Withholding Requirements:

• Register as an employer as an employer by filing Form UC-001 (Joint Tax Application). Registration can be completed online here.
• Employee Withholding Form, A-4
• Withholding Method = percent of gross pay
• Supplemental Rate = percent of gross pay

Local Taxes:

None

Arizona State Tax Unemployment Insurance:

Report quarterly wages and contributions by filing Form UC-018 (Unemployment Tax and Wage Report) by last day of the month following end of quarter.  Can be completed online here.

• Wage base $7,000 for 2019 and 2018
• Rates range from 0.04% to 5.6% for 2019
• Employers with a reserve rate of zeor pays at a rate of 5.9%
• Negative reserve ratio employers will pay rates from 6.23% to 11.8%
• New employers use 2.0% for 2019
• Job Training Tax surcharge - 0.10%, not included in stated rate. As of January 1, 2016 this surcharge ends. Repeal of ARS 23-769

State Disability Insurance:

None

State Labor Laws:

Minimum Wage: $11.00 per hour effective 1/1/19, up from $10.50 in 2018

Flagstaff - $13.00 per hour effective 1/1/19
Termination Pay: Fired - pay within seven working days or the end of the next regular pay period, whichever is sooner. Quits - pay by the next regular payday.

Paid Sick Leave: Employees are entitled to paid sick leave, at the rate of one hour of paid sick time for every 30 hours worked, but with limits based on the size of the employer. .

New Hire Reporting:

Arizona New Hire Reporting Center

P.O Box 402
Holbrook, MA 02343

888-282-2064
Fax: 888-282-0502

To file online click here

Remit Withholding for Child Support to:

Division of Child Support Enforcement
Department of Economic Security

PO Box 40458
Phoenix, AZ 85067

602-252-4045

Report using this site

Reciprocal States:

None