Free Payroll Tool
Check payroll rules in any state
Minimum wage, paid leave, income tax, payday law, and new-hire reporting for all 50 states.
Open the State Compliance Checker →Blog · Payroll Management
Payroll Outsourcing in Washington State
Payroll outsourcing in Washington means a provider running payroll under Washington rules: no state income tax withholding, new hires reported within 20 days, and a discharged employee's final pay by the next regular payday, with pay runs at least monthly. BEG manages it for $45 per employee per month inside the payroll software you already use, all-inclusive, live in 3 to 5 business days.
Washington Paid Leave Is 1.13% in 2026
What a Washington payroll actually has to get right
General information for 2026, not legal advice. Deadlines and rates change; confirm with the Washington agency before acting.
| State income tax on wages | None on wages |
|---|---|
| Pay-frequency law | At least monthly |
| New hire reporting deadline | 20 days (federal default) |
| Final paycheck, discharge | By the next regular payday. [RCW 49.48.010] |
| Final paycheck, resignation | By the next regular payday. |
| Accrued PTO at separation | No state law forces a payout. Accrued PTO must be paid out only if your written policy or agreement provides for it, so your policy language controls. |
| 2026 minimum wage | $17.13. Adjusted annually by formula. Seattle and other cities set higher local minimums [DOL state minimum wage table] |
| Overtime rule | Weekly over 40 |
| Paid sick and family leave | Paid sick leave required; WA Paid Family Leave active |
| Continuation coverage under 20 employees | Washington Group Continuation Option (RCW 48.21.250). Applies to insurers issuing group hospital/medical coverage; the continuation provision is offered to the policyholder (employer) as an option regardless of size. Federal COBRA covers employers with 20+ employees; Washington's continuation option fills the [RCW 48.21.250 (continuation option); RCW 48.21.260 (conversion). Parallel provisions apply to health care service contractors (RCW 48.44) and HMOs (RCW 48.46).] |
Registrations and filings a provider handles in Washington
Washington has no tax on wages, which removes one registration and one deposit schedule from the setup list. It does not remove the state from payroll: Washington unemployment insurance still needs its own employer account and quarterly wage reports, and new hires still go to the Washington directory within 20 days (federal default). Employers moving in from a withholding state most often trip on the assumption that no income tax means no state filings at all.
Where Washington diverges from the federal baseline
Pay frequency: at least monthly. The run calendar is set to that rule at implementation so a schedule change never becomes a wage claim.
Overtime follows weekly over 40, so the federal regular-rate rules govern: bonuses, shift differentials and commissions all fold into the rate before the premium is applied.
On discharge in Washington the final check is due by the next regular payday, and on resignation by the next regular payday. Accrued PTO follows the written policy, so the handbook language decides whether the last check includes it. Full detail on the Washington final paycheck rules page.
Leave: paid sick leave required; WA Paid Family Leave active. Paid sick leave accrual and balances are tracked per employee in payroll, and the balance shows where Washington requires it. The Washington paid family and medical leave contribution is a payroll line item with its own rate, wage cap and remittance, and any private-plan election has to be reflected in the deduction setup. See the Washington paid sick leave page for the accrual mechanics.
What BEG managed payroll includes for Washington employers
$45 per employee per month, all-inclusive, inside the payroll software you already use, with no monthly minimum and no setup fee. Washington unemployment registration, quarterly and annual state filings, new hire reporting within 20 days (federal default), final-pay runs on the Washington deadline, and year-end W-2s are all inside that price. Live in 3 to 5 business days from signing.
Managed Payroll, Handled.
BEG manages payroll at $45 per employee per month, all-inclusive. Get an instant cost comparison for your business.
Frequently Asked Questions
Does Washington have state income tax withholding?
No. Washington levies no tax on wages, so there is no state withholding account to open and no state withholding to remit. Federal withholding, Washington unemployment insurance and new hire reporting still apply to every Washington employer.
When is a final paycheck due in Washington?
On discharge: by the next regular payday. On resignation: by the next regular payday. No state law forces a payout. Accrued PTO must be paid out only if your written policy or agreement provides for it, so your policy language controls. Source: RCW 49.48.010.
How often must Washington employers pay employees?
Washington pay-frequency rule: at least monthly. A payroll provider sets the run calendar to that rule at setup, so the schedule is never the thing that creates a wage claim.
How fast must new hires be reported in Washington?
Washington requires new hire reporting within 20 days (federal default). That matches the federal default, and the report goes to the Washington new hire directory, not the IRS.
Does Washington require paid sick leave or paid family leave?
Paid sick leave required; WA Paid Family Leave active. Because Washington mandates paid sick leave, payroll has to track accrual and balances per employee and show them where the statute requires. Washington also runs a paid family and medical leave program funded through payroll contributions, so the contribution line and any private-plan election are part of every run.
What is the Washington minimum wage in 2026?
$17.13. Adjusted annually by formula. Seattle and other cities set higher local minimums. Overtime in Washington: weekly over 40.
What does managed payroll cost for a Washington business?
$45 per employee per month, all-inclusive, inside the payroll software you already use, with no monthly minimum and no setup fee. Washington withholding, unemployment filings, new hire reports and year-end W-2s are included, not add-ons.
Related Resources
Anthony leads payroll solutions at Business Executive Group, a national managed payroll firm serving businesses across industries. BEG manages payroll at $45 PEPM, all-inclusive, with deep expertise in compliance, multi-state filing, and industry-specific payroll requirements. Get instant pricing at beghr.com.
Authoritative source: U.S. Department of Labor: Wage and Hour Division
From the blog