Maine 2025 pay stub requirements and its laws
Before issuing pay stubs to employees and contractors in Maine, it's crucial to familiarize yourself with the relevant laws and regulations.
This guide outlines the essential information for employers in Maine regarding payroll processing and pay stub provision.
Pay stub regulations in Maine
1. Are pay stubs required by law in Maine?
Employers in Maine must provide their employees with pay stubs every payday.
2. How often do you need a pay stub in Maine?
You will need to pay your employees on a semi-monthly basis. As pay stubs are mandatory in Maine, you will need to provide pay stubs every time you pay your employees.
3. What information can be included on a pay stub in Maine?
The following information must be included in employee pay stubs:
- Employee information such as name, last 4 digits of social security number, and address
- Employer information such as name, employer identification number (EIN), and address
- The number of regular and overtime hours worked;
- Rate of pay;
- Total Earnings;
- Deductions for taxes;
- Itemized deductions
- Beginning and ending dates of the pay period.
4. Does Maine have a state income tax?
Yes. The State of Maine requires employers to withhold income taxes from employee paychecks.
5. Are there any other taxes applicable to Maine?
There are no local taxes in the state of Maine.
Information needed to generate pay stubs
To provide employees with accurate pay stubs, the information below is required.
- Employee's total allowances
- Employee's exemption status from state withholding
- Filing status and additional state withholding amount
Maine wage and hour laws
Maine labor law mandates that employers comply with wage and hour regulations. This ensures that non-exempt employees receive fair compensation, including at least minimum wage, proper overtime pay, adequate meal and rest breaks, and the accrual of suitable paid time-off benefits.
Maine employment law encompasses a broad spectrum of regulations that address various aspects of labor rights and responsibilities within the state.
Maine Minimum wage
Maine mandates that businesses guarantee their employees receive at least the minimum hourly wage as specified by state law.
As of 2024, the basic minimum wage rate stands at $14.15 per hour.
Effective January 1, 2025, the minimum wage will increase to $14.65 per hour.
Additionally, if the federal minimum wage exceeds the state minimum wage, the state's minimum wage will adjust accordingly to match it, effective simultaneously with the federal increase. This adjustment occurs annually according to a predetermined formula.
Maine Overtime law
Unless exempted under specific circumstances, employees subject to Maine's overtime law are entitled to compensation for hours worked beyond 40 in a single work week. This compensation must be at a rate of at least one and a half times their regular rate of pay.
Maine Meal break
Maine employers are not required by law to provide meal breaks.
Maine rest break
In Maine, unless stated otherwise in a written agreement, employees must not work for more than 6 consecutive hours without at least a 30-minute break, unless there's an emergency. This break can be unpaid mealtime if the employee is fully relieved of duties. However, this rule doesn't apply to businesses with fewer than 3 employees on duty simultaneously or to jobs that naturally include frequent shorter paid breaks.
Paid time off and leave
Maine mandates that employers offer employees a range of leave benefits, including both compulsory and optional provisions.
| Required Leave | Non-Required leave | |
|---|---|---|
| paid | Unpaid | Paid or Unpaid |
| Earned paid leave - Employers with a minimum of 10 employees must permit employees to accrue one hour of paid leave for every 40 hours worked, up to a maximum of 40 hours per year. | The Family and Medical Leave Act (FMLA) requires employers to offer a minimum of 12 weeks of unpaid family leave. | Vacation leave |
| Jury Duty leave | Bereavement leave | |
| Military leave | Sick leave | |
| Family military leave - Employers with 15 or more employees must grant eligible employees up to 15 days of unpaid family military leave per deployment. | Voting leave | |
Maine State payroll taxes 2025
In Maine, payroll taxes are classified into the following categories:
- Maine Personal Income Tax(PIT)
- Maine State Unemployment Insurance (UI)
Maine Personal Income Tax(PIT)
In Maine, state personal income tax rates fluctuate based on an individual's filing status and income level, which can be categorized as Single, Married Filing Separately, Married Filing Jointly, or Head of Household.
Maine State Personal Income Tax Rates for 2024:
State personal income tax rates For tax years starting in 2024, an inflation adjustment is applied by multiplying the cost-of-living adjustment of 1.238 to the lowest dollar amounts of the tax rate tables, and 1.233 to the highest dollar amounts of the tax rate tables. The Maine personal exemption amount is modified by multiplying the cost-of-living adjustment of 1.215 by the specified dollar amount of the personal exemption for both the taxpayer and their spouse if married. The Maine standard deduction matches the federal standard deduction amount.
Tax Rate Schedule #1- applies to single individuals and married persons filing separate returns.
| If the taxable income is: | The tax is: |
|---|---|
| Less than $26,050 | 5.8% of Maine's taxable income |
| $26,050 but less than $61,600 | $1,511 plus 6.75% of excess over $26,050 |
| $61,600 or more | $3,911 plus 7.15% of excess over $61,600 |
Tax Rate Schedule #2- For unmarried or legally separated individuals who qualify as Heads of Household.
| If the taxable income is: | The tax is: |
|---|---|
| Less than $39,050 | 5.8% of Maine's taxable income |
| $39,050 but less than $92,450 | $2,265 plus 6.75% of the excess over $39,050 |
| $92,450 or more | $3,911 plus 7.15% of excess over $61,600 |
Tax Rate Schedule #3- For Married Individuals and Surviving Spouses Filing Joint Returns.
| If the taxable income is: | The tax is: |
|---|---|
| Less than $52,100 | 5.8% of Maine's taxable income |
| $52,100 but less than $123,250 | $3,022 plus 6.75% of the excess over $52,100 |
| $123,250 or more | $7,825 plus 7.15% of the excess over $123,250 |
Maine Personal Exemption & Standard Deduction 2024:
- Personal Exemption: $5,000 (for taxpayer and spouse if married)
- Standard Deduction:
- Single: $14,600
- Married Filing Jointly: $29,200
- Head of Household: $21,900
- Married Filing Separately: $14,600
Maine State Personal Income Tax Rates for 2025:
State personal income tax rates For tax years beginning in 2025,Maine will apply an inflation adjustment by multiplying the cost-of-living adjustment of 1.274 to the lowest dollar thresholds in the tax rate tables, and 1.269 to the highest dollar thresholds. The Maine personal exemption amount will be adjusted by multiplying the cost-of-living adjustment of 1.25 to the exemption amount for both the taxpayer and their spouse, if married. The Maine standard deduction amount will match the federal standard deduction amount.
Tax Rate Schedule #1- For Single Individuals and Married Persons Filing Separate Returns
| Taxable Income | Tax Rate |
|---|---|
| Less than $26,800 | 5.8% of Maine taxable income |
| $26,800 but less than $63,450 | $1,554 + 6.75% of excess over $26,800 |
| $63,450 or more | $4,028 + 7.15% of excess over $63,450 |
Tax Rate Schedule #2- For Unmarried or Legally Separated Individuals who Qualify as Heads of Household
| Taxable Income | Tax Rate |
|---|---|
| Less than $40,200 | 5.8% of Maine taxable income |
| $40,200 but less than $95,150 | $2,332 + 6.75% of excess over $40,200 |
| $95,150 or more | $6,041 + 7.15% of excess over $95,150 |
Tax Rate Schedule #3- For Married Individuals and Surviving Spouses Filing Joint Returns
| Taxable Income | Tax Rate |
|---|---|
| Less than $53,600 | 5.8% of Maine taxable income |
| $53,600 but less than $126,900 | $3,109 + 6.75% of excess over $53,600 |
| $126,900 or more | $8,057 + 7.15% of excess over $126,900 |
Maine Personal Exemption & Standard Deduction for 2025:
- Personal Exemption: $5,150 (for taxpayer and spouse if married)
- Standard Deduction:
- Single: $15,000
- Married Filing Jointly: $30,000
- Head of Household: $22,500
- Married Filing Separately: $15,000
Maine State Unemployment Insurance (UI)
Maine introduced the State Unemployment Tax Act (SUTA) to support individuals experiencing unemployment by providing unemployment benefits. This legislation enables the state to collect the essential funds required for administering unemployment insurance benefits to eligible individuals during periods of joblessness.
- In 2025, Maine's State Unemployment Tax Act (SUTA) rates spanned from 0.30% to 6.27%.
- The new employer rate consists of 2.11%, along with the CSSF rate of 0.14% and the UPAF rate of 0.16%, resulting in a combined rate of 2.41%.
- Additionally, the taxable wage base for SUTA in Maine for the year 2025 is $12,000.
Maine payroll tax filing
- Report of New hire Employees and Independent Contractors
- Maine Personal income tax filing (Form 1040ME)
- Quarterly contribution report(Form ME UC-1)
Report of New hire Employees and Independent Contractors
Employers are obligated to report the hiring of both newly hired employees and independent contractors to the Maine Department of Health and Human Services. This report must be submitted within seven days of the employee's hire, return to work, or rehire. Failure to comply with these reporting obligations may result in a civil penalty of up to $200.00 per month for each violation.
How to report employees and independent contractors new hires in Maine?
Maine offers various options for submitting new hire information, allowing flexibility in the reporting procedure.
| Online | Fax | |
|---|---|---|
| Employees and independent contractors New Hire Report | Maine Division of Support Enforcement and Recovery - New Hire Reporting Program Address Information: 11 State House Station 109 Capitol St., 2nd Floor Augusta, ME 04333 Direct Phone:207-624-4100 Email: maine.newhire@maine.gov | Fax 1: 207-287-6882 |
Maine Personal income tax filing (Form 1040ME)
Maine residents and part-year residents must file Form 1040ME to report their state income taxes. The deadline for the 2024 tax year is April 15, 2025.
Quarterly contribution report(Form ME UC-1)
Employers are required to submit a report every quarter, regardless of whether they made unemployment contributions or paid wages during that period. The quarterly report is due by the last day of the month following the end of each calendar quarter.
Employers typically file these reports online through Maine's ReEmployME online system. However, for those not filing electronically, all employers registered to remit unemployment contributions must submit Form ME UC-1.
Reports are to be filled out and submitted on a quarterly basis, following this schedule:
| Reporting Period | Due Date |
|---|---|
| Quarter 1 | April 30 |
| Quarter 2 | July 31 |
| Quarter 3 | October 31 |
| Quarter 4 | January 31 |
Starting January 1, 2024, the interest rate is set at 10% per year, compounded monthly. The penalty for late payment of unemployment contributions is 1% per month, capped at 25% of the amount due. Late filing incurs a penalty of 10% of the tax liability or $25, whichever is higher. If the report is filed more than 60 days after demand, the penalty is the greater of $25 or 25% of the amount due.
Have all the information handy?
With SecurePayStubs, you can calculate accurate federal and Maine state taxes for your employees and generate pay stubs securely.
Processing payroll manually is complex
As a business owner who runs payroll manually, you will need to keep up with ever-changing payroll laws. You already have a lot on your plate and you might not want to get into the complex process of pay stub generation.
Utilize SecurePayStubs, a reliable paystub generator, to swiftly generate accurate pay stubs for your employees, incorporating federal and Maine state taxes. In just 2 minutes, you can effortlessly create pay stubs for both employees and independent contractors.Enter the basic employee and employer information, select a pay stub template for free, and let SecurePayStubs calculate the applicable payroll taxes accurately.
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This article has been updated from its original publication date of February 11, 2025.