Fringes on a $1,200 week
Take a non-union 2nd AC paid $1,200 for a week, early in the calendar year. The federal pieces are fixed by the IRS: 6.2% employer Social Security, 1.45% employer Medicare, and FUTA at 0.6% after the standard state credit. The state and insurance pieces vary, so the example below plugs in placeholder rates you would replace with your payroll company's quote.
| Fringe | Rate | On $1,200 |
|---|---|---|
| Social Security (employer) | 6.20% | $74.40 |
| Medicare (employer) | 1.45% | $17.40 |
| FUTA (net) | 0.60% | $7.20 |
| State unemployment (example rate) | 3.40% | $40.80 |
| Workers' comp (example rate) | 3.00% | $36.00 |
| Payroll handling fee (example rate) | 0.50% | $6.00 |
| Total | 15.15% | $181.80 |
So that week costs production $1,200 + $181.80 = $1,381.80. Check the arithmetic the other way: $1,200 x 0.1515 = $181.80.
Union fringes are built differently
Guild benefits aren't one flat number. SAG-AFTRA performers carry a pension and health contribution as a percentage of gross: 22% for performers and 21.5% for background actors under the 2026 low budget rate sheets, effective September 6, 2026. A Low Budget day player at $834 generates $834 x 0.22 = $183.48 in P&H on top of payroll taxes. IATSE crew benefits under the Basic Agreement go to the Motion Picture Industry Pension and Health Plans as dollar amounts per hour worked or guaranteed, so the fringe on a 60-hour week is larger than on a 50-hour week even at the same rate. See pension and health for how each works.
Mistakes that throw the total off
The most common error is applying one blended percentage to every line, including equipment rentals, kit rentals, and per diem, none of which are wages. The second is forgetting that FUTA and state unemployment stop at a wage cap, which makes long-running shows over-budget fringes for crew who hit the cap early. Payments to a loan-out company also skip employer payroll taxes, but union benefits still apply.
Where fringes show up
In budgeting software, each labor line is tagged with fringe codes (FICA, FUTA, SUI, WC, SAG, IA) and the program totals them by account. Your payroll company supplies the current state and comp rates, and the payroll accountant checks that time cards were fringed at the right codes. The film budget template includes a fringe setup block, and film budget fringes covers state-by-state differences.