Maine variant. This is a Maine-specific version of the Payroll Tax Estimator (Flat Rate), using pre-defined local figures (tax rates, median home and income values, and typical regional costs). For the full formula, methodology, and FAQ, open the main Payroll Tax Estimator (Flat Rate).
Maine employers owe federal payroll taxes (Social Security, Medicare, FUTA) plus state obligations (state income tax withholding and SUTA).
Payroll tax obligations in Maine
Employers match the 6.2% Social Security and 1.45% Medicare withheld from employees, and pay FUTA (0.6% on the first $7,000 after credits) plus state unemployment insurance.
Maine also requires state income tax withholding (5.8-7.15% across 3 brackets).
About taxes and housing in Maine
Maine uses a graduated income tax that tops out above 7%.
Maine has above-average property taxes and offers a homestead exemption that reduces the taxable value of a primary residence.
Maine's economy relies on tourism, fishing and lobstering, forestry, and a large share of older residents and seasonal homes.
Worked example: employer cost on $71,139
On a $71,139 salary, the employer's FICA match alone is 7.65% = $5,442, before FUTA and Maine unemployment insurance.
Quick reference
- State income tax: 5.8-7.15% across 3 brackets
- State sales tax: 5.5% (plus 0.00% avg local)
- Median home value: $380,000
- Median household income: $71,139
- Effective property tax rate: 1.24%
- Avg auto insurance: $952/yr
Frequently Asked Questions
What payroll taxes do Maine employers pay?
Employer FICA match (7.65%), FUTA, state unemployment, and state income tax withholding.
What is the employer FICA match?
Employers match 6.2% Social Security + 1.45% Medicare = 7.65% of wages.