1.45% - Medicare
Up To 4.62% - State Taxes
Minimum wage is $8.75 per hour.
As of 2011, after the Tax Relief, Unemployment Insurance Re-authorization and Job Creation Act of 2010, the Social Security tax rate is 4.2 percent of an employee's wages.
Employer: contributes a percentage of the total payroll per month for the employees pension funds. The contribution percentage is not specified.
Employee: contributes 7% of the monthly salary to pension fund
Employer: Medicare - 1.45%
Employee: Medicare - 1.45% (additional 0.9% contribution for employees earning less than $200,000)
Employer: 6.0% and maximum taxable earnings are $7,000
Employee: Voluntary contributions permitted.
There are 11 official holidays, however private employers are not required to provide either time off or overtime pay on these days.
Maryland follows “employment at will” doctrine which means both the employee and employer are allowed to terminate the employment at any given time without a reason. Therefore at the time of termination, the employer must pay all the necessary wages up to the day of termination.
While there is no official period required, the general practice is is 2 weeks.
Maryland law does not either require or prohibit severance payments. It depends on the employer’s agreement with the employee.
The state sales tax is 6%.