Florida has no state income tax, making it one of the best states for take-home pay. Here's the complete payroll guide for Florida employers and workers.
By ExpertPaystubs Editorial Team. Published 2026-02-28
Florida joined the no-state-income-tax club decades ago, and it shows — the state consistently ranks as one of the top destinations for workers seeking higher take-home pay. But Florida payroll isn't completely tax-free.
Florida Tax Advantages
What Florida Workers Don't Pay
- ❌ State income tax (0%)
- ❌ City or county income tax
- ❌ State disability insurance
- ❌ Paid family leave tax
What Florida Workers Do Pay
- ✅ Federal income tax (10-37%)
- ✅ Social Security (6.2% up to $184,500)
- ✅ Medicare (1.45%, no cap)
Take-Home Pay Comparison
A single worker earning $65,000/year in Florida vs. high-tax states:
| Category | Florida | California | New York |
|---|---|---|---|
| Federal Tax | $7,830 | $7,830 | $7,830 |
| State Tax | $0 | $2,650 | $3,250 |
| FICA | $4,973 | $4,973 | $4,973 |
| State SDI/PFL | $0 | $715 | $242 |
| Annual Take-Home | $52,197 | $48,832 | $48,705 |
| Monthly Extra | — | +$280 | +$291 |
That's roughly $3,400/year more in Florida — enough to cover a car payment.
Florida Employer Obligations
Reemployment Tax (Florida's SUTA)
Florida calls its unemployment insurance "Reemployment Tax":
- Rate: 0.1% - 5.4% (experience-rated)
- New employer rate: 2.7%
- Wage base: $7,000 per employee per year
- Maximum annual cost: $378 per employee
Workers' Compensation
Florida requires workers' comp for employers with:
- 4+ employees (most industries)
- 1+ employees (construction industry)
New Hire Reporting
Report new hires within 20 days to the Florida Department of Revenue.
Pay Frequency
Florida requires employers to pay at least once per month for salaried employees. No specific requirement for hourly workers, but bi-weekly or semi-monthly is standard.
Pay Stub Requirements
Florida is one of the states that does not mandate pay stubs by law. However, best practice dictates providing detailed earnings statements showing:
- Gross earnings
- Federal tax withholding
- FICA deductions
- Any voluntary deductions (401k, health insurance)
- Net pay
Florida and Remote Work
If you work remotely for an out-of-state employer while living in Florida:
- You generally owe no state income tax (Florida has no income tax)
- Your employer should withhold based on your work state (Florida)
- Some states with "convenience of employer" rules (NY, CT, NE) may still try to tax you
Important: If your employer is in New York and you work remotely from Florida, NY may still claim you owe NY tax under their "convenience rule." Consult a tax professional.