2025 YEAR END
Withholding
Withholding requirements
Employees must fill out Form IL-W-4.
Supplemental rate
Withhold supplemental wages at 4.95%.
State Unemployment Insurance (SUI)
Wage base
$13,590
Contributions
Rates range from 0.85% to 8.65%. New employers use 3.175%. New employers should use 3.95%.
More information
Rates include a 0.55% fund-building surtax.
Labor
Minimum wage
$15.00
Termination Pay
- Final Paycheck Deadline: Illinois law requires that an employee’s final compensation be paid no later than the employee’s next regularly scheduled payday. This applies whether the employee was fired or resigned.
- What to Include: Final compensation should include all wages, salaries, earned commissions, and bonuses. Additionally, if the company’s policy or employment agreement dictates, it must also include the monetary equivalent of earned vacation and holiday time.
More information
- Standard Rate (18+): The statewide minimum wage for workers aged 18 and older is $15.00 per hour, effective January 1, 2025.
- Youth Rate (under 18): A lower rate applies to workers under 18. As of January 1, 2025, the youth minimum wage is $13.00 per hour for those who work less than 650 hours per year.
- Local Ordinances: Some municipalities, such as Chicago, have their own minimum wage ordinances. For example, as of July 1, 2025, Chicago’s minimum wage is $16.60 per hour for most workers.
- Penalties for Non-Payment: If an employer fails to pay the final compensation by the deadline, they may be liable for the unpaid wages plus damages.
New Hire Filing
Reporting deadline
Within 20 days of employee hiring, rehiring, or returning to work.
Reporting online
Reporting by mail
Illinois New Hire Directory
P.O. Box 19212
Springfield, IL 62794-9212
Fax: (217) 557-1947.
New hire reporting form
Child Support
More information
For additional information on child support services, payment methods, or recipient information, individuals should visit the official Illinois Department of Healthcare and Family Services website or contact them directly.
Other
New employer registration
Local taxes
N/A
Reciprocal states
Iowa, Kentucky, Michigan, and Wisconsin.
Disability insurance
N/A
Helpful links
Last Updated
09/17/2025
States
The information provided here should not be considered legal or accounting advice nor should it substitute for legal, accounting, and other professional advice. If you require legal or accounting advice, you should always consult your licensed attorney, accountant, or other professional to discuss the facts of your particular situation.
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