Massachusetts Changes Paid Family Medical Leave (PFML) Contribution Rates and Notifications

Massachusetts Changes Paid Family Medical Leave (PFML) Contribution Rates and Notifications

For about the last 18 months, employers with Massachusetts employment activity have deducted from those employee paychecks and contributed an employer portion as well that cumulatively equals 0.75% for PFML. The total contribution rate, effective January 1, 2022, is decreasing to 0.68% with corresponding employee withholding and employer contribution adjustments. As a result, the new hire employee notifications that employers need to distribute must reflect this change. The Department of Paid Family & Medical Leave issued an abbreviated rates update for employers to distribute to current employees who started before the 2022 rate change (see link).