowed
No
Florida SUI Tax Details
Taxable Wage Base
$7,000
Employee Subject to Tax
No
Rates for Experienced Employers
0.1% – 5.4%
Rates for New Employers
2.7%
Effective Period
Calendar Year
Voluntary Contributions Allowed
No
Florida State Disability Insurance (SDI) Rates
SDI benefits are funded by employees through mandatory payroll deductions from each paycheck. Florida, however, doesn't require employers to collect an SDI tax.
Miscellaneous Florida Tax Information
Reciprocal Agreement(s)
Reciprocal agreements are when workers only pay taxes in the state where they live, not the state where they work. Florida currently has no reciprocal agreements with any other states.
Paid Sick Leave (PSL)
The state of Florida doesn't require employers to collect PSL taxes, nor does the state have a program providing paid sick leave to employees.
Corporate Income Tax
In exchange for conducting business and earning income in the state, corporations must also pay an income tax of 5.5% for taxable years beginning on or after January 1, 2022. This includes entities taxed federally as corporations for federal income apportioned to Florida based on the corporation’s activities in the state (e.g., property, payroll, sales, etc.) compared to its activities everywhere.
Florida Employer Registration
The state’s Department of Revenue can help with your state-based employer registration, including best practices, account numbers, and unemployment information.
This information is provided as a courtesy and may be updated at any time. It is not intended as legal or tax guidance. If you have questions or concerns, we encourage you to seek the advice of a qualified CPA, Tax Attorney, or Advisor.
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