Regulation — Coming to New York State January 1st 2018

The NY Paid Family Leave Law (NYSPFL) continues to be rolled out. This mandatory employee payroll deducted benefit requires all private employees, subject to the Worker’s Compensation Law, with one or more employee, in New York State to support the benefit. This fully funded employee payroll contribution program will be administered as a Rider of the NYS Disability carrier. How will the PFL be paid? Employer premiums will be billed during your current NYS Disability billing period. More details to follow.

Some key points:

1. Employee eligibility is based on an employee’s regular work schedule of 20 hours or more per week after 26 weeks of employment OR when regularly working less than 20 hours per week and working 175 days.

2. The maximum employee contribution in 2018 will be 0.126% of an employee’s weekly wage not to exceed the NYS Average Weekly Wage, which is determined annually in July.

3. The purpose of this program is to provide Job Protection to eligible employees who need time away from their respective job for these reasons — bond with a newly born, adopted or fostered child; care for a family member with a serious health condition; or assist loved ones when a family member is deployed abroad on active duty. The NYSPFL does not allow an employee to file a claim for their own serious health condition.

4. Employers must continue the employee’s health insurance while on an approved PFL and employers may require employees to continue to pay their health insurance premiums.

5. At this time the claim forms are in process and have not been provided. The disability carrier will be involved in the claim being approved. Timelines to submit claims are pending.

6. Benefits paid will be taxable as non-wage income and will be included with federal gross income.

Upcoming information:

Acadia HR is monitoring this new law for additional information regarding the regulations and implementation of the policy. We will provide business owners with the notifications to employees for a new mandatory payroll deduction. The payroll deduction will be set to coincide with the paycheck date reflective of the January 1st, 2018 regulatory effective date.

Please contact our office 845–876–1987 or email Joan@AcadiaHR.com for further information.

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