2020 Updates: New York Paid Family Leave Program
The New York paid family leave benefit took effect on January 1, 2019. This law builds on the state temporary disability law and provides paid time off for baby bonding, to care for a family member, or military exigency. The paid family leave benefit is fully funded by employees through a payroll deduction. At its discretion, the employer can choose to pay all or a portion of the cost of the program.
The New York Department of Financial Services (DFS) recently announced some updates to the program for 2020, as follows:
- Eligible employees are entitled to take up to 10 weeks of paid leave.
- The contribution amount will increase to 0.270% of an employee’s gross wages each pay period, with a maximum annual contribution cap of $196.72. Employees earning less than the current statewide average weekly wage of $1,401.17 will contribute less than the annual cap, consistent with their actual wages.
- The benefit amount will increase to 60% of an individual’s average weekly wage, up to a cap of 60% of the current statewide average weekly wage amount. The maximum weekly benefit for 2020 is $840.70.
The DFS also provides updated materials and templates to assist employers in communicating these 2020 updates to their workforce, including:
Additional information about the New York Paid Family Leave Program is available on the state’s dedicated webpage.
The information contained in this article is provided as general guidance and may be affected by changes in law or regulation. This article is not intended to replace or substitute for accounting or other professional advice. Please consult a CBIZ professional. This information is provided as-is with no warranties of any kind. CBIZ shall not be liable for any damages whatsoever in connection with its use and assumes no obligation to inform the reader of any changes in laws or other factors that could affect the information contained herein.