Delaware Payroll & Paycheck Tax Calculator
Running payroll in Delaware shouldn’t feel like navigating traffic on I-95 at rush hour. Whether you’re in Wilmington, Dover, or Rehoboth Beach, our Delaware Payroll Tax Calculator helps you breeze through taxes, withholdings, and unemployment filings — all in one easy step.
Delaware Payroll Tax Steps
Delaware’s progressive tax structure means accuracy matters. Our calculator makes it easy to withhold correctly, meet deadlines, and keep your team paid on time.
Here are some key steps you’ll have to take to make smarter payroll decisions.
Step #1: Register with Delaware Division of Revenue and Department of Labor
Employers must register with the Delaware Division of Revenue for income tax withholding and the Department of Labor’s Division of Unemployment Insurance (UI) for unemployment contributions.
You can complete both online through Delaware’s One Stop Business Registration portal.
Step #2: Manage Delaware’s State Payroll Taxes
Delaware’s state income tax ranges from 2.2% to 6.6%, depending on income. Employers are responsible for withholding this tax and submitting quarterly reports.
New employers pay 1.0% unemployment tax on the first $12,500 of wages until they have three years of experience. Rates can later range from 0.3% to 5.6%, plus a small administrative assessment.
Step #3: Stay Compliant with Wage & Overtime Laws
Delaware’s minimum wage is $13.25/hour (2025).
Overtime applies after 40 hours per week at 1.5× regular pay. Delaware follows federal overtime rules under the FLSA.
Final paychecks must be issued by the next regular payday after termination or resignation.
Step #4: Know Your Payroll Filing Requirements
Employers file:
Form W-1: Withholding tax return (monthly/quarterly)
Form W-3: Annual reconciliation
Form UC-8 / UC-8A: Quarterly unemployment tax reports
Keep your EIN and state account numbers consistent across filings.
Step #5: Use Our Delaware Payroll Calculator
Input gross wages, hours, and deductions — our calculator instantly handles:
Federal and state withholdings
FICA taxes
Unemployment contributions
Net pay summary
Step #6: File and Pay Taxes on Time
Deposit withholdings through the Delaware Division of Revenue’s online system. File UI returns quarterly and federal forms (941, 940) on schedule to stay compliant.
Fingercheck and any related entities do not offer tax, accounting, or legal advice. This content is designed for informational purposes only and should not be considered a source of tax, legal, or accounting advice. It is recommended that you consult your tax, legal, and accounting advisors before undertaking any related activities or transactions.