Payroll New Mexico, Unique Aspects of New Mexico Payroll Law and Practice

The New Mexico State Agency that oversees the collection and reporting of State income taxes deducted from payment checks is:

Taxation and Revenue Department

PO Box 630

Santa Fe, NM 87504-0630

(505) 827-0867

New Mexico does not have a state form to calculate state income tax withholding.

Not all states allow salary reductions made under Section 125 cafeteria plans or 401 (k) to be treated in the same manner as the IRS code allows. In New Mexico cafeteria plans are not taxable for income tax calculation; not taxable for unemployment insurance purposes. 401 (k) plan deferrals are not taxable for income taxes; taxable for unemployment purposes.

In New Mexico supplementary wages are taxed at a 7.7% flat rate.

You may file your New Mexico State W-2s by magnetic media if you choose to.

The New Mexico State Unemployment Insurance Agency is:

Department of Labor

Employment Security Division

401 Broadway, NE

PO Box 2281

Albuquerque, NM 87102

(505) 841-8712

The State of New Mexico taxable wage base for unemployment purposes is wages up to $ 16,800.00.

New Mexico requires Magnetic media reporting of quarterly wage reporting if the employer has at least 250 employees that they are reporting that quarter.

Unemployment records must be retained in New Mexico for a minimum period of four years. This information generally includes: name; social security number; dates of hire, rehire and termination; wages by period; pay pay periods and pay dates; date and circumstances of termination.

The New Mexico State Agency charged with enforcing the state wage and hour laws is:

Department of Labor

Labor and Industrial Division

501 Mountain Rd., NE

Albuquerque, NM 87102

(505) 841-8983

The minimum wage in New Mexico is $ 5.15 per hour.

The general provision in New Mexico concern paying overtime in a non-FLSA covered employer is one and one half times regular rate after 40-hour week.

New Mexico State new hire reporting requirements are that every employer must report every new hire and rehire. The employer must report the federally required elements of:

  • Employee's name
  • Employee's address
  • Employee's social security number
  • Employer's name
  • Employers address
  • Employer's Federal Employer Identification Number (EIN)

This information must be reported within 20 days of the hiring or rehiring.
The information can be sent as a W4 or equivalent by mail, fax or electronically.
There is a $ 20.00 penalty for a late report and $ 500 for conspiracy in New Mexico.

The New Mexico new hire-reporting agency can be reached at 888-878-1607 or 505-995-8230 or on the web at

New Mexico does not allow compulsory direct deposit

New Mexico requires the following information on an employee's pay stub:

  • Gross and Net Earnings
  • Employer's name
  • gross wages and benefits
  • hours worked
  • itemized discounts

New Mexico requires that employee be paid no less often than semimonthly, up to 16 days apart; monthly for FLSA-exempt employees.

New Mexico requires that the lag time between the end of the pay period and the payment of wages earned from 1st-15th of month, pay by 25th; from 16th-end of month, pay by 10th of next month; 5 days extra for out-of-date invoices.

New Mexico payroll law requires that involuntarily terminated employees must be paid their final pay with in 5 working days; 10 days for wages paid by commission, task, or piece rates; next regular payday if suspended due to labor dispute. Voluntarily terminated employees must be paid their final pay by the next regular payday.

Deceased employee's wages must be paid when normally due to the surviving spouse.

Escheat laws in New Mexico require that unclaimed wages be paid over to the state after one year.

The employer is further required in New Mexico to keep a record of the wages abandoned and turned over to the state for a period of 10 years.

New Mexico payroll law mandates no more than 50% of minimum wage may be used as a tip credit.

In the New Mexico payroll law there is no provision covering required rest or meal periods.

New Mexico statute requires that wage and hour records be kept for a period of not less than one year. These records will normally consist of at least the information required under FLSA.

The New Mexico agency charged with enforcement Child Support Orders and laws is:

Child Support Enforcement Division

Department of Human Services

PO Box 25109

2025 S. Pacheo

Santa Fe, NM 87504

(505) 827-7200

New Mexico has the following provisions for child support discounts:

  • When to start Withholding? next payday after service
  • When to send Payment? Within 7 days of Payday.
  • When to send Termination Notice? "Promptly"
  • Maximum Administrative Fee? $ 1 per payment.
  • Withholding Limits? 50% of disposable earnings

Please note that this article is not updated for changes that can and will happen from time to time.

How To Have A Perfect Vacation In Red River, New Mexico

There’s a pretty good chance that when you and your family sit down to start planning your next big vacation, possible destinations will probably not include Red River, New Mexico. It doesn’t have the allure of some of the other more popular ski lodge resort areas in the immediate area & region, nor does it have the notoriety of being associated with Hollywood glitz and glamour.

As it turns out, you’re really missing out. Considered one of the outdoor gems of the southwestern United States, Red River, New Mexico has steadily built up a loyal following by individuals in the know about where to go do enjoy some of the best skiing & snow sports in the U.S., as well enjoy the great outdoors in a fairly low-key environment. If your family likes to keep things nice, calm, and “chill”, Red River might just be the vacation destination you’ve been looking for.

Here are just a few of the highlights:

Explore the Outdoors – Whether it’s skiing, snowboarding, hiking, fishing, or taking an off-road tour, you’ll be in the southern part of the Rockies called the Sangre De Cristo Mountains. You are also privy to exploring one of the great national forests in the U.S., Carson National Forest.

Explore the Community House – This community “hang-out” has been part of the Red River scene since the 1940s, offering activities for residents and visitors of all ages.

Enjoy Local Events – Red River has an eclectic community, and with this diverse population comes diverse local events. Some of the most popular events are the annual Bluegrass and Old Time Music Festival (going strong for over four decades) and the Red River Valley Foundation Buckaroo Ball (held annually for nearly a decade).

Close to the Action – Red River also has close proximity to some of the most popular ski resort areas in the country, Taos and Angel Fire. Find comfort & peace before journeying out about an hour to either of these two cities. You could also take day trips to check out Cimarron Canyon & Eagle Nest Lake State Parks, as well as healing geothermal hot springs of Ojo Caliente.

Red River, New Mexico isn’t your everyday ski lodge resort area, and that’s actually the best part of about this little piece of paradise. Not only are you able to enjoy all of the same great things about a ski lodge without the crowds, but you’re also able to connect with the town & its residents in a way that make you feel more like a part of the community instead of a tourist. you may just find that one trip will make you a fan for life.