Washington’s average annual wage rose 4.9% in 2025 to $99,810, a milestone that will increase unemployment insurance benefits, paid family and medical leave ben
Washington’s average annual wage rose 4.9% in 2025 to $99,810, a milestone that will increase unemployment insurance benefits, paid family and medical leave benefits, and the taxable wage base for employers in the coming year, according to the state Employment Security Department.
The increase was driven by a 4.7% rise in total earnings statewide, which grew by nearly $15.7 billion, despite a slight decline in covered employment. The average number of workers covered by unemployment insurance fell by 6,905, or 0.2%, from 3.54 million in 2024 to 3.54 million in 2025. The state’s average weekly wage increased from $1,830 in 2024 to $1,919 in 2025. The figures include only wages covered by unemployment insurance.
The updated wage estimate will be used to calculate unemployment benefits for claims opened on or after July 5, 2026, paid family and medical leave benefits for claims filed on or after Jan. 1, 2027, and unemployment insurance taxes employers will pay beginning Jan. 1, 2027. Under the new calculations, the minimum weekly unemployment benefit will increase by $17, from $366 to $383, while the maximum weekly benefit will rise by $56, from $1,152 to $1,208.
State law limits weekly unemployment payments so they cannot exceed a claimant’s average weekly wage. Paid family and medical leave benefits will also increase. The maximum weekly paid leave benefit will rise from $1,647 to $1,727 for claims filed in 2027, while the minimum benefit will remain unchanged at $100 per week. Employers will see an increase in the taxable wage base used to calculate unemployment insurance taxes.
Beginning in 2027, employers will pay unemployment payroll taxes on the first $82,000 earned by each employee, up from $78,200 in 2026. Washington’s unemployment insurance system is experience-based, meaning employers’ tax rates generally depend on the amount of unemployment benefits collected by former workers and the size of the employer’s payroll. Among industry sectors, professional, scientific, and technical services recorded the largest average annual wage growth in 2025, rising 12.5%.
Finance and insurance wages increased 8.7%, while wages in the information sector climbed 8.4%. The state’s average annual wage has increased steadily in recent years, rising from $89,138 in 2023 to $95,160 in 2024 and reaching $99,810 in 2025. The data compares preliminary annual wage estimates from previous years and is not adjusted for inflation.
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