North Dakota Paycheck Calculator

Use North Dakota Paycheck Calculator to estimate net or “take home” pay for salaried employees. Simply input salary details, benefits and deductions, and any other necessary information as prompted below, and let our tool handle the rest.

What Are Payroll Taxes?

Payroll taxes withheld from employee paychecks fund Social Security and Medicare, to which the employer also makes payroll tax contributions.

The Social Security tax is paid by the employee and the employer at a rate of 6.2% of the employee’s wages. The Medicare tax is also paid by both employee and employer, but at a rate of 1.45%.

Employers are also required to pay taxes under the Federal Unemployment Tax Act (FUTA) and the State Unemployment Tax Act (SUTA). The employer must also collect federal income tax from employee paychecks, and pay that amount to the IRS. The rate is determined by the employee’s tax bracket.

Each state also has specific state payroll taxes that must be withheld and paid.

North Dakota Payroll Taxes

In addition to Social Security and Medicare, North Dakota assesses state income tax and state unemployment taxes, as per SUTA. 

State Income Tax

North Dakota has a progressive income tax system with six brackets. Employers are required to withhold state income taxes from their employee’s wages. 

$0 to $6,475	0
Over $6,475 but less than $48,250	1.1% of the total exceeding $6,475
Over $48,250 but less than $107,525	$459.53 + 2.04% of the total exceeding $48,250
Over $107,525 but less than $217,300	$1,668.74 + 2.27% of the total exceeding $107,525
Over $217,300 but less than $464,825	$4,160.63 + 2.64% of the total exceeding $217,300
Over $464,825	$10,695.29 + 2.9% of the total exceeding $464,825

For a more detailed overview of North Dakota’s income tax systems and how to approach withholdings, check out the state’s guide to income tax withholding rates and instructions.

State Unemployment Tax (SUTA)

State unemployment tax is an employer-paid tax and thus not withheld from employees. In North Dakota, the unemployment tax rate is determined by the positive or negative balance of the state’s unemployment funds. 

As of 2022, if North Dakota’s unemployment reserve balance is positive, SUTA tax rates range from 0.08% to 1.13%.

Unemployment Reserve Positive Balance Ratio	Tax Rate
-0.01% and less	1.13%
0% to 0.73%	0.94%
0.74% to 1.07%	0.78%
1.08% to 1.20%	0.66%
1.21% to 1.30%	0.54%
1.31% to 1.38%	0.45%
1.39% to 1.46%	0.36%
1.47% to 1.52%	0.27%
1.53% to 1.56%	0..18%
1.57% and over	0.08%

As of 2022, if North Dakota’s unemployment reserve balance is negative, SUTA tax rates range from 6.09% to 9.69%. 

Unemployment Reserve Negative Balance Ratio	Tax Rate
-15.8% and less	9.69%
-15.79% to -10.68%	9.29%
-10.67% to -5.61%	8.89%
-5.6% to -5.04%	.49%
-5.03% to -3.48%	8.09%
-3.47% to -1.67%	7.69%
-1.66% to -0.31%	7.29%
-0.3% to 2.04%	6.89%
2.05% to 3.36%	6.49%
3.37% and over	6.09%

The SUTA tax rate in North Dakota for new businesses is dependent on two factors: 

• If the new business is in the construction industry 
• If the state’s unemployment reserve balance is positive or negative

As of 2022, new businesses that are not in the construction industry have a SUTA tax rate of 1.02% if the unemployment reserve balance is positive, and a tax rate of 6.09% if the balance is negative. 

New businesses that are in the construction industry have a SUTA tax rate of 9.69% regardless of their unemployment reserve balance. 

For 2022, the current unemployment-taxable wage base in North Dakota is $38,400.

Paying Payroll Taxes

Just as you need an EIN to pay federal payroll taxes, in North Dakota you’ll need to register for state withholdings through North Dakota’s Taxpayer Access Point service. You can easily create an account in about five minutes. 

For more information on the filing process, you can visit North Dakota’s Office of the State Tax Commissioner’s page dedicated to Income Tax Withholding Account applications. 

To register and pay state unemployment taxes, employers can log into North Dakota’s Unemployment Insurance Employer Account System (UI EASY). You can learn more about how to use UI EASY through the North Dakota Job Service website. 

Using a Payroll Tax Service

In North Dakota, payroll and payroll taxes come with countless laws and restrictions, which is why many business owners turn to a payroll service provider to ensure their business remains fully compliant. It’s usually less expensive than creating a new staff position for managing payroll, and relatively easy.

You’ll just send over your digital timesheets and relevant information and the service provider will take care of the calculations, payments and taxes, freeing you up to focus on growing your business. 

We highly recommend hiring a payroll service — as a busy entrepreneur, you won’t regret it!