DELAWARE PAYROLL RESOURCES · DE · REVIEWED 2026-10-03
Review Delaware’s wage-statement rule for employers of more than three employees, 2026 unemployment figures, Delaware Paid Leave contributions, the Wilmington earned income tax, and official employer resources. Run payroll for a small team and get employee statements from every calculated run.
AT A GLANCE
Delaware’s statement rule is tied to employer size. Under 19 Del. C. § 1108(4), every employer of over 3 employees must furnish each employee, at the time of payment, a statement showing the wages due, the pay period for which the wages are due, and the total amount of deductions, separately specified. For an employee paid at an hourly rate, the statement must also show the total hours for the pay period. The statement may be on the check, on a separate slip, or electronic if the employee can retain it—and an employee who receives an electronic statement may request a written slip.
Show wages due, the pay period, and each deduction separately specified; add total hours for hourly employees. Deliver on the check, on a separate slip, or electronically in a form the employee can retain.
See details →Use the Delaware Division of Revenue’s current employer withholding guidance and tables for state income-tax withholding.
View employer withholding guide →For 2026, Delaware’s taxable wage base is $14,500, the new-employer rate is 1.0%, and the published rate range is 0.3% to 5.4%.
View 2026 merit rate table →Employers with 10 or more Delaware employees participate in Delaware Paid Leave. Employers may deduct no more than 50% of the required contribution from employees’ wages. Employers with 10–24 employees are covered for parental leave; employers with 25 or more are covered for all leave types.
View Delaware Paid Leave →STATE PAYROLL OVERVIEW
Delaware’s Wage Payment and Collection Act imposes its statement duty only on employers of more than three employees. Section 1108 also requires those employers to notify employees in writing at hiring of the rate of pay and the day, hour, and place of payment; to give notice before reducing pay; to make vacation, sick-leave, and similar policies available; and to keep wage-and-hour records for at least three years. The chapter does not apply to employees of the federal government, the State of Delaware, or its political subdivisions, or to independent contractors.
The statement contents are deliberately narrow: wages due, the pay period, separately specified deductions, and hours for hourly employees. Delaware permits an electronic statement without a stated advance-consent requirement, provided the statement is in a form the employee can retain, and the employee may request a written slip instead.
Delaware Paid Leave adds a payroll deduction for many employers. For 2025 and 2026 the total contribution rate is 0.8% of wages for employers covered for all leave types (25 or more employees) and 0.32% for employers covered only for parental leave (10–24 employees). Employers may deduct up to 50% of the required contribution from employee wages. Employers with fewer than 10 Delaware employees are not required to participate but may opt in to parental-leave coverage.
PAYROLL REQUIREMENTS CHECKLIST
Determine whether the employer has more than three employees. Section 1108’s statement, notice, and recordkeeping duties are written for employers of over 3 employees.
Show the wages due, the pay period for which the wages are due, and the total amount of deductions, separately specified. For hourly employees, show the total hours for the pay period.
Provide the statement on the check, by separate slip, or electronically in a form the employee can retain. If the statement is electronic, the employee may request a written separate slip.
Apply Delaware withholding, unemployment contributions, Delaware Paid Leave contributions where covered, Wilmington earned income tax where applicable, and workers’ compensation separately from the statement rule.
PAYROLL RECORDS IN PRACTICE
An electronic statement satisfies § 1108(4) only if it is in a form the employee can retain. Keep a written-slip option available for employees who request one.
Covered employers must make, keep, and preserve the chapter’s records, including wage and hour records, for not less than three years, at the place of business or at one or more central recordkeeping offices.
USE CURRENT DELAWARE INSTRUCTIONS — AND CHECK WILMINGTON
Use the Division of Revenue’s current employer guidance for Delaware income-tax withholding. Separately determine whether the employee lives in Wilmington or performs work there, because the City of Wilmington administers its own earned income tax. Do not combine state and city withholding into a single “Delaware rate.”
LOCAL CONSIDERATIONS
Delaware payroll becomes location-sensitive in Wilmington. Elsewhere in the state, the primary sources reviewed did not identify another municipal wage tax.
A SOURCE-BACKED WORKFLOW
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OFFICIAL DELAWARE SOURCES USED FOR THIS PAGE
Primary authority for the over-3-employee statement, notice, and three-year recordkeeping duties.
Employer withholding regulations and duties.
2026 taxable wage base and merit rate table.
Coverage tiers, contribution rules, and employer resources.
Official city earned income tax information.
Official workers’ compensation employer guidance.
RESEARCH & REVIEW
This page is built from primary Delaware state and Wilmington city sources and is periodically reviewed against current agency guidance. We use the Delaware Code, Division of Revenue withholding guidance, Department of Labor unemployment and Paid Leave materials, and official city tax information whenever available.
FREQUENTLY ASKED QUESTIONS
ACCURATE RECORDS. SUPPORTING EVIDENCE.
Prepare a Delaware Pay Run, review state, Paid Leave, and Wilmington amounts before completion, and keep the applicable Delaware sources with your payroll workflow.