Massachusetts PFML Update: Contribution Rates and Benefit Amounts for 2022

Seyfarth Synopsis: The Massachusetts Department of Family and Medical Leave announced updates to contribution rates and weekly benefit amounts under the Paid Family and Medical Leave law, effective January 1, 2022.

The Massachusetts Department of Family and Medical Leave (DFML) has announced its annual updates to contribution rates and weekly benefit amounts under the Massachusetts Paid Family and Medical Leave (PFML) Law for 2022. 

Weekly Benefit Amount: During 2022, the maximum weekly PFML benefit that eligible employees may receive will be $1,084.31 per week. The benefit amount has increased from $850 per week in 2021 due to an increase from $1,487.78 to $1,694.24 in the average weekly wage in Massachusetts.

Contribution Rates: The overall PFML contribution rate has decreased from 0.75% to 0.68% of eligible wages.

Employers with 25 or More Covered Individuals: Employers with 25 or more covered individuals must remit a contribution to the Department of Family and Medical Leave of 0.68% of eligible wages. Employers may withhold up to 0.12% of eligible wages for an employee’s family leave contribution and up to 0.224% of eligible wages for an employee’s medical leave contribution. Employers must contribute the remaining 0.336% of eligible wages for medical leave (the employer share).

Employers with Fewer than 25 Covered Individuals: Employers with fewer than 25 covered individuals must remit an effective contribution rate of 0.344% of eligible wages. Employers may withhold up to 0.12% of eligible wages for an employee’s family leave contribution and 0.224% of eligible wages for an employee’s medical leave contribution. Unlike larger employers, there is no employer share of medical leave.

These changes are effective January 1, 2022. Employers should ensure that their PFML policies and payroll systems reflect these changes.

We will continue to monitor any developments with the PFML Law.  Please reach out to one of the authors or your Seyfarth attorney with any questions.