New Mexico

Withholding

Withholding requirements

Employees should complete Form W-4, Employee’s Withholding Allowance Certificate for New Mexico withholding. Employers should follow the formula as their withholding method.
http://www.irs.gov/pub/irs-pdf/fw4.pdf

Supplemental rate

4.9% flat rate

State Unemployment Insurance (SUI)

Wage base

$24,800

Contribuitions

Rates range from 0.33% to 5.4%
New contributing employers use their industry average unemployment insurance contribution rate or 1%, whichever is greater.

More information

https://www.dws.state.nm.us/Business/Unemployment-Insurance/Unemployment-Insurance-Tax-Information/How-UI-Tax-Rates-Are-Calculated

Workers’ Compensation fee — The fee for the employer is $2.30 times the number of covered employees working on the last day of the quarter. The fee for covered employees working on the last day of the quarter is $2.00.

Labor

Minimum wage

Minimum Wage is $7.50/hour for most New Mexico businesses. Exceptions are:Albuquerque minimum wage is $9.20/hour; $8.20/hourhour if you provide healthcare and/or childcare benefits.Santa Fe: The minimum wage is $11.40/hourLas Cruces $10.10/hour.

Termination Pay

If an employee is fired, they should receive their final termination pay within five days. If they quit, they should receive their payment on the next regular payday.

More information

New Hire Filing

Reporting deadline

Employers must report hiring, rehiring, and return to work within 20 days.

Reporting by mail

New Mexico New Hires Directory
P.O. Box 29480
Santa Fe, NM 87592-9480

New hire reporting form

Form W-4

Child Support

More information

State Disbursement Unit
Child Support Enforcement Division
P.O. Box 25109
Albuquerque, NM 87125

Other

New employer registration

New employers must register with the following:
Department of Workforce Solutions: https://ui.dws.state.nm.us/Employer/Revenue/Registration/EmployerRegistration/RegisterEmployer.aspx
Department of Taxation and Revenue: https://tap.state.nm.us/tap/_/

Local taxes

N/A

Reciprocal states

N/A

Disability insurance

N/A

Helpful links

Department of Workforce Solutions: http://www.dws.state.nm.us/
Taxation and Revenue: http://www.tax.newmexico.gov/
Human Services Department: http://www.hsd.state.nm.us/LookingForAssistance/overview-2.aspx

Last Updated

05/01/2019

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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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