Illinois · 2026 planning data

Illinois SUTA rate and employer cost for 2026

Illinois's sourced 2026 unemployment-insurance model uses a taxable wage base of $14,250 per employee and a 3.35% standard new-employer rate. The assigned rate can differ after an acquisition, experience rating, industry classification, or state assessment.

UI wage base$14,250
New-employer model3.35%
Published rate range0.75%–7.05%

Calculate an Illinois estimate

How the Illinois SUTA line is estimated

State unemployment tax applies only up to the annual UI wage base for each employee. For an employee earning at least $14,250, the planning calculation is:

min(UI-taxable wages, $14,250) × 3.35% = up to $477

The standard sourced new-employer rate in the EmployerCost model is 3.35%. A transferred experience account, special industry rule, assessment, or employer notice can produce a different total.

What changes the real employer cost

  • Illinois often needs separate validation for local and industry-specific obligations outside this planning estimate.
  • Use your assigned UI rate notice for exact payroll setup.
  • Employer Social Security, Medicare, and FUTA remain separate federal cost lines.
  • Workers compensation depends on class code, carrier, payroll exposure, and employer history.
  • Health benefits, retirement contributions, payroll software, and HR administration depend on the employer's choices.

Use the calculator's custom SUTA field whenever an official notice supplies a different rate. Read the SUTA rate guide and employer payroll tax guide before relying on a planning result.

Illinois employer cost questions

What is the Illinois SUTA wage base for 2026?

The sourced taxable wage base used by EmployerCost is $14,250 per employee. Wages above that cap are not included in this SUTA line, but can still affect Social Security, Medicare, benefits, workers compensation, and other costs.

What rate should a new Illinois employer use?

The standard sourced new-employer rate in the EmployerCost model is 3.35%. A transferred experience account, special industry rule, assessment, or employer notice can produce a different total.

Is SUTA the full cost of an Illinois employee?

No. Start with salary, then add employer FICA, FUTA, SUTA, workers compensation, benefits, and payroll administration. The Illinois calculator keeps uncertain items as ranges.

Official sources

Verified against official sources July 30, 2026.

General planning information only. Not payroll, tax, legal, insurance, or HR compliance advice.