FirstHR

New Hampshire Payroll: Employer Tax and Software Guide

New Hampshire payroll for employers: no state income tax on wages, a $14,000 SUI wage base, the enterprise tax on compensation, and 10 providers compared.

TL;DR
New Hampshire withholds no state or local income tax. Unemployment is employer-funded on the first $14,000: 2.7 percent new, 0.05 to 7.0 percent experienced, adjusted quarterly. Minimum wage: federal $7.25. Pay weekly or biweekly, and within 72 hours of discharge. A 0.55 percent business enterprise tax counts compensation. Picks: Patriot (value), Square (hospitality), OnPay or ADP RUN (border hires).
Category
Updated
Oct
10
2026
Reading time
16min

New Hampshire is the easiest state in the country to run payroll in, right up until someone crosses a border, and that border is the first thing I would tell another founder to plan for. This guide covers what New Hampshire requires from employers as of October 2026, the obligations that unemployment registration does not cover, and how 10 payroll providers price the work at 10, 25, and 50 employees.

Inside the state, the list of what is missing is long: no state income tax on wages, no state withholding form, no local wage tax, no state disability contribution, and no mandatory paid leave contribution. A small company in Nashua files one state payroll return a quarter, and that return goes to a single agency.

The catch is that simple is not the same as free of obligation. The state taxes compensation through a business tax rather than a payroll deduction. Wages are paid weekly or biweekly, and anything slower requires written permission from the labor commissioner. A discharged employee has to be paid in full inside 72 hours, and the unemployment rate is adjusted quarterly rather than annually.

Geography is the other catch. Massachusetts sits ten minutes from most of the southern tier, and one hire on the other side of that line imports an entire withholding and paid leave regime the New Hampshire employer has never had to think about.

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What New Hampshire requires from employers

A handful of state obligations sit on top of federal payroll, and only one of them is a payroll tax filing. That is the shortest list of any state in New England, because New Hampshire is the only one that does not tax wages.

No state income tax withholding, and what that does not remove

New Hampshire does not tax wages, salaries, tips, or any other earned income, and no city or county levies a local income tax. There is no state equivalent of the W-4, no state withholding tables, no deposit schedule, and no annual reconciliation return.

The state also stopped taxing investment income: the Interest and Dividends Tax was repealed for tax periods beginning on or after January 1, 2025, which retired the last piece of personal income taxation in the state.

None of that touches the federal side. Federal income tax withholding still runs off the employee Form W-4, Social Security and Medicare still come out of every check, and the employer still matches those FICA taxes. FUTA, the federal unemployment tax, still applies. Roughly speaking, the state removes one line from the paystub and one set of returns from the calendar, but it does not shorten the payroll run itself.

Payroll elementNew Hampshire statusWho paysEmployer action
State income tax withholdingDoes not existNobodyNone
Local or city wage taxDoes not existNobodyNone
State disability or paid leave contributionNo mandatory contributionNobodyVoluntary plan only
Unemployment insurance contributionsRequiredEmployer onlyQuarterly tax and wage report
Business enterprise tax on compensationRequired above thresholdEmployerAnnual business tax return
Federal withholding, FICA, FUTARequiredEmployer and employeeUnchanged from any state

Unemployment insurance contributions

Unemployment insurance is the one genuine state payroll tax here, and it is employer funded with nothing deducted from employee pay. According to New Hampshire Employment Security, every new employer starts at a rate of 2.7 percent applied to the first $14,000 of annual wages per employee, minus whatever fund balance reduction is in place for that quarter.

The $14,000 taxable wage base compares with a national range of $7,000 to $78,200 in the US Department of Labor's January 2026 state table. Because the base works as a per-employee cap, it changes the shape of the cost: a 25-person New Hampshire employer with an average salary of $70,000 pays contributions on $350,000 of taxable wages, not on $1.75 million.

An employee on $70,000 stops accruing unemployment tax within the first quarter of the year. At the 2.7 percent new employer rate less the 1.00 percent reduction posted for the latest quarter, that is a net 1.7 percent on $350,000, or about $5,950 for the whole company for the year.

After the first year the flat new employer rate is replaced by an experience rating that reflects both payment history and how much in benefits the state paid to former employees. Rates come from three published schedules.

ScheduleApplies toRate rangeQuarterly adjustment
New employer rateFirst year of liability2.7%Less the fund balance reduction
Schedule IPositive rated employers0.05% to 2.6%Less 1.00% where in compliance, to a 0.10% floor
Schedule IINegative rated employers2.8% to 6.5%Plus 0.5% inverse rate surcharge
Schedule IIINegative rated employers3.3% to 7.0%Plus 0.5% inverse rate surcharge

The quarterly adjustment is the part outsiders miss. Under New Hampshire law (RSA 282-A:82), the state trust fund has to hold at least $350 million throughout the preceding calendar quarter before the 1.00 percent reduction applies to positive rated employers. The negative schedules, II and III, carry a matching 0.5 percent inverse rate surcharge under RSA 282-A:82-a.

New Hampshire Employment Security has published that 1.00 percent reduction for every quarter from the second quarter of 2023 through the second quarter of 2026, the latest quarter on its tax rate chart, with no emergency power surcharge across that run. The agency posts the figure one quarter at a time, so read the current quarter rather than assuming last year carried over.

To claim the reduction, an employer has to be in balance by April 30 of the merit rate year, with all quarterly reports and payments submitted by that date. An account that is out of balance on that date is not in compliance, and the 1.00 percent reduction does not apply to it.

One more mechanic worth knowing: the net rate is not all unemployment. New Hampshire Employment Security allocates part of it to an administrative contribution, so a net rate of 1.7 percent is reported as 0.4 percent administrative contribution and 1.3 percent unemployment insurance. The employer pays the same total either way, but the split shows up on the quarterly report and confuses people reconciling against a general ledger.

Warning
No income tax does not mean no state tax on wages
The Business Enterprise Tax is assessed on the enterprise value tax base, which the New Hampshire Department of Revenue Administration defines as the sum of all compensation paid or accrued, interest paid or accrued, and dividends paid. Compensation is the largest component for most service businesses, so payroll is effectively the tax base. The rate is 0.55 percent for taxable periods ending on or after December 31, 2022, and a return is required once gross receipts or the enterprise value tax base exceed $298,000 for periods beginning on or after January 1, 2025. That threshold is adjusted biennially, so confirm the current figure before assuming you are under it.

Pay frequency and the timing rules

New Hampshire regulates when wages are paid more tightly than most states. RSA 275:43 requires every employer to pay all wages due within 8 days after the end of the work week on a weekly schedule, or within 15 days after the end of the work week on a biweekly schedule, on regular paydays designated in advance and at no cost to the employee.

The New Hampshire Department of Labor enforces these wage payment rules and takes the petitions for any other schedule. It also publishes the state minimum wage as the federal rate of $7.25 per hour, in force since August 21, 2011 under RSA 279:21.

Under RSA 275:43, IV, anything less frequent than biweekly requires written permission from the labor commissioner, granted on a petition showing good and sufficient reason. Even an approved schedule can never be less frequent than once each calendar month. The permission rule covers semi-monthly pay, which most payroll platforms present as an ordinary dropdown option alongside weekly and biweekly.

A New Hampshire employer who picks semi-monthly during setup without filing for permission is out of compliance from the first run. The department can also require weekly payment temporarily where an employer has deficiencies to fix.

Registration, new hire reporting, and workers compensation

Registration is a single account with New Hampshire Employment Security, which opens the unemployment insurance record and the quarterly tax and wage report obligation. Because there is no wage withholding, there is no second account to open with the Department of Revenue Administration.

New hires, rehires, and independent contractors working as sole proprietors under contracts for labor or services exceeding $2,500 are reported to the state new hire program within 20 days.

Workers compensation coverage is required under RSA 281-A:5 from the first employee, full time or part time, and the New Hampshire Department of Labor allows no headcount exemption and no exception for family members or nonprofits.

At 15 or more employees, RSA 281-A:64 adds a written safety program filed with the commissioner and reviewed at least every two years, plus a joint loss management committee, a safety committee with equal employer and employee representation. Missing either can draw an administrative penalty of up to $250 a day.

Everyone in one list, with who they report to
Position, department, type, manager and status for each person. People who have left move to a separate list.

The local layer that state registration does not cover

New Hampshire has no municipal payroll tax, no local income tax, and no city minimum wage, so the local layer here is not municipal at all. It is three things that unemployment registration does not touch: the labor department relationship, the voluntary paid leave plan, and the state line.

The labor department obligations that no payroll system files

RSA 275:49 requires every employer to notify employees, at the time of hiring, of the rate of pay and the day and place of payment, and to notify them of changes before those changes take effect. It also requires employment practices and policies on vacation pay, sick leave, and other fringe benefits to be available in writing or by posted notice.

Employers must also furnish a statement of deductions for every pay period in which deductions are made, and keep wage and hour records for three years.

None of that is a filing, which is exactly why it gets skipped. There is no return that bounces and no notice that arrives. It surfaces during a wage claim, when the employer is asked to produce a written pay rate notification from the date of hire and a signed authorization for every voluntary deduction, and cannot.

Final pay runs on its own clock, and the deadline depends on how the job ended.

Separation typeDeadlineStatuteCommon error
Discharged by the employerWithin 72 hoursRSA 275:44Waiting for the next payroll cycle
Quit with at least one pay period of noticeWithin 72 hoursRSA 275:44Treating notice as the slower path
Quit without noticeNext regular paydayRSA 275:44Rushing a payment that is not yet due
Laid offNext regular paydayRSA 275:44Confusing layoff with discharge
Accrued vacation, sick, holiday, severancePaid as wages when dueRSA 275:43, VAssuming policy benefits are not wages

The counterintuitive line is the second one. An employee who gives proper notice triggers the faster 72-hour deadline, while an employee who walks out triggers the slower next-payday standard. Employers who remember the rule as a discharge rule get the notice case wrong, and it is the case where the departing employee is most likely to be paying attention.

Paid family leave is a purchase, not a payroll tax

New Hampshire has no statewide paid sick leave mandate and no mandatory paid family leave contribution. What exists is the Granite State Paid Family Leave Plan, a voluntary state-sponsored program funded by insurance premiums rather than a payroll tax. An employer that buys the six-week group plan through the state program can claim a credit against the business enterprise tax equal to 50 percent of the premium it pays each year.

For most small employers the important part is what is absent: no state contribution rate to configure and nothing owed for workers who never enroll. Where an employer does elect coverage and shares the premium with employees, that share becomes a voluntary deduction and needs the written authorization RSA 275:48 requires.

Private employers with more than 50 employees carry one extra duty. Under RSA 282-B:3, when a worker opts into the plan's individual pool, the employer collects that premium by payroll deduction and remits it to the state.

The border is the real complexity

Southern New Hampshire is commuter territory, and the state line is where the simple payroll ends. A New Hampshire employer with one employee working in Massachusetts registers for Massachusetts withholding, collects the state withholding certificate, files on the Massachusetts deposit schedule, and enters the Massachusetts Paid Family and Medical Leave system, which does carry a contribution. Push a little further south and Rhode Island adds a temporary disability contribution that has no New Hampshire counterpart at all.

StateIncome tax on wagesState paid leave payroll contributionMinimum wage basis
New HampshireNoneVoluntary plan, no required contributionTracks the federal rate
MassachusettsYesYes, employee share, plus an employer share at 25 or more covered workersState rate above federal
MaineYesYes, contributions began under the state programIndexed annually
VermontYesVoluntary state-supported programIndexed annually

The practical version: compare what a Massachusetts payroll requires against the single New Hampshire quarterly return, and the same gap appears against Connecticut and Rhode Island for anyone hiring further down the corridor. New Hampshire employers do not build multi-state muscle at home, so they buy it in software or they learn it the hard way.

Tip
Price the border hire before you sign, not after
The in-state payroll is so light that almost any provider handles it. The decision you are actually making is what happens the first time you hire in Massachusetts, Maine, or Vermont. Providers price that four ways: included at no charge, a flat monthly multi-state fee, a per-state charge, or a forced tier upgrade, which on at least one plan roughly doubles the bill. Take your 18-month hiring map, mark every state you might plausibly hire in, and get the number for that scenario in writing before you commit to a plan.

10 payroll providers for New Hampshire employers compared

Every provider below files the New Hampshire quarterly tax and wage report on its full-service plans. Because there is no state withholding, no local tax, and no mandatory paid leave contribution to differentiate on, the meaningful differences here are multi-state pricing, whether the platform respects the weekly or biweekly pay timing rule, and how quickly it picks up a quarterly rate change.

ProviderBest ForStarting PricePricing ModelNH Quarterly FilingMulti-State IncludedBenefits AdminTrial
OnPaySingle-plan pricing, no tiers$49 + $6/eeBase + PEPMIncluded1 month
GustoFirst-time payroll buyers$49 + $6/eeBase + PEPMIncludedUntil 1st run
PatriotLowest cost, tight budgets$37 + $5/eeBase + PEPMPartner30 days
SquareRestaurant and seasonal teams$35 + $6/eeBase + PEPMAdd-onUntil 1st run
SurePayrollVery small and household teams$29 + $7/eeBase + PEPMPartnerVaries
QuickBooksExisting QuickBooks accounting$50 + $7/eeBase + PEPMPremium tier30 days
ADP RUNCross-border tax depth at scaleQuoteQuoteAdd-onVaries
Paychex FlexHands-on service modelQuoteQuoteAdd-onVaries
PaylocityGrowing teams wanting HR depthQuoteQuoteModuleDemo
RipplingPayroll tied to HR and IT$40 + $8/userModular PEPMModuleDemo
Published vendor rates as of October 2026. PEPM = per employee per month. ADP RUN, Paychex Flex, and Paylocity do not publish list pricing. Rippling's pricing page is a quote form, so its figure is the payroll starting price on Rippling's small-business page, $8 per user per month plus a $40 monthly base fee. NH Quarterly Filing means the platform files the New Hampshire Employment Security quarterly tax and wage report on its full-service plan. Multi-State Included means the provider's own pages say a second state carries no separate charge or tier upgrade; an X means a charge or upgrade applies, or the provider does not say. That is the column that decides most New Hampshire outcomes, because there is no state withholding to differentiate on. Benefits Admin shows where the provider's own pages place health benefits administration: Included means the plan priced here, Add-on means a paid extra on that plan, Partner means coverage through a partner agency or broker, Premium tier means a higher plan, and Module means a separately sold product.

OnPay

OnPay has one payroll plan at $49 per month plus $6 per employee, with HR tools and time tracking sold as optional add-ons rather than tiers. Tax filing covers all 50 states with no multi-state surcharge, and year-end W-2 and 1099 filing sits in the base price rather than being billed separately. For a New Hampshire employer, that flat multi-state structure is the whole argument: the day a Massachusetts hire lands, the bill does not move.

Pros
One payroll plan, with HR and time tracking as optional add-ons rather than tiers
Multi-state tax filing included at no surcharge, which is the deciding factor here
Year-end W-2 and 1099 forms included in the base price
Unlimited pay runs on any schedule with no charge per run, so weekly pay costs nothing extra
First month free
Cons
HR tools such as custom onboarding workflows cost $15 a month plus $2 per worker
Benefits run through OnPay’s in-house licensed agents unless you connect your own broker of record
Time tracking is a paid add-on at $15 a month plus $4 per worker
Interface is functional rather than polished

Gusto

Gusto is a common first payroll purchase for US small businesses. Tax filing is automatic, the interface is pleasant, and pricing is published. Simple runs $49 per month plus $6 per employee, after a base increase from $40 during 2025.

The catch for New Hampshire employers is sharper than it is elsewhere. Simple covers single-state payroll only, and a New Hampshire company is unusually likely to hire across a line: a hire in Massachusetts, Maine, or Vermont moves you to Plus at $80 plus $12 per employee. Model the Plus number from day one rather than the Simple number.

Pros
Built-in onboarding and HR tools alongside payroll
Published pricing with month-to-month billing and no long-term contract
Automated tax filing across federal, state, and local jurisdictions
Large integration library and strong accountant ecosystem
Cons
Simple plan is single-state only, which is a real risk in a commuter-belt state
Base price rose from $40 to $49 during 2025
Time tracking sits behind Plus or a paid add-on
Per-employee fees compound: $349 per month at 50 employees on Simple

Patriot Software

Patriot is the lowest-cost full-service option here at every headcount the cost table models. Full Service is $37 per month plus $5 per employee and includes federal, state, and local tax filing, though you still file the 20-day new hire reports yourself.

Patriot Basic is $17 plus $4 if you file taxes yourself, which in New Hampshire is a genuinely small job: one quarterly report to one agency and no monthly deposits to the state at all.

That makes New Hampshire one of the few states where the do-it-yourself tier is a defensible choice rather than a trap. Additional state filings cost $12 per month each, which is the number that decides it for anyone with a border hire in view.

Pros
Lowest total monthly cost here at 10, 25, and 50 employees
Unlimited payroll runs with no per-run fees, which suits a weekly schedule
The self-filing Basic tier is realistic in a state with one quarterly return
Free 30-day trial on every Patriot product
Cons
$12 per month for each additional state
Basic plan leaves you filing the quarterly report yourself
Time tracking and HR are separate paid add-ons
Plain interface, and mobile clock-in in the My Patriot app needs the paid Time & Attendance add-on

Square Payroll

Square is $35 per month plus $6 per employee with multi-state filing included at no extra charge, and it is the natural fit for the hospitality and retail businesses that make up a large share of New Hampshire employment. Tip handling, hourly scheduling, and point-of-sale integration are native rather than bolted on, which matters in a state where tipped employees earn a base rate set at 45 percent of the applicable minimum wage.

Pros
Multi-state tax filing included at no additional charge
Native tip handling and point-of-sale integration for restaurants and retail
Seasonal and hourly staff are first-class rather than an edge case
Low base fee with contractor-only pricing available
Cons
Value drops sharply if you do not use Square for payments
Benefits administration is thinner than the payroll-first competitors
HR tooling is minimal beyond payroll and scheduling
Reporting is basic compared with Gusto or Rippling

SurePayroll

SurePayroll is owned by Paychex and aimed at very small employers and household employers. The Small Business plan is $29 per month plus $7 per employee, with a flat $9.99 monthly multi-state fee regardless of how many states are involved. For a New Hampshire business with a couple of people over the Massachusetts line, that flat structure beats per-state pricing quickly.

Pros
Flat $9.99 monthly multi-state fee rather than per-state pricing
Payroll can be scheduled to run automatically
Strong fit for household employers paying nannies or caregivers
Unlimited payroll runs on all plans
Cons
Per-employee fee of $7 is higher than Patriot’s, Square’s, OnPay’s, or Gusto Simple’s
Time clock integration and accounting sync are paid add-ons
Year-end W-2 and 1099 forms are billed separately, at $50 plus $5 per form
Interface reads dated compared to newer platforms

QuickBooks Workforce Payroll

QuickBooks Workforce (formerly QuickBooks Payroll) took its new name in May 2026, and the entry tier once called Core is now Workforce Payroll at $50 per month plus $7 per employee. Per-employee pricing rose across all tiers on July 1, 2026, and each additional state adds $12 a month below the Elite tier.

The reason to pick it has always been the same: if your books already live in QuickBooks Online, payroll entries reach the general ledger without an export step, which also makes the annual business enterprise tax return easier to assemble because compensation is already categorized.

Pros
Native general ledger sync with QuickBooks Online
Federal and state tax filing on every tier, including the entry tier
Compensation totals for the enterprise tax return are already categorized
Published pricing with no sales call
Cons
Per-employee pricing increased on July 1, 2026
Workforce Payroll, the entry tier, lacks time tracking and HR support
Weak value if you do not use QuickBooks accounting
Each additional state adds $12 a month below the Elite tier

ADP RUN

ADP pays roughly one in six American workers, according to its fiscal 2026 annual report. It says every RUN package calculates, files, deposits, and reconciles payroll taxes, and that ADP pays the resulting fines if it makes a tax filing error.

For a New Hampshire employer the practical argument is the border. ADP lists multi-jurisdiction payroll in every RUN package: it covers employees who work in more than one state in the same pay period, and ADP handles the tax filing. That fits a commuter workforce that splits its weeks across the Massachusetts line.

The cost is opacity. ADP does not publish RUN pricing: the Essential, Enhanced, Complete, and HR Pro packages are all quoted individually. ADP also says no contract is required and you can end service at any time.

Pros
Calculates, files, deposits, and reconciles payroll taxes in every package
Multi-state payroll and tax filing included in every package
State unemployment insurance management, including rate audits, from the Enhanced package up
Deep benefits administration and HR add-on catalog
Cons
No published pricing: every quote requires a sales conversation
Electronic I-9 and garnishment payment services start at the Enhanced package
Substantial overkill for a single-state New Hampshire payroll
W-2 and 1099 forms carry an additional fee

Paychex Flex

Paychex competes with ADP on the same terms: a service relationship rather than a software subscription, with a payroll specialist included on its top Complete package. Every payroll package (Basic, Foundations, Advanced, and Complete) is priced on request. It is worth a quote if you would rather call a person about a quarterly rate change than read the tax rate chart yourself.

Pros
Payroll specialist included on the top Complete package
Full tax filing and compliance support across all jurisdictions
Broad HR, benefits, and retirement services under one vendor
Roughly 800,000 payroll clients as of fiscal 2026
Cons
Quote-only pricing with no published rates at any tier
Time and attendance is an add-on on every package
Dedicated support requires a higher-priced tier
Ending service takes 30 days’ notice under its standard client agreements

Paylocity

Paylocity sits between small-business payroll and full HCM (human capital management) platforms, aimed at companies that have outgrown basic payroll but do not want enterprise complexity. It maintains detailed per-state tax resources, including a New Hampshire tax facts page.

Paylocity's Time and Attendance module tracks leave accruals, which matters in New Hampshire precisely because the state mandates nothing: every accrual rule is your own policy and has to be enforced by the system rather than by statute. Pricing is quote-based, and implementation is consultant-guided rather than self-serve.

Pros
Native leave accrual tracking in its Time and Attendance module, useful where no state mandate exists
Maintains detailed per-state tax compliance resources
Strong employee self-service and mobile experience
Scales into mid-market without replatforming
Cons
Quote-only pricing with no published rates
Consultant-guided implementation rather than self-serve setup
More platform than a small New Hampshire business needs
Implementation fees are charged on top of the subscription

Rippling

Rippling sells a unified employee record where payroll, HR, and IT provisioning share one data model. Its pricing page lists no rates, but Rippling's small-business page starts payroll plans at $8 per user per month plus a $40 monthly base fee, and its blog prices the core platform and the payroll module at $8 per employee a month each (payroll is $10 billed monthly), so a configured quote runs higher.

Rippling's blog also estimates roughly $15 to $25 per employee per month for a 100-employee company running HRIS (a human resources information system), payroll, benefits administration, and time and attendance, so the working configuration costs well above the headline core rate.

The New Hampshire argument is the shared record. By Rippling's own account, HR changes such as new hires and salary updates flow into payroll automatically, taxes go to the correct federal, state, and local agencies, and payroll runs as often as you need at no extra charge, which suits a weekly schedule.

Pros
Single employee record spanning HR, payroll, and IT provisioning
HR changes such as new hires and salary updates flow into payroll automatically, by Rippling’s own account
Runs payroll as often as you need at no extra charge, by Rippling’s own account
Scales from startup to mid-market without replatforming
Cons
Modular pricing means the headline $8 figure is not what anyone pays
The pricing page itself lists no rates, so every contract is a custom quote
Each product is bought separately alongside the required core platform
Overbuilt for a small New Hampshire business with no IT complexity
Departments
Dwight SchruteSales3 people
Darryl PhilbinWarehouse1 person
Kelly KapoorCustomer Service1 person
Core HR
Who works here and who does what
Profiles, departments and an org chart, with every change kept on record.

What each provider actually costs a New Hampshire employer

The table below models published rates at three headcounts, plus what happens when a second state enters the picture. That column deserves more weight in New Hampshire than almost anywhere else, because the in-state work is light enough that it barely separates the field.

Provider10 employees25 employees50 employees2nd State FeeNotes
Patriot$87$162$287$12/moPer extra state
Square$95$185$335$0Flat, all states
SurePayroll$99$204$379$9.99/moFlat, all states
OnPay$109$199$349$0None
Gusto Simple$109$199$349UpgradePlus tier required
QuickBooks$120$225$400$12/moPer extra state below Elite
Paychex FlexQuoteQuoteQuoteQuoteNo published rates
Monthly base plus per-employee fees at published vendor rates as of October 2026. Excludes promotional discounts, benefits premiums, workers compensation, time tracking add-ons, and year-end form fees where charged separately. Paychex Flex quotes every package and publishes no rates. These figures exclude unemployment contributions and the state business enterprise tax, which are statutory employer costs rather than software fees.

Patriot stays cheapest at every headcount, and the gap widens with size: at 50 employees it runs $48 a month below Square, $62 below OnPay and Gusto Simple, and $92 below SurePayroll. Paychex Flex publishes no rates, so it needs a quote before it can be compared.

The second-state column then reorders things: Gusto Simple is competitive until one Massachusetts hire forces the Plus tier, at which point a 25-person payroll goes from $199 to $380 per month, while OnPay and Square do not move at all.

Software price is also not the whole New Hampshire number, though it is closer to it here than in most states. A 25-person employer with a $1.75 million payroll owes roughly $9,600 a year in business enterprise tax at 0.55 percent, assuming the enterprise value tax base is essentially compensation.

The same employer also owes about $5,950 in unemployment contributions on $350,000 of taxable wages at a net 1.7 percent. Those are statutory costs no provider changes, but they belong in the budget alongside the subscription.

By the numbers
The wage base does most of the work
New Hampshire caps unemployment contributions at the first $14,000 of annual wages per employee, while the new employer rate is 2.7 percent before the quarterly fund balance reduction, per New Hampshire Employment Security. The result is a maximum first-year state unemployment cost of roughly $378 per employee, and considerably less once an employer earns a Schedule I rate and the 1.00 percent reduction applies.

Choosing a payroll provider for New Hampshire

Four questions separate providers that will work here from providers that will quietly create a problem. None of them is about state withholding, because there is none.

Questions for New Hampshire payroll providers
What does a cross-border hire actually cost on this plan?This is the whole decision in New Hampshire. The in-state payroll is one quarterly return to one agency, which every provider on this list handles. The variable is the day you hire in Massachusetts, Maine, or Vermont, which brings a new withholding registration, a new deposit schedule, and in the Massachusetts case a paid family and medical leave contribution. Providers price it as included, a flat monthly fee, or a per-state charge, and at least one forces a tier upgrade that roughly doubles the bill. Get the number for your 18-month hiring map in writing before you sign.
Does the platform enforce the weekly or biweekly pay timing rule?New Hampshire requires wages within 8 days of the end of the work week on a weekly schedule and within 15 days on a biweekly schedule, and anything less frequent than biweekly needs written permission from the labor commissioner. Semi-monthly appears as a standard option in nearly every payroll platform. Confirm the system will let you run weekly without a per-run fee, and that nobody on your side selects semi-monthly during setup because it looked normal. It is an easy New Hampshire configuration error to make, and it is wrong from the first run.
How fast does it pick up a quarterly rate change?New Hampshire adjusts the fund balance reduction and the inverse rate surcharge quarterly, not annually, and the employer merit rate itself is assigned per rate year. A provider that refreshes state figures once in January will carry a stale contribution rate for months. Ask when the platform applies rate notices, and confirm the figure sitting in your account matches what appears for the current quarter in the state system rather than what was true last year.
Can it produce an off-cycle payment inside 72 hours?A discharged employee must be paid in full within 72 hours, and so must an employee who quits after giving at least one pay period of notice. That means you need to be able to run an off-cycle payment on a weekend or a holiday without a three-day funding delay swallowing the deadline. Ask specifically about off-cycle run cutoffs, same-day or next-day funding availability, and any surcharge for an unscheduled run, because a termination rarely arrives on a convenient day.

One more job sits outside the payroll engine entirely: the new hire paperwork. Every New Hampshire new hire needs a federal I-9 and W-4, a written notification of the pay rate and the day and place of payment under RSA 275:49, a direct deposit authorization, a written authorization for any voluntary deduction, and a new hire report inside 20 days. None of it is a state tax form, and all of it is a document you have to be able to produce later.

Before you choose

FirstHR is an onboarding and HR platform, not a payroll provider. The providers above calculate pay, move money, administer benefits, and file payroll taxes, down to the New Hampshire quarterly tax and wage report.

If running payroll is the problem in front of you, one of them is the answer, and the honest recommendation on this page is to buy from that list rather than from us.

What we handle is the layer that feeds payroll: onboarding workflows that put Form I-9 and the W-4 on each new hire's first-day task list, e-signatures on offer letters and acknowledgments, employee records, and HR document management for small US teams at a flat $98 a month for up to 10 people or $198 for 11 to 50.

New Hampshire is a state where an unusual share of compliance is paperwork rather than tax. There is no withholding return to get wrong, but there is a written pay rate notification at hire, a signed authorization behind every voluntary deduction, a posted policy on vacation and sick pay, three years of wage and hour records, and a 20-day new hire report.

If the paper side of that list cannot be produced on request, that is a document collection failure rather than a payroll processing failure. Each document can sit on the onboarding plan as a task with a deadline, with the signed copy kept in the employee file; the wage and hour records stay with your payroll provider, and the new hire report is filed outside the platform.

My advice is to work in this order: price your most likely second state with two or three of the providers above, set weekly or biweekly pay before the first run, and decide where each new hire's paperwork will live before that person starts.

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Key takeaways
1New Hampshire levies no state income tax on wages and no local wage tax, and the Interest and Dividends Tax was repealed for periods beginning on or after January 1, 2025. Federal withholding, FICA, and FUTA are unaffected, so the state removes a line from the paystub rather than shortening the payroll run.
2Unemployment is the only true state payroll tax and it is employer-funded on the first $14,000 of wages. New employers pay 2.7 percent; experienced rates run from 0.05 percent on Schedule I to 7.0 percent on Schedule III, adjusted quarterly rather than annually.
3The business enterprise tax at 0.55 percent counts compensation paid or accrued in its base, the largest component for most service businesses, with a return required once gross receipts or the enterprise value tax base exceed $298,000 for periods beginning on or after January 1, 2025.
4Minimum wage tracks the federal rate at $7.25 with no state indexation and no scheduled increase, and tipped employees receive a base of not less than 45 percent of the applicable minimum wage under RSA 279:21.
5Pay is due weekly within 8 days or biweekly within 15 days, and anything slower needs written permission from the labor commissioner. A discharge, or a quit with at least one pay period of notice, requires payment in full within 72 hours.

Frequently Asked Questions

Does New Hampshire have a state income tax on wages?

No. There is no tax on wages, salaries, or tips, no state withholding form, and no local income tax anywhere in the state. Investment income is untaxed too: the Interest and Dividends Tax was repealed for any tax period that begins on or after January 1, 2025, so personal income taxation is gone entirely. Federal withholding, FICA, and FUTA still apply unchanged.

What is the New Hampshire unemployment tax rate and wage base?

New employers pay 2.7 percent on the first $14,000 of annual wages per employee, minus the fund balance reduction in effect that quarter. After the first year, experienced rates come from the three schedules in RSA 282-A:87: Schedule I runs from 2.6 percent down to 0.05 percent for positive rated employers, Schedule II runs 2.8 to 6.5 percent, and Schedule III runs 3.3 to 7.0 percent. Reduced rates are held at the 0.10 percent statutory minimum.

What is the New Hampshire fund balance reduction?

A quarterly reduction applied to positive rated employers when the state trust fund holds at least $350 million throughout the preceding quarter under RSA 282-A:82. It has been published at 1.00 percent for every quarter from the second quarter of 2023 through the second quarter of 2026, with a matching 0.5 percent inverse rate surcharge on the negative schedules under RSA 282-A:82-a. Check the tax rate chart each quarter instead of assuming the old figure still holds.

What is the New Hampshire minimum wage?

The federal rate, currently $7.25 per hour. RSA 279:21 sets the state floor at whatever the federal minimum wage law provides, as amended, so there is no separate state figure, no indexation, and no scheduled increase. The state minimum moves automatically whenever Congress raises the federal rate.

What is the tipped minimum wage in New Hampshire?

Tipped employees of a restaurant, hotel, motel, inn, cabin, or ballroom who regularly receive more than $30 a month in tips get a base rate of not less than 45 percent of the applicable minimum wage, which is $3.27 an hour against the federal floor. Where wages plus tips fall short of the full minimum, the employer pays the difference.

How often do New Hampshire employers have to pay employees?

Weekly, with wages due within 8 days after the end of the work week, or biweekly within 15 days. Anything less frequent, including semi-monthly, requires written permission from the labor commissioner under RSA 275:43 and can never be less often than monthly. Paydays must be designated in advance.

When is a final paycheck due in New Hampshire?

Within 72 hours when the employer discharges the employee, and also within 72 hours when the employee quits after giving at least one pay period of notice. A quit without notice, or a layoff, moves the deadline to the next regular payday. Accrued vacation, sick, holiday, and severance pay count as wages where policy provides them.

Does the New Hampshire Business Enterprise Tax apply to payroll?

Yes, indirectly. The tax is assessed at 0.55 percent on the enterprise value tax base, defined as compensation paid or accrued plus interest paid or accrued plus dividends paid, for taxable periods ending on or after December 31, 2022. You must file a return once either gross receipts or the enterprise value tax base goes over $298,000, and that threshold is adjusted biennially.

Do New Hampshire employers withhold anything from wages for the state?

No state tax. There is no state income tax, no disability contribution, and no local wage tax, and unemployment contributions are employer-funded and never deducted from pay. Paid family leave premiums leave a paycheck only when a worker opts in, which at an employer with more than 50 employees means a payroll deduction for the individual pool. Other deductions are federal items, court-ordered withholding, and the categories RSA 275:48 permits with written authorization from the employee.

How do I register a business for New Hampshire payroll taxes?

One account with New Hampshire Employment Security opens the unemployment record and the quarterly tax and wage report. There is no second withholding account to open because there is no wage tax. New hires and reportable contractors go to the state new hire program within 20 days, and workers compensation is required from the first employee.

Does New Hampshire require paid sick leave or paid family leave?

No. New Hampshire mandates neither statewide paid sick leave nor a paid family leave contribution. Its Granite State Paid Family Leave Plan is voluntary and runs on premiums rather than a tax. Employers that buy its six-week group coverage through the program can take a business enterprise tax credit worth 50 percent of the premium they pay each year.

What happens when a New Hampshire employer hires someone in Massachusetts?

The employer registers for Massachusetts withholding, collects that state's withholding certificate, files on its deposit schedule, and enters the Massachusetts paid family and medical leave system, which carries a contribution. Maine and Vermont bring their own withholding regimes and indexed minimum wages. This is why multi-state pricing decides provider choice here.

What are the New Hampshire workers compensation and safety requirements?

RSA 281-A:5 makes workers compensation mandatory from the first employee, full or part time, and family members and nonprofits get no exemption. Once you have 15 or more employees, RSA 281-A:64 also requires a written safety program, filed with the commissioner and updated at least every two years, and a joint loss management committee. Missing either can cost up to $250 a day.

How much does payroll software cost for a New Hampshire small business?

At 10 employees, published October 2026 rates run roughly $87 for Patriot Full Service, $95 for Square, $99 for SurePayroll, $109 for OnPay or Gusto Simple, and $120 for QuickBooks Workforce Payroll. At 50 employees the same plans land between $287 and $400, Paychex Flex quotes every package, and the multi-state fee is what actually separates them.

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