Currency United States Dollar (USD)
Employer //= json_encode($tax_row) ?> 6.20% - Social
1.45% - Medicare
Up To 4.5% - State
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Termination Process New Jersey 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.
Pension Fund Employer: contributes a percentage of the total payroll per month for the employees pension funds. The contribution percentage is not specified.
Employee:contributes 6.5% of the monthly salary to pension fund.
Social Security 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.
Advance Notice While there is no official period required, the general practice is is 2 weeks.
Severance Pay New Jeresy law does not either require or prohibit severance payments. It depends on the employer’s agreement with the employee.
General Minimum wage is $8.44 per hour.
Expat Benefits There are no official expat benefits. However different companies can offer special benefits for the expats working for them. Benefits differ from one company to another.
Additional Employee Withholding
1. Medicare - 1.45%
2. Social Security - 6.2%
3. Unemployment Tax - 6.0% and maximum taxable earnings are $7,000
1. Unemployment Insurance - 2.8%
1. Medicare - 1.45% (additional 0.9% contribution for employees earning less than $200,000)
2. Social Security - 6.2% with salary ceiling of $118,500
3. Unemployment Tax - 0%
1. Unemployment Insurance - Voluntary contributions permitted.
Paid Time Off
Vacation days The state law does not require official vacation time to be given to the employees. It depends on the agreement with the employer.
Sick days No official law requires the employer to give employees sick days. Depends on the prior agreement upon start of employment.
Public Holidays There are 11 official holidays, however private employers are not required to provide either time off or overtime pay on these days.
General The state sales tax is 6.875%.