Ohio Paycheck Calculator

Ohio is a state in the Midwestern region of the United States. It has a population of approximately 11.8 million people. To guide new taxpayers, we will cover the Ohio paycheck calculator, tax rates, and rules in this article.

Registering a Business in Ohio

Choosing the right business entity is the first step in establishing a business in Ohio. There are several options available, including an LLC (Limited Liability Company), partnership, corporation, LLP (Limited Liability Partnership), or sole proprietorship.

The remaining steps are as follows: 

1. Contact the Ohio Secretary of State to register
2. Create a bank account to get an EIN (Employer Identification Number)
3. Visit the Ohio Department of Taxation to register
4. Every new or rehired employee must be reported to the Ohio New Hire Reporting Center
5. Permits and licenses can be obtained from Ohio Business Gateway

You must pay a $99 fee to complete the online business registration form.

Ohio Tax Overview

If your income is from Ohio, you must pay taxes on it. Ohio state income tax rates (payroll taxes) are 2.765% to 3.9% in 2024 and are mandatory for both residents and non-residents.  

Additionally, some departments impose a local tax of 3.88%, while federal taxes are 22.00%. The combined state and local sales taxes in Ohio are 5.75% and 2.25%, respectively. On average altogether, the Ohio sales tax rate is 7.22%. 

A W-2 form guide, which contains details about each employee's pay, is required to file taxes. A W-3 form is also required, which includes information about total and taxable wages as well as deducted taxes.

Furthermore, if you receive payments from any source other than your employee, you must fill out Form 1099 with details of these sources.

 

Taxable Base Wage

Ohio's taxable base wage in 2024 is $9000.

However, it's important to distinguish between the tax year and the year the wages were earned. The taxable wage base is the maximum amount of an employee's wages that are subject to SUI taxes.

In 2024, Ohio's SUI taxable wage base depends on the balance of the state's Unemployment Compensation Trust Fund:

• If the trust fund exceeds $600 million as of June 30, 2024, the taxable wage base for 2024 is $7,000.
• If the trust fund is below $600 million, the taxable wage base can be increased, but the increase is limited to $2,000 per year.

 

Year	Taxable Base Wage
2023	$9000
2022	$9000
2021	$9000

 

SUTA Rates

Ohio’s State Unemployment Tax rates are 0.3% - 9.8% in 2024. However, the rates are subject to change annually.

Important Note: The unemployment tax rates for 2024 may be different from those in 2023. The Ohio Department of Job and Family Services determines the rates for each year based on various factors, including the balance of the state's Unemployment Compensation Trust Fund.

 

Year	SUI Rates Ohio
2023	0.3% - 9.8%
2022	0.8% - 7.5%
2021	0.8% - 9.8%

FUTA Rates

The Federal Unemployment Tax Act tax rate is 6% on the first $7,000 you pay to each employee in Ohio, which is covered by a state's UI program.

Year	FUTA Rates
2023	6%
2022	6%
2021	6%

FICA Rates

Ohio’s FICA Tax rate for 2024 is 7.65%, 

• Social Security: 6.2% on wages up to the taxable wage base ($160,200 for 2024).
• Medicare: 1.45% on all wages, with an additional 0.9% Medicare tax on wages exceeding $200,000 for single filers and $250,000 for joint filers.

Other Tax Rates

There is no State Insurance Tax in Ohio.

 

Alcoholic Beverage Tax

This tax ranges from $0.14 per ounce up to 12 ounces, $1.50 per gallon, and $5.58 for every 31 gallons of beer sold.

Cigarette and Tobacco Taxes

Ohio charges $1.60 per pack of 20 cigarettes.

Ohio Payroll Taxes Withholding

• Federal Payroll Taxes: The 6.2% rate you mentioned refers to the Social Security portion of the Federal Insurance Contributions Act (FICA) tax. Both employers and employees pay this 6.2% on wages up to the taxable wage base ($160,200 for 2024). There's also the 1.45% Medicare tax paid by both, with an additional 0.9% Medicare tax on wages exceeding $200,000 for single filers and $250,000 for joint filers.

 

• Ohio State Income Tax Withholding: Ohio does not have a flat payroll tax rate for state income tax withholding. The withholding rate varies depending on the employee's income level, filing status, and allowances claimed. Employers use withholding tables provided by the Ohio Department of Taxation to determine the correct amount to withhold from employee paychecks.

Ohio Paycheck Calculator

While your paycheck is your income from which your state deducts your taxes, a paystub provides details of your earnings before and after tax, along with information about deductible taxes. 

 

Use the free Cleveland paycheck calculator to determine net income. 

Before deducting federal, state, and local taxes, you must determine your gross monthly income. 

 

Then include information such as your 401(k) plan, FSA, HSA, LDT (long-term disability insurance), medical insurance, or any other health-related insurance. Finally, if you have any post-tax deductions, add them together to get your take-home pay.

Ohio Hourly Paycheck Calculator

For an hourly paycheck, all details remain intact, except for calculating your total income by multiplying your hourly wage rate by the total number of hours you worked.

 

Let’s say your wage per hour is $15, and you work for 168 hours a month. Your total monthly income (gross wage) would be $15 x 168, or $2520. 

According to 2024 Ohio tax rates;

 

The federal income tax will be 11.32% = ($285) The state income tax will be 0.42% = ($11) The local income tax will be 0.98% = ($25)   The social security will be 6.2% =($156) The medicare will be 1.45% = ($37)   No other taxes are applied to the paychecks. So, the remaining take-home money will be approximately $2007. Bear in mind that this paycheck calculation is done based on Licking County tax rates. These figures will be different in Cleveland, Cincinnati, Colombus, and other cities.

 

Ohio Child Support Calculator

When a child's parent doesn't live with them, they are given financial support in the form of child support.

 

According to Ohio's child support guidelines, the amount that each parent is required to pay is determined by the number of overnights that the child spends with the parent each year.

 

For example, if one parent has spent 183 overnights with a child, they need to pay 50% of the child support. So, if both parents have a monthly income of $22,000, each of them has to pay $1210 per month for child support.

Labor Laws in Ohio

Minimum Wage 

• Ohio's minimum wage increased on January 1, 2024.
• For non-tipped employees, the minimum wage is now $10.45 per hour.
• For tipped employees, the minimum wage is now $5.23 per hour.

Overtime Pay 

• Remains the same: Overtime pay is still 1.5 times the employee's regular rate of pay for hours worked over 40 in a workweek.

Workweek and Personal Leave  

• The standard workweek is typically 40 hours.
• Ohio does not have a mandatory paid sick leave law. Some employers may offer paid sick leave as a benefit, but it is not required by state law.

Child Labor Laws 

• Child labor is indeed strictly regulated in Ohio. Specific restrictions depend on the child's age and the type of work.

Important Note 

Always refer to the Ohio Department of Labor's website or consult with a legal professional for the most up-to-date information on labor laws and regulations.

 

Ohio Paystub Generator

An online paystub generator calculates your payroll after the deduction of federal, state, and other taxes and enters the results in a paystub template. Tools like Real Check Stubs can do this job in less than a minute and save you from fake pay stubs.

Ohio Tax Resources

• Ohio Department of Taxation

ODT is responsible for the collection and administration of state and local taxes in Ohio.

Website: https://tax.ohio.gov/

Phone: (800) 282-1780

Address: 30 E Broad St #22, Columbus, OH 43215, United States

• The Ohio Society of CPAs

Website: https://ohiocpa.com/

Phone: +1 614-764-2727

Address: 4249 Easton Way #150, Columbus, OH 43219, United States

 

FAQs

• Can you calculate your Ohio paycheck?

Yes, with the Columbus paycheck calculator, you can easily calculate your take-home salary.

• Is the Ohio paycheck calculator free?

Many online Ohio paycheck calculators are free to use and provide the results instantly, as long as you enter the correct information. So don’t be shy about using the Cincinnati paycheck calculator if you currently live there.

• Who needs to pay taxes in Ohio?

Anyone getting income from a source in Ohio is liable to pay taxes in Ohio.

 

Final Words

The Ohio paycheck calculator makes it much simpler to determine your paycheck after all adjustments. This article goes over all the specifics of how to use it, Ohio taxes, and other laws about businesses and employment.