Before you can pay employees, make sure you've registered for payroll in their applicable work state. This can sometimes take several weeks—the sooner you start the process, the sooner you'll have the tax account info required to pay them. Learn more about paying your first employee in a new state by watching this quick tutorial.
Gusto partners with CorpNet to help you register in the state—learn more below.
Click Register a company with the state or Find account numbers and rate info—the company is already registered with the state to learn more about:
Once a work address has been added in a new state and a new employee has been hired and assigned a work address in that state, you can get registration assistance in Gusto.
Pricing varies by state—get started below and during step 4, you'll review the price, process, and estimated timeline to completion.
Here’s a snapshot of the process:
CorpNet can walk you through entering any info that they themselves do not enter in Gusto on your behalf.
After you send your order, we’ll email you with status updates and add your order total to your next monthly invoice.
When your order is complete you’ll receive emails from both Gusto and CorpNet. They’ll detail the next steps which include:
Before your order is completed, you can use the link in the state registration confirmation email from Gusto to check the status of your order.
You can also check the status in your Gusto account:
If an order is already completed, you'll need to contact CorpNet at [email protected] or 1(888) 449-2638 to cancel. They’re open Monday-Friday from 7am-5pm PT.
If your order is still in progress, you can cancel from your Gusto account:
Q: Can I run payroll for my employees before my registration is complete?
A: Not in most cases—you typically need to have a withholding account number and required tax rate(s) in Gusto before you can run payroll.
If you’re registering in a state where there is no income tax withheld, you can use the state-specific “new employer rate” in this article until you receive your company-assigned rate from the agency.
Q: Can I use Gusto to register in a new state if I don't have a Federal Employer Identification Number (FEIN) yet?
A: No–you must have a FEIN entered in Gusto to order a state tax registration.
Q: Where can I see all my tax information?
A: You can see all tax details in the following locations:
Gusto’s state tax registration service does not contain tax, legal, financial, or HR advice. Since rules and regulations change over time and can vary by location, consult a lawyer, HR expert, or accountant for specific guidance.
Q: My company is a nonprofit and I'm unable to enter 0% in the responsible party section, what do I do?
A: Some states have a 1% minimum for the responsible party ownership percentage. Those states are: ID, KS, MN, OH, SC, DC, DE, MD, NJ, NY, and RI.
Registration orders will need to be placed directly through CorpNet, outside of Gusto, or you'll need to register directly with the agency yourself.
Click the dropdowns below to learn how to register with state and local agencies.
You should receive your account numbers and company-assigned rate(s) in 7-10 business days after registering online.
Once a valid New York work address has been added in Gusto for one or more employee(s), you can add your tax account information:
New York is one of a few states that require employers to provide disability benefits coverage to employees for an off-the-job injury or illness. They have a state-run program called the New York State Insurance Fund (NYSIF) where you can sign up to provide this policy (Disability Benefits).
You have the option of purchasing coverage with AP Intego if you'd like to do so. AP Intego Disability Insurance is direct bill, meaning you pay the premiums once a year directly to the carrier. However, this is not integrated with Gusto. For more information, reach out to AP Intego directly.
Important
New York allows you to withhold this premium from your employees to help fund this policy—if you elect for Gusto to deduct this amount from your employee's pay, funds will remain in your bank account for you to pay to your SDI insurance provider. At this time, Gusto does not automatically remit payments to your insurance provider.
New York is one of a few states that require employers to provide family leave benefits coverage to employees for qualified leave. Employers should contact their current SDI carrier to learn more about adding Paid Family Leave coverage.
You can choose to deduct up to the annual limit from your employees' wages in order to pay for Family Leave Insurance. If you elect for Gusto to deduct the amount(s), the funds will remain in your bank account for you to pay to your SFLI insurance provider.
At this time, Gusto does not automatically remit payments to your insurance provider.
Workers’ Compensation insurance is mandatory for most employers of one or more employees in New York. You can obtain coverage through the New York State Workers' Compensation Board (WCB), or you can go through a private insurance agent or broker that is licensed in New York, such as our partner AP Intego (now part of NEXT Insurance) who offer policies integrated directly with Gusto.
Local taxes are paid to the State of New York.
Learn more below about some of the local taxes and programs you may encounter.
The metropolitan commuter transportation mobility tax (MCTMT) is a percent of payroll tax that is based on the gross wages paid to employees working within the metropolitan commuter transportation district (MCTD).
The MCTD includes the counties of:
To determine which employees are subject to MCTMT, refer to the Department of Taxation and Finance website.
Step one: Let us know if you’re liable for MCTMT
When onboarding an employee in New York, you’ll be prompted to let us know if their wages are subject to MCTMT.
Step two: Let us know if you’ve paid MCTMT in the past
If you selected for us to withhold, you’ll be prompted to let us know if you’ve deposited MCTMT in previous quarters.
Payments and reporting
We'll report subject wages on the Employer's Quarterly Metropolitan Transit Tax Form (MTA-305), which can be found in your Documents tab in the quarterly package.
Agency payments made for the MCTMT can be found by running an "Agency Payments" report from the Reports section of your admin account.
New York offers a program for tax exemptions for qualified startups called START-UP NY. We don't formally support the START-UP NY program at this time, but you can view the agency website for full program regulations and responsibilities.
If your employee is eligible for this program and chooses to exempt their wages, contact us so we can help ensure your account details and filings are set up correctly.
If you've already registered in the state, you'll need to enter your tax account details in Gusto in order to pay employees.
You'll need to be registered with one or more of the below agencies in order for Gusto to file and pay taxes on your behalf:
If you still need to register, click the Register a company with state and local agencies dropdown above in this article.
If you've run payroll in New York in the past, your New York State Identification Number (for income tax withholding) will be your FEIN followed by a 2-digit location code.
Learn where to enter this information in Gusto by clicking the applicable dropdown below. If you need to update your account number, contact us from the Help or Priority support section of your account—there may be tax implications if taxes have already been paid or filed to an incorrect account number.
Employer Registration Number
You can find your unemployment Employer Registration Number from the Department of Labor on:
If you use the New York Business Express site, the account number may be called an ER-#.
Learn where to enter this information in Gusto by clicking the applicable dropdown below. If you need to update your account number, contact us from the Help section of your account—there may be tax implications if taxes have already been paid or filed to an incorrect account number.
Unemployment tax rate (contribution rate)
Your UI contribution rate appears on:
If you're unsure about your account number or rate, call the agency at (888) 899-8810. Learn where to enter this information in Gusto by clicking the applicable dropdown below.
If you don't have your rate yet and need it to run payroll, you can enter the state-specific "new employer rate" found in this article.
Find your PrompTax 6-digit code
PrompTax is an electronic filing and payment program that is typically required if your aggregate tax withheld for the previous tax year is $100,000 or more. Employers that are required to pay electronically will receive a notice from the New York Department of Taxation and Finance with instructions on how to do this.
When you register your business for PrompTax via Online Services, you'll receive a 6-digit access code.
Need help finding your 6-digit PromptTax access code/PIN? Contact the NY PrompTax Customer Service Center at (518) 457-2332.
If you're already registered for the PrompTax e-payment system, choose ACH Credit as your payment option, and ZenPayroll, Inc. as your payroll provider.
New York is one of a few states that require employers to provide disability benefits coverage to employees for an off-the-job injury or illness. They have a state-run program called the New York State Insurance Fund (NYSIF) where you can sign up to provide this policy (Disability Benefits).
Important
New York allows you to withhold this premium from your employees to help fund this policy—if you elect for Gusto to deduct this amount from your employee's pay, funds will remain in your bank account for you to pay to your SDI insurance provider. At this time, Gusto does not automatically remit payments to your insurance provider.
New York is one of a few states that require employers to provide family leave benefits coverage to employees for qualified leave. Employers should contact their current SDI carrier to learn more about adding Paid Family Leave coverage.
You can choose to deduct up to the annual limit from your employees' wages in order to pay for Family Leave Insurance. If you elect for Gusto to deduct the amount(s), the funds will remain in your bank account for you to pay to your SFLI insurance provider.
At this time, Gusto does not automatically remit payments to your insurance provider.
Workers’ Compensation insurance is mandatory for most employers of one or more employees in New York. You can obtain coverage through the New York State Workers' Compensation Board (WCB), or you can go through a private insurance agent or broker that is licensed in New York, such as our partner AP Intego (now part of NEXT Insurance) who offer policies integrated directly with Gusto.
Local taxes are paid to the State of New York.
Learn more below about some of the local taxes and programs you may encounter.
The metropolitan commuter transportation mobility tax (MCTMT) is a percent of payroll tax that is based on the gross wages paid to employees working within the metropolitan commuter transportation district (MCTD).
The MCTD includes the counties of:
To determine which employees are subject to MCTMT, refer to the Department of Taxation and Finance website.
Step one: Let us know if you’re liable for MCTMT
When onboarding an employee in New York, you’ll be prompted to let us know if their wages are subject to MCTMT.
Step two: Let us know if you’ve paid MCTMT in the past
If you selected for us to withhold, you’ll be prompted to let us know if you’ve deposited MCTMT in previous quarters.
Payments and reporting
We'll report subject wages on the Employer's Quarterly Metropolitan Transit Tax Form (MTA-305), which can be found in your Documents tab in the quarterly package.
Agency payments made for the MCTMT can be found by running an "Agency Payments" report from the Reports section of your admin account.
New York offers a program for tax exemptions for qualified startups called START-UP NY. We don't formally support the START-UP NY program at this time, but you can view the agency website for full program regulations and responsibilities.
If your employee is eligible for this program and chooses to exempt their wages, contact us so we can help ensure your account details and filings are set up correctly.
Once a valid local address has been added in Gusto for one or more employee(s), you can add your tax account information:
Where to find the forms available in your account
Head to the Taxes & compliance section and select Tax documents. Use the tabs on the page to toggle between federal, state, W-2, and 1099 forms.
Asterisks info—only if applicable