Paying Employees in Arizona
Arizona 2021 Minimum Wage:
- $12.15 per hour
- $15.00 per hour in Flagstaff
- $3.00 per hour tip credit maximum
Arizona Overtime Rules: 1.5 x’s the regular rate of pay for non-exempt employees for all hours worked over 40 in a workweek
Arizona Paystub Requirements:
- When an employee’s wages are paid by deposit in a financial institution the employee shall be furnished with a written or electronic statement of the employee’s earnings and withholdings.
- When an employee’s wages are paid to a payroll card account the employee shall be furnished with a written or electronic statement of the employee’s earnings and withholdings.
How often do you have to pay employees in Arizona?
- Employees must be paid at least twice per month, no more than 16 days apart. If the payday falls on a holiday the employer must pay the employee prior to the scheduled pay date.
When is an employee’s final check due in Arizona?
- Involuntary terminations – within seven working days or the next payday, whichever is sooner
- Voluntary resignations – next payday
Arizona Withholding Tax Registration
Wages subject to Arizona withholding
- Wages earned in Arizona are subject to Arizona income tax
Arizona Employee’s Withholding Exemption Certificate
- California, Indiana, Oregon, and Virginia
Arizona Withholding Tax Due Dates
- If the average AZ income tax in the preceding 4 calendar quarters is less than $200 they may deposit annually.
- If the average is between $200 and $1,500 payment can be made quarterly (by the last day of the month following the end of the quarter).
- If the average exceeds $1,500 payments should be made at the same time as federal withholding deposits.
Arizona Unemployment Tax
Arizona Unemployment Tax Registration
Arizona Unemployment Tax Employer Liabilities
- New employer rate: 2%
- 2021 Wage Base: $7,000
Arizona Unemployment Tax Due Dates
- Return and payment are due quarterly on the last day of the month following the end of the reporting period
Arizona New Hire Reporting
- Report new hires within 20 days of hire/rehire
- PO Box 142901
Austin, TX 78714
- Phone: 888-282-2064
- Fax: 888-282-0502
- Report new hires online
Arizona Child Support
PO Box 52107
Phoenix, AZ 85072
- Phone: 602-252-4045
- Remit Arizona child support payments online