Missouri payroll taxes for employers (2026)
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Missouri's Division of Employment Security assigns new employers 2.376% on the first $9,000 of each worker's 2026 wages, a figure that already includes the contribution rate adjustment, and Missouri taxes income at 0% to 4.70% (Department of Revenue 2026 withholding formula, checked October 2026). Two cities change the math: Kansas City and St. Louis each levy a 1% earnings tax, and St. Louis also charges employers a 0.5% payroll expense tax.
- SUTA wage base
- $9,000
- New employer SUTA rate
- 2.376%
- State income tax
- Yes
- Minimum wage
- $15.00
On this page
Missouri payroll: city taxes, a $15 minimum and other differences
If anyone works inside Kansas City or St. Louis city limits, your payroll needs a local line. Kansas City's 1% earnings tax applies to residents wherever they work and to nonresidents on earnings within the city. In St. Louis, employers with staff working in the city withhold 1% from them, and employers located in the city withhold from all employees regardless of where they work. St. Louis employers also pay 0.5% of wages earned in the city themselves, filed quarterly on Form P-10 alongside the W-10 withholding return (due April 30, July 31, October 31 and January 31). Details are on our Kansas City and St. Louis earnings tax page.
- Minimum wage is $15.00 in 2026, with a $7.50 tipped cash wage. Retail or service businesses with under $500,000 in gross sales are excluded.
- One starting rate for everyone: the 2.376% new employer rate is the same for construction, mining and every other industry. Nonprofit and government employers start at 1.00%.
- Rate adjustments and surcharges: the contribution rate adjustment can move your rate up 10%, 20% or 30%, or down 7% or 12%. After two straight years at the 6.00% maximum, a 0.25% surcharge applies and can rise to 1.5%.
- Fired workers are owed pay the same day. If you do not pay within 7 days of a written request, wages keep accruing for up to 60 days (RSMo 290.110). Missouri sets no deadline for workers who quit.
- Workers comp at 5 employees, or at 1 in construction (RSMo 287.030).
- PEOs must register with the Missouri Secretary of State before doing business, and the state posts a public list.
Missouri employer payroll facts at a glance
| Item | Missouri rule or rate | Official source |
|---|---|---|
| SUTA taxable wage base (2026) | $9,000 | source |
| New employer SUTA rate | 2.376% (includes contribution rate adjustment); nonprofit and government 1.00% | source |
| New employer rate, construction | 2.376% (same for mining, construction and all other industries) | |
| SUTA rate range | 0.00% to 6.00% before surcharges and CRA (Shared Work participants up to 9.0%) | |
| Surcharges and admin fees | Contribution rate adjustment (+10%, +20%, +30%, or -7%, -12%); maximum rate surcharge 0.25% after 2 straight years at max, rising up to 1.5% | |
| 2027 rates published? | no | |
| Unemployment agency | Missouri Department of Labor and Industrial Relations, Division of Employment Security | source |
| State income tax withholding | Yes. Graduated 0% to 4.70% (top rate on annual taxable income over $9,436); standard deduction $16,100 single, $24,150 head of household; supplemental flat 4.7%. | source |
| Paid leave or disability programs | none | |
| Minimum wage 2026 | $15.00 (excludes retail or service businesses under $500,000 gross sales) | source ; source |
| Tipped cash wage 2026 | $7.50 (50% of minimum) | |
| Minimum wage 2027 | none listed on state page | |
| New hire reporting | Within 20 calendar days of hire date | source |
| Pay frequency rule | Semimonthly (DOL payday table) | |
| Final paycheck rule | Fired: due on the day of discharge; if not paid within 7 days of a written request, wages continue up to 60 days (RSMo 290.110). Quit: no statutory deadline | source |
| Workers comp required | 5+ employees; construction 1+ employees (RSMo 287.030); not monopolistic | source |
| Local income taxes | yes: Kansas City 1% earnings tax; St. Louis 1% earnings tax plus 0.5% employer payroll expense tax | |
| PEO license or registration | yes: register with the Missouri Secretary of State before doing business; public list www.sos.mo.gov |
Checked October 16, 2026 against the official sources linked in each row.
How to register as an employer in Missouri
- Get a federal EIN.
- Register with the Division of Employment Security using its New Employer Quick Guide (labor.mo.gov).
- Register for withholding with the Missouri Department of Revenue and load the 2026 formula: $16,100 single standard deduction and a 4.7% supplemental rate.
- Register with the Kansas City Revenue Division or the St. Louis Collector of Revenue if anyone works in those cities.
- Report new hires within 20 calendar days of the hire date (missouriemployer.dss.mo.gov).
- Get workers comp in place at your fifth employee, or your first in construction.
What one $50,000 employee costs in Missouri
For a new employer, statewide taxes come to:
| Line | How it is figured | Annual cost |
|---|---|---|
| Social Security | 6.2% x $50,000 | $3,100.00 |
| Medicare | 1.45% x $50,000 | $725.00 |
| FUTA | 0.6% x $7,000 | $42.00 |
| Missouri SUTA | 2.376% x $9,000 wage base | $213.84 |
| Total employer payroll tax | Sum of the lines above | $4,080.84 |
Source: IRS Publication 15 (2026); Missouri Division of Employment Security tax rates (2.376% includes the contribution rate adjustment). Checked Oct 2026.
Move that job inside the City of St. Louis and the employer-paid expense tax adds to the bill:
| Line | How it is figured | Annual cost |
|---|---|---|
| Statewide employer taxes (above) | FICA, FUTA and Missouri SUTA | $4,080.84 |
| St. Louis payroll expense tax | 0.5% x $50,000 earned in the city | $250.00 |
| Total employer cost in St. Louis | Sum of the lines above | $4,330.84 |
Source: City of St. Louis Collector of Revenue, payroll tax information. Checked Oct 2026. The 1% earnings tax is withheld from the employee and is not included.
See how the $9,000 base compares on the 2026 SUTA rates by state, and check the 2026 minimum wage table if you pay near $15.00 an hour.
Missouri payroll services and PEOs
City taxes are where Missouri payroll setups break. If you have staff in Kansas City or St. Louis, ask whether the plan files the city earnings tax and the St. Louis P-10, and what it charges for local filings. Compare prices in our payroll software rankings. If you are thinking about a PEO, check the Secretary of State's PEO list first, then compare PEOs by score and what PEOs charge. Kansas City metro employers hiring on the other side of the line should also read Kansas payroll rules.
Frequently asked questions
What is the Missouri SUTA rate for new employers in 2026?
How much payroll tax does a Missouri employer pay on a $50,000 salary?
Which Missouri cities have an earnings tax?
What is the Missouri minimum wage in 2026?
When is a final paycheck due in Missouri?
Sources (11)
- Missouri Department of Labor and Industrial Relations: Division of Employment Security tax rates (checked Oct 16, 2026)
- Missouri Department of Labor and Industrial Relations: Quick guide for new employers (checked Oct 16, 2026)
- Missouri Department of Revenue: 2026 withholding formula (checked Oct 16, 2026)
- Missouri Department of Labor: Minimum wage (checked Oct 16, 2026)
- City of St. Louis Collector of Revenue: Payroll tax information (checked Oct 16, 2026)
- City of Kansas City, Missouri: Earnings tax (checked Oct 16, 2026)
- Missouri Secretary of State: PEO list (checked Oct 16, 2026)
- Missouri Revisor of Statutes: RSMo 290.110 (checked Oct 16, 2026)
- Missouri Revisor of Statutes: RSMo 287.030 (checked Oct 16, 2026)
- Missouri Department of Social Services: New hire information (checked Oct 16, 2026)
- IRS: Publication 15 (Circular E), 2026 (checked Oct 16, 2026)
This page is general information, not tax, legal or accounting advice. Rules and rates change, so check the official source linked above before you file or sign a contract. Read our disclaimer.