View all Articles

New York Paid Family Leave: Updated Guidance on Deductions and Voluntary Coverage

New York has updated two provisions of its paid family leave guidance regarding deductions from employees’ wages and voluntary coverage. Highlights of the changes are presented below.

Wage Deductions

The 2018 payroll contribution is 0.126% of an employee’s weekly wage and is capped at an annual maximum of $85.56. If an employee earns less than the New York State average weekly wage ($1,305.92 per week), he or she will have an annual contribution amount less than the cap of $85.56, consistent with his or her actual weekly wages.

Click here for a calculator that provides an estimate of weekly employee deductions.

Voluntary Coverage

A self-employed individual who has employees must obtain paid family leave coverage for such employees. The self-employed individual must opt in for both disability and paid family leave benefits and cannot opt in for only paid family leave.

Click here for additional information.

Background

New York has enacted a paid family leave policy, which went into effect as of January 1, 2018. It applies to employers of all sizes. When the law is fully phased-in over the next several years, employees will be eligible for 12 weeks of paid, job-protected leave when certain life events occur.

Click here for more information about the law.

Copyright © 2011-2018 HR 360 All Rights Reserved

HR Works, Inc., headquartered at 200 WillowBrook Office Park in Fairport (Rochester), New York, with an office in East Syracuse, is a human resource management outsourcing and consulting firm serving clients throughout the United States. HR Works provides scalable strategic human resource management and consulting services, including: affirmative action programs; benefits administration outsourcing; HRIS self-service technology; full-time, part-time and interim on-site HR managers; HR audits; legally reviewed employee handbooks and supervisor manuals; talent management and recruiting services; and training of managers and HR professionals.