Understanding Payroll Taxes | Definitions, Costs & Calculations

August 2, 2024
Reading time 15min

Expanding your business to the United States presents a world of opportunity, but the complexities of its payroll tax system can be a daunting obstacle. The intricate web of federal, state, and local regulations and frequent changes can lead to costly errors and compliance issues. Our comprehensive eBook offers a lifeline, providing clear, actionable guidance to help you confidently navigate this challenging landscape.

What you'll learn inside of the 'Understanding US Payroll' eBook:

Clear and concise definitions
Grasp the fundamental differences between payroll taxes, employment taxes, and income taxes, ensuring a solid foundation for understanding the US tax landscape.

In-depth breakdowns
Explore the intricacies of federal, state, and local payroll taxes, including Social Security, Medicare, FUTA, and SUTA, with detailed explanations and practical examples.

Real-world impact
Gain a clear understanding of how payroll taxes affect your bottom line through illustrative case studies and practical scenarios.

Accurate calculations
Master the methodologies for precisely calculating employer and employee payroll taxes, which will help you avoid costly errors.

Effective risk mitigation
Discover proven strategies to ensure compliance, minimize tax liabilities, and protect your business from potential penalties.

By mastering US payroll taxes, you can:

Protect your bottom line
Avoid costly penalties, audits, and interest charges stemming from non-compliance with complex tax regulations.

Optimize labor expenditures Accurately calculate total employment costs, including wages, benefits, and taxes, to make informed decisions about staffing and budgeting.

Build a solid financial foundation
Develop a clear understanding of your overall financial obligations, enabling you to make strategic business decisions with confidence.

Focus on growth
Streamline payroll processes by outsourcing complex calculations and compliance tasks, freeing up valuable time and resources to drive business expansion.

Enhance business credibility
Demonstrate your commitment to financial transparency, legal compliance, and responsible business practices to build trust with stakeholders.

Don’t let payroll taxes hinder your US expansion. Our eBook empowers you with the knowledge and tools to navigate this complex landscape confidently. Download your copy today and unlock the potential for seamless growth in the US market. And remember, our US expansion advisors are always at hand to answer any questions you may have, providing additional support on your journey.

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CLIENT REVIEWS

Since 2015, thousands of businesses have put their trust in Foothold America.

"Foothold America was able to get things done for us very quickly. They made life easier for us and worked with us to make sure staff were looked after and that we were able to get up and running."

Operations Manager, UK Network Security Company

"We needed to access the US market to maximize our potential for growth. We selected our employee and Foothold America managed the payroll and payroll taxes, benefits, taxes and other employee logistics, enabling us to avoid dealing with the bureaucratic maze of employing someone in the US."

CEO, Belgium Manufacturing Company

"Foothold America was instrumental in helping my UK company employ field applications sales people in the US without having to set up a US subsidiary, which is the usual route for foreign companies. Foothold America facilitated this by employing the people we had chosen and handling all the employment, terms, salaries, taxes, social costs etc. They then billed us monthly for these costs plus a reasonable service charge. As a result, we were able get going very quickly with our own people in the USA and at a much lower cost base."

CEO, UK Biotech Company

"I couldn’t manage our US subsidiary without Foothold America. Our small HR department isn’t equipped with the knowledge or staff to handle our US employees. I could end my workday in the UK knowing Foothold America would take care of everything in the US."

Head of HR, UK financial services firm

"We currently use Foothold America's Employer of Record Service and plan to move to their People Partnership Service when we set up an entity in the coming months. It’s great knowing we can work with one partner through various stages of our growth."

CMO, Norway IT company

"We started US expansion on our own and soon after, we stumbled over employee benefits leaving our expat staff and families without healthcare insurance. It was a huge risk for them and our company. Foothold America came in and got us sorted. They’ve been taking care of us ever since."