UPDATED: 2019 Paid Family Leave Withholding & Benefit Structure

​As we get closer to 2019, there are a few key items you should be aware of regarding Paid Family Leave in New York State. ​

​If you recall, the benefit was going to be phased in over four years with the benefit fully implemented by year 2021.  While the total weeks available for leave have been defined, there are a few items that are dictated by what the New York State Average Weekly Wage is.   

The Department of Financial Services of the State of New York announced the new State Average Weekly Wage and Benefit Structure for 2019.
 
Benefit Structure
​
2018 Benefits

• 8 weeks available.
• Weekly benefit paid at 50% of employee’s Average Weekly Wage (AWW)
• Payments capped at 50% of State Average Weekly Wage (SAWW).  The 2018 SAWW is $1,305.92.  The maximum weekly benefit amount would be $652.96

 
2019 Benefits

• 10 weeks available (subject to the 52 week look back period)
• Weekly benefit paid at 55% of employee’s Average Weekly Wage (AWW)
• Payments capped at 55% of the State Average Weekly Wage (SAWW).  The 2019 SAWW is $1,357.11.  The maximum weekly benefit amount would be $746.41

​Employee Withholding
The employee contribution rate will increase slightly to cover the increase in benefits.
​
2018

• 0.126% of gross wages up to the State Average Weekly Wage (SAWW).  Maximum weekly contribution would be $1.65

 
2019

• 0.153% of gross wages up to the State Average Weekly Wage (SAWW) of $1,357.11. Maximum weekly contribution would be about $2.07 per week.

 
Steps to Take Now

• If you are processing payroll internally, please note the new adjustments to the withholding amount.  If you outsource your payroll, please confirm with your payroll vendor the new deduction amounts.
• Notify your employees of the new deduction amount. 
• Notify your employees the benefit schedule for new claims filed on or after January 1, 2019. 

Should you have any questions regarding the benefit change for 2019, please Melissa Switzer at melissa@choiceemployeebenefits.com or complete the form below.