The present disclosure provides a semiconductor device and formation method thereof. A shallow trench isolation structure is formed in a semiconductor substrate. A first dielectric layer is formed on the semiconductor substrate. First and second dummy gate structures are formed on the shallow trench isolation structure and through the first dielectric layer. A resistive material layer is formed on the first and second dummy gate structures and on the first dielectric layer between the first and second dummy gate structures. A second dielectric layer is formed on the first dielectric layer and the resistive material layer. A first plug is formed in the second dielectric layer and the resistive material layer and on the first dummy gate structure. A second plug is formed in the second dielectric layer and the resistive material layer and on the second dummy gate structure.