Washington Proposes Payroll Tax To Fund Services
Rep. Shaun Scott pre-filed House Bill 2100 this week to create the Well Washington Fund through a 5% payroll tax on wages above $125,000, affecting about 4,300 firms including Microsoft and T‑Mobile and projected to raise over $2 billion annually. Revenues will flow to the general fund in 2026 then split 51% to the Well Washington fund in 2027, financing education, Medicaid, housing, and cash assistance; supporters cite workforce benefits, while business groups warn of competitiveness risks.
Key Points
- 1Imposes 5% payroll expense tax on wages above $125,000 for firms meeting size and revenue thresholds
- 2Generates over $2 billion annually to shore up higher education, Medicaid, housing, and cash assistance
- 3Signals potential business relocation risks and affordability concerns, prompting debate over competitiveness versus social investment
Scoring Rationale
Statewide, well-sourced tax proposal with significant revenue implications, but limited novelty and uncertain economic consequences for businesses.
Sources
Public references used for this report.
Practice interview problems based on real data
1,625 SQL & Python problems across 15 industry datasets — the exact type of data you work with.
Try 250 free problems
