Colorado vs Washington Payroll Comparison
Compare payroll compliance requirements between Colorado and Washington. 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.
| Requirement | Colorado | Washington |
|---|---|---|
| Minimum Wage | ⚠️$15.16/hour (2026); Denver $19.29 | ⚠️$17.13/hour (2026); Seattle $21.30 |
| Tipped Minimum | $12.14 + tips (2026) | ✓$17.13 (no tip credit) |
| Overtime Threshold | 40 hrs/week AND 12 hrs/day | 40 hours/week |
| Final Pay (Termination) | ⚠️Immediately | End of next regular pay period |
| Final Pay (Resignation) | Next regular payday | End of next regular pay period |
| PTO Payout Required? | ⚠️Yes (vacation is earned wages) | ✓No (unless policy requires) |
| Pay Frequency Mandate | Monthly, semi-monthly, or more frequent | At least monthly |
| State Income Tax | ⚠️Yes (4.4% flat rate) | ✓None |
| Unemployment Insurance | Yes | Yes |
| State Disability Insurance | ✓No (FAMLI covers some) | ✓No (separate from PFML) |
| Paid Family Leave (FAMLI) | ⚠️Yes (starting 2024) | N/A |
| Paid Sick Leave | ⚠️Yes (48 hours/year) | ⚠️Yes (1 hour per 40 hours) |
| Workers' Comp Required | ⚠️Yes (all employers) | ⚠️Yes (all employees) |
| Paid Family Leave | N/A | ⚠️Yes (WA PFML) |
Key Differences: Colorado vs Washington
COColorado
- Minimum Wage:$15.16/hour (2026); Denver $19.29
- Tipped Minimum:$12.14 + tips (2026)
- Overtime Threshold:40 hrs/week AND 12 hrs/day
- Final Pay (Termination):Immediately
- Final Pay (Resignation):Next regular payday
- PTO Payout Required?:Yes (vacation is earned wages)
WAWashington
- Minimum Wage:$17.13/hour (2026); Seattle $21.30
- Tipped Minimum:$17.13 (no tip credit)
- Overtime Threshold:40 hours/week
- Final Pay (Termination):End of next regular pay period
- Final Pay (Resignation):End of next regular pay period
- PTO Payout Required?:No (unless policy requires)
Understanding Colorado and Washington Payroll Differences
State Income Tax: Colorado has state income tax (Yes (4.4% flat rate)), while Washington has no state income tax. This significantly impacts both employer withholding responsibilities and employee take-home pay.
Minimum Wage: Colorado minimum wage is $15.16/hour (2026); Denver $19.29, compared to Washington at $17.13/hour (2026); Seattle $21.30. Employers must pay at least the higher of federal, state, or local minimum wage requirements.
Paid Sick Leave: Colorado: Yes (48 hours/year). Washington: Yes (1 hour per 40 hours). 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 Colorado and Washington.