Arizona vs New York Payroll Comparison

Compare payroll compliance requirements between Arizona and New York. See key differences in wages, taxes, leave policies, and employer obligations.

Compare State Payroll Requirements

Select 2 states to compare their payroll compliance requirements side-by-side.

Compare 3-5 states with Pro
Popular:
RequirementArizonaNew York
Minimum Wage⚠️$14.70/hour (2025)⚠️$17.00/hr NYC/LI/Westchester, $16.00/hr rest of state (2026)
Tipped Minimum$11.70/hourVaries by region and industry
Overtime Threshold⚠️40 hours/week (no daily OT)40 hours/week (FLSA)
Final Pay (Termination)7 working days or next paydayNext regular payday
Final Pay (Resignation)Next regular paydayNext regular payday
PTO Payout Required?No (unless policy requires)No (unless policy requires)
Pay Frequency MandateSemi-monthly (2x per month)Weekly for manual workers; semi-monthly for others
State Income Tax⚠️Yes (2.5% flat rate)⚠️Yes (4% - 10.9%)
Unemployment InsuranceYesYes
State Disability InsuranceNo⚠️Yes (DBL required)
Paid Family LeaveNo⚠️Yes (up to 12 weeks)
Paid Sick Leave⚠️Yes (Prop 206)⚠️Yes (40-56 hours depending on employer size)
Workers' Comp Required⚠️Yes (all employers)⚠️Yes (all employers)
⚠️More restrictive / complexSimpler / no requirement

Summary

New York has the most complex compliance requirements with 6 restrictive rules compared to Arizona's 5.

Key Differences: Arizona vs New York

AZArizona

  • Minimum Wage:$14.70/hour (2025)
  • Tipped Minimum:$11.70/hour
  • Overtime Threshold:40 hours/week (no daily OT)
  • Final Pay (Termination):7 working days or next payday
  • Final Pay (Resignation):Next regular payday
  • PTO Payout Required?:No (unless policy requires)
View full Arizona guide →

NYNew York

  • Minimum Wage:$17.00/hr NYC/LI/Westchester, $16.00/hr rest of state (2026)
  • Tipped Minimum:Varies by region and industry
  • Overtime Threshold:40 hours/week (FLSA)
  • Final Pay (Termination):Next regular payday
  • Final Pay (Resignation):Next regular payday
  • PTO Payout Required?:No (unless policy requires)
View full New York guide →

Understanding Arizona and New York Payroll Differences

State Income Tax: Arizona has state income tax (Yes (2.5% flat rate)), while New York has state income tax (Yes (4% - 10.9%)). This significantly impacts both employer withholding responsibilities and employee take-home pay.

Minimum Wage: Arizona minimum wage is $14.70/hour (2025), compared to New York at $17.00/hr NYC/LI/Westchester, $16.00/hr rest of state (2026). Employers must pay at least the higher of federal, state, or local minimum wage requirements.

Paid Sick Leave: Arizona: Yes (Prop 206). New York: Yes (40-56 hours depending on employer size). States with mandatory paid sick leave require employers to track accruals and provide specific leave entitlements.

For complete compliance requirements, review the full state guides for Arizona and New York.