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NY Paid Family Leave Benefits to Increase in 2021

New York State’s Paid Family Leave Law became effective January 1, 2018 with a four-year phase in. 

The Department of Financial Services completed its evaluation of the financial health of the paid family leave program and will once again apply the statutory increases for 2021.

Employees are able to take paid family leave to bond with a new child, care for a sick family member, or assist loved ones when a family member is deployed on active military service.  Employees who need to quarantine or care for a family member during quarantine may also qualify for leave.  The amount of leave available increases to 12 weeks for claims beginning in 2021.

The paid leave benefit an employee can receive is increasing to 67% of the employee’s average weekly wage (AWW), capped at a maximum of $971.61.  The maximum benefit is calculated based on 67% of the State Average Weekly Wage (SAWW) of $1,450.17, defined as the average weekly wage paid in New York State during 2019.

The employee contribution will increase in 2021 to .511% of an employee’s gross wages each pay period.  This includes a .005% risk adjustment for COVID-19 quarantine claims.  The maximum annual employee contribution will be $385.34.

For more information on New York State Paid Family Leave, visit the New York State Paid Family Leave website.

 


Karen Hooper

About the author

Karen Hooper

VP, Senior Compliance Manager

Karen Hooper, CEBS, CMS, Fellow, is a Vice President and Senior Compliance Manager working closely with the Lead Benefit Counsel in Newfront's Employee Benefits division. She works closely with internal staff and clients regarding compliance issues, providing information, education and training.


The information provided is of a general nature and an educational resource. It is not intended to provide advice or address the situation of any particular individual or entity. Any recipient shall be responsible for the use to which it puts this document. Newfront shall have no liability for the information provided. While care has been taken to produce this document, Newfront does not warrant, represent or guarantee the completeness, accuracy, adequacy, or fitness with respect to the information contained in this document. The information provided does not reflect new circumstances, or additional regulatory and legal changes. The issues addressed may have legal, financial, and health implications, and we recommend you speak to your legal, financial, and health advisors before acting on any of the information provided.

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