Country Payroll Guide USA – Colorado

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Key Facts

Capital
Denver
Date format
mm/dd/yyyy
Currency
United States Dollar (USD)
VAT
the standard rate is 2.9%

Contributions

Employers

SUTA State Unemployment
Employment Training Tax - 0.71% to {{ top}}%
New Employer Tax Rates
New Employer Tax Rates - 1.7%
FICA Social Security (Federal)
FICA Social Security (Federal) - 6.2%
FICA Medicare (Federal)
FICA Medicare (Federal) - 1.45% + 0.90% additional tax on over $200k
FUTA Unemployment (Federal)
FUTA Unemployment (Federal) - 6%
Total Employment Cost
Total Employment Cost - 16.06% to 24.99%

Employees

FICA Social Security (Federal)
FICA Social Security (Federal) - 6.2%
FICA Medicare (Federal)
FICA Medicare (Federal) - 1.45% + 0.90% additional tax on over $200k
FUTA Unemployment (Federal)
FUTA Unemployment (Federal) - 6%
Total Employee Cost
Total Employee Cost - Up to 15.75%

Minimum Wage

Minimum Wage
The minimum wage in Colorado is 9.30 to 12.32 USD per hour.

Payroll

Payroll Cycle
Monthly
13th Salary

Not required by law.

Income Tax

Single Filers tax rate (Federal) (1)
0 - 9,875 USD - 10%
Single Filers tax rate (Federal) (2)
9,876 - 40,125 USD - 12%
Single Filers tax rate (Federal) (3)
40,126 - 85,525 USD - 22%
Single Filers tax rate (Federal) (4)
85,526 - 163,300 USD - 24%
Single Filers tax rate (Federal) (5)
163,301 - 207,350 USD - 32%
Single Filers tax rate (Federal) (6)
207,350 - 518,400 USD - 35%
Single Filers tax rate (Federal) (7)
Over 518,400 USD - 37%

Working Hours

General Working Hours

8-hour days and 40-hour weeks.

Overtime

Overtime is any work exceeding 40 hours per week or 12 hours per day. Employees who work overtime shall be paid 150% of their regular rate of pay.

Leave

Paid Time Off

Colorado law does not require employers to provide paid vacation.

Public Holidays

There are 10 official holidays, however private employers are not required to provide either time off or overtime pay on these days.

Sick Days

Employers with 16 or more employees must provide 1 hour of paid sick leave for every 30 hours worked, up to 48 hours of paid sick leave.

Maternity Leave

The Family Medical Leave Act (FMLA) provides certain employees with up to 12 weeks of unpaid, job-protected leave per year or certain family and medical reasons (maternity leave, serious illnesses or if the employee needs to care for a spouse or child).

Paternity Leave

The state of Colorado does not require employers to provide paid paternity leave. If an employee is eligible and covered by the Family and Medical leave act, they may be allowed unpaid leave from the federal government.

Parental Leave

The state of Colorado does not require employers to provide paid parental leave.

Other Leave

Not applicable.

Termination

Termination Process

Colorado is an At-Will State, meaning termination procedures are only required if it is stated in the employee’s collective bargaining agreement.

Notice Period

Employees are employed ‘at will’ and U.S. law does not require a formal notice period to terminate an individual employee. Therefore, either party can terminate the employment relationship with no notice.

Severance Pay

Colorado law does not require employers to provide severance but may do so at their own discretion.

Probation Period

No notice period.

Visa

Employment Visa

The H-1B is a nonimmigrant classification allowing U.S. employers to seek temporary employment authorisation for certain professional foreign workers to work for the U.S.