New Massachusetts Paid Family Leave Tax

Thursday, October 3, 2019

The Massachusetts Legislature passed the Paid Family Medical Leave (PFML) law in 2018 to assist in securing income for employees* who are out of work due to their own illness/injury, their own parental leave (code: MA MLI/EE) or to care for a family member (code: MA FLI/EE). Benefits under the PFML begin in January 2021; contribution of taxes to fund income replacement for employees are effective October 1, 2019.

October 4, 2019 is the first paydate on which University of Massachusetts employees will see PFML taxes withheld from pay:

Information about the PFML was shared with employees by the University System Office (University President's Office) via e-mail on September 7, 2019.  Employees were asked to 'acknowledge receipt of the PFML notice' or 'decline to acknowledge receipt of the PFML notice'. PFML taxes are withheld regardless of an employee's response to the notice.

Copies of the notice and helpful FAQs appear online.

* An employee covered under the PFML is defined consistent with Massachusetts unemployment law, for instance student income is exempted from the law thus students were not notified and student earnings are not subject to PFML taxes.