According to the Employment Security Department (ESD), the state average annual wage was $99,810 in 2025. That’s an increase of 4.9% over 2024. ESD reports that earnings increased by 4.7%, but covered employment declined by 0.2%.

The state average annual wage is used to calculate state unemployment insurance (UI) taxes and benefits, paid family and medical leave (PFML) benefits, and workers’ compensation benefits.

For calendar year 2027, the UI taxable wage base will increase from $78,200 to $82,000. (Washington has the nation’s highest taxable wage base. In 2026, the next highest is Hawaii’s $64,500.) For new UI claims opened on or after July 5, 2026, the minimum weekly benefit will increase from $366 to $383 and the maximum weekly benefit will increase from $1,152 to $1,208. (Earlier this year, ESD reported that it expects a UI solvency tax will be required in 2027, 2028, and 2029.)

For PFML claims filed on or after Jan. 1, 2027, the maximum weekly benefit will increase from $1,647 to $1,727. The minimum weekly benefit is unchanged at $100. (The PFML program has an ongoing solvency problem.)

Workers’ compensation time-loss and pension benefit amounts will also increase by 4.7%, but the Department of Labor & Industries has not made the announcement yet.