Country Payroll Guide USA – Hawaii

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Key Facts

Capital
Honolulu
Date format
mm/dd/yyyy
Currency
United States Dollar (USD)
VAT
the standard rate is 4% to 4.5%

Contributions

Employers

Unemployment (State)
Unemployment (State) - 0% to {{ top}}%
Unemployment- New Employer (State)
Unemployment- New Employer (State) - 5.2%
FICA Social Security (Federal)
FICA Social Security (Federal) - 6.2% (Maximum taxable wages is 142,800 USD)
FICA Medicare (Federal)
FICA Medicare (Federal) - 1.45% (Maximum taxable wages is 142,800 USD)
FUTA Unemployment (Federal)
FUTA Unemployment (Federal) - 6% (Maximum taxable wages is 7,000 USD)
Total Employment Cost
Total Employment Cost - Up to 19.25%

Employees

FICA Social Security (Federal)
FICA Social Security (Federal) - 6.2% (Maximum taxable wages is 142,800 USD)
FICA Medicare (Federal)
FICA Medicare (Federal) - 1.45% +0.9% tax on over $200k (Maximum taxable wages is 142,800 USD)
FUTA Unemployment (Federal)
FUTA Unemployment (Federal) - 6% (Maximum taxable wages is 7,000 USD)
Total Employee Cost
Total Employee Cost - Up to 14.55%

Minimum Wage

Minimum Wage
The minimum wage in Hawaii is 10.10 USD per hour.

Payroll

Payroll Cycle
Monthly, Bi-Monthly
13th Salary

There are no statutory laws on 13th salary.

Income Tax

Employee Income Tax (1) Single Filer (Federal)
0 - 9,950 USD - 10%
Employee Income Tax (2) Single Filer (Federal)
9,951 - 40,525 USD - 12%
Employee Income Tax (3) Single Filer (Federal)
40,526 - 86,375 USD - 22%
Employee Income Tax (4) Single Filer (Federal)
86,376 - 164,925 USD - 24%
Employee Income Tax (5) Single Filer (Federal)
164,926 - 209,425 USD - 32%
Employee Income Tax (6) Single Filer (Federal)
209,426 - 523,600 USD - 35%
Employee Income Tax (7) Single Filer (Federal)
Over 523,600 USD - 37%

Employee Income Tax (State)

Employee Income Tax (State) (1)
0 to 2,400 USD = 1.40%
Employee Income Tax (State) (2)
2,400 USD to 4,800 USD = 3.20%
Employee Income Tax (State) (3)
4,800 USD to 9,600 USD = 5.50%
Employee Income Tax (State) (4)
9,600 USD to 14,400 USD = 6.40%
Employee Income Tax (State) (5)
14,400 USD to 19,200 USD = 6.80%
Employee Income Tax (State) (6)
19,200 USD to 24,000 USD = 7.20%
Employee Income Tax (State) (7)
24,000 USD to 36,000 USD = 7.60%
Employee Income Tax (State) (8)
36,000 USD to 48,000 USD = 7.90%
Employee Income Tax (State) (9)
48,000 USD to 150,000 USD = 8.25%
Employee Income Tax (State) (10)
150,000 USD to 175,000 USD = 9%
Employee Income Tax (State) (11)
175,000 USD to 200,000 USD = 10%
Employee Income Tax (State) (12)
Over 200,000 USD = 11%

Working Hours

General Working Hours

40 hours per week.

Overtime

Overtime is paid when an employee has worked in excess of 40 hours a week at the rate of 150% of the regular pay rate. Overtime is calculated on a weekly basis, not daily.

Leave

Paid Time Off

There are no statutory laws on paid time off.

Public Holidays

13 public holidays.

Sick Days

There are no statutory laws on paid or unpaid sick leave, however, Hawaii has its own Family Leave laws (HFLL) and follows the federal Family Medical Leave Act (FMLA).

  • HFLL: If an employer has 100 or more employees and the employee has worked for at least 6 continuous months. There are no requirements on the type of employee (full-time, part-time, etc) and there are no requirements for the number of hours worked within the 6-month period. The HFLL allows for up to 4 weeks of unpaid, job-protected family leave for each calendar year. It can be used for the birth or adoption of a child, care for a child or spouse, or parent with an illness.
  • FMLA- The Family Medical Leave Act (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). Employers are required to maintain the employees’ health benefits during their leave and keep their job open.
Maternity Leave

Falls under HFLL and FMLA.

Paternity Leave

Falls under HFLL and FMLA.

Parental Leave

Falls under HFLL and FMLA.

Other Leave

Not applicable.

Termination

Termination Process

Hawaii is an ‘at-will’ employment state and means that an employer or employee can terminate an employment agreement at any time except for when terminated for reasons of discrimination.

Notice Period

There are no provisions in the law outlining notice, however, dismissal in Hawaii follows the federal Worker Adjustment and Retraining Notification Act (WARN) which outlines 60 days’ notice for mass layoffs.

Severance Pay

There is no requirement for severance pay and it is a matter of agreement between an employer and an employee. Employers who choose to offer severance would need to have the provisions within the employee’s contract and agreed by both parties.

Some employers choose to offer severance based on their employee’s length of service as an example.

Probation Period

Six months.

Visa

Employment Visa

In general, work visas are based on a specific offer of employment. In most cases, a petition must be filed and approved by the United States Citizenship and Immigration Services (USCIS) before applying for the visa at a U.S. Embassy.