There have been recently announced changes to the Massachusetts Paid Family Medical Leave laws.
On October 1, 2021, the Department of Family and Medical Leave announced that starting in 2022, the maximum benefit under PFML will increase, yet employer contributions will decrease.
Update on MA PFML: Benefits Increase
As of October 1, 2021, the Massachusetts average weekly wage increased to $1,694.24, from the prior year’s average of $1,487.78. Effective January 1, 2022, the maximum total benefit that an eligible employee may receive will increase to $1,084.31 per week from $850.00 per week.
Update on MA PFML: Rates Fall
Also, effective January 1, 2022, the new contribution rates for employers will fall. For employers with 25 or more covered individuals, the contribution rate will decrease to 0.68% of eligible employee wages, down from 0.75%. Employers with fewer than 25 covered individuals will have a rate of 0.344%, reduced from 0.378%.
All Employers may continue to withhold up to 100% of the family leave contribution from the wages of a covered individual. As for the medical leave contribution, Employers with 25 or more covered individuals may withhold up to 40% of the medical leave contribution from covered individual wages, while employers with fewer than 25 covered individuals can continue to withhold up to 100%.
Related Article:
MA Paid Family Medical Leave Benefits Are Now Live! Prepare and Prosper