Massachusetts New Employer Registration: Step-by-Step Guide

Last reviewed: July 2026

Hiring your first Massachusetts employee triggers a short list of federal and state registrations. None of them are difficult on their own, but skipping one, or doing them out of order, tends to slow down your first payroll run by days or weeks. Here's the full sequence.

Registration Overview

Here's what every new Massachusetts employer needs on file before payday:

• Federal Employer Identification Number (EIN)
• Massachusetts withholding account (Department of Revenue)
• Massachusetts SUI account (Department of Unemployment Assistance)
• Workers' compensation insurance
• New hire report filed within 14 days
• A payroll system that can handle both federal and state withholding

Step 1: Get Your Federal EIN

Your Employer Identification Number (EIN) is the federal tax ID for your business. Apply online at IRS.gov/EIN; it's free, and the number is issued immediately once you finish the application.

Step 2: Register with the Massachusetts Department of Revenue

Register for a withholding account through MassTaxConnect, the DOR's online portal. This account is what lets you withhold Massachusetts income tax from paychecks and deposit it on the schedule the DOR assigns you.

From the Payroll Desk

Register before you post a job listing, not after someone accepts an offer. MassTaxConnect approval is usually fast, but leaving it until the week of your first payroll adds unnecessary risk.

Step 3: Register for SUI with the DUA

Register for unemployment insurance through the Department of Unemployment Assistance. You'll receive:

• An employer account number
• Your new-employer contribution rate (2.42% for most employers in 2026, 6.08% for construction)
• A quarterly filing schedule

SUI is charged on the first $15,000 of each employee's wages for 2026 and is paid entirely by the employer. See our Massachusetts SUI Rates 2026 guide for the full rate table.

Step 4: Workers' Compensation Insurance

Massachusetts requires workers' compensation coverage for nearly every employer with one or more employees, part-time or full-time. Coverage comes from a private insurance carrier, and premiums vary by industry classification and claims history, so it's worth getting quotes from more than one carrier before you settle on one.

Step 5: New Hire Reporting

Report every new hire and rehire within 14 days of the start date, either through MassTaxConnect or by mailing the paper form. That's a tighter window than the 20-day federal default other states use, and the report is what feeds the child support enforcement system. Our Form 941 guide covers the matching federal reporting cadence once payroll is running.

Step 6: Set Up Payroll

With registrations complete, you're ready to run payroll. Use the paycheck calculator to sanity-check a sample paycheck, and hand new hires the W-4 helper so their federal and M-4 withholding forms come back filled out correctly the first time.

Frequently Asked Questions

Where do Massachusetts employers register for unemployment insurance?

Massachusetts employers register for a SUI account with the Department of Unemployment Assistance (DUA). Registration happens online, and you'll get an employer account number and a new-employer contribution rate.

Where do Massachusetts employers register for state income tax withholding?

Massachusetts employers register for withholding with the Massachusetts Department of Revenue through MassTaxConnect. You'll receive a withholding account number used on every deposit and return you file afterward.

Do I need to register before running my first payroll in Massachusetts?

Yes. Get your DOR withholding account and your DUA unemployment insurance account set up before your first payroll, since both are needed to file and deposit state payroll taxes on time.