Summary
To account for Paid Family and Medical Leave premiums in Sage BusinessWorks, create deductions to represent the employee and employer contributions. The setup depends on your state rules.
Description
Consult your tax advisor for your state funding, current year rates, and W-2 Box 14 reporting.
Resolution
Table of Contents
Colorado
- Both employers and employees fund Colorado FAMLI through their contributions
- You'll need to create two deductions, one for the employer and one for the employee. Then assign to each employee record
- Follow these steps to create the deductions for both employer and employee contributions
- Customers are responsible to update the rates annually in the program. Visit the Colorado FAMLI website for rates and calculations
Connecticut
- Employees fund the CT Paid Leave through a contribution from the employee paycheck
- Follow these steps to set up a 100% employee-paid deduction and assign to each employee
- Customers are responsible to update the rates annually in the program. Visit the Connecticut State Website for details regarding CT Paid Leave rates
Delaware
- Employers are responsible for funding the DE Paid Leave based on employee earnings
- Employers can require their employees to pay up to 50% of the cost of the program through
payroll deductions - Customers are responsible to update the rates annually in the program. For more information on contributions, rates, calculations, and effective date visit the Delaware Paid Leave website
Employer only contribution
- Set up a 100% employer-paid deduction and assign to each employee
Employer and employee split the contributions
- Set up an employer-paid deduction and an employee-paid deduction and assign to each employee
District of Columbia (DC)
- The employer fully funds DC Paid Family Leave based on employees earnings
- Follow these steps to set up a 100% employer-paid deduction and assign to each employee
- Customers are responsible to update the rates annually in the program. For information on contributions and rates, visit the DC Paid Family Leave website
Massachusetts
- Both employers and employees fund Massachusetts Paid Family and Medical Leave (PFML) through their contributions
- You'll need to set up an employer-paid deduction and an employee-paid deduction. Then assign to each employee record
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Customers are responsible to update the rates annually in the program. For more information on rates and calculations, visit the Massachusetts Paid Family and Medical Leave website
Maine
- Both employers and employees fund Maine Paid Family and Medical Leave through their contributions
- The contribution depends on the number of employees
- You'll need to set up an employer-paid deduction and an employee-paid deduction. Then assign to each employee record
- Customers are responsible to update the rates annually in the program. Visit the Maine Paid Family and Medical Leave website for guidelines on contributions and rates
Minnesota
- The Minnesota Family Leave becomes effective January 1, 2026
- Employers and employees split the premium. If desired, employers can choose to pay for the program
- Customers are responsible to update the rates annually in the program. Visit the Minnesota Paid Leave Premium rate and contributions
- For information and frequently asked questions, visit Minnesota Paid Leave Frequently Asked Questions for employers
Employer-only contribution
- If the employer chooses to pay for the program, set up an employer-paid deduction. Then assign to each employee record
Employer and employee split the contributions
- Set up an employer-paid deduction and an employee-paid deduction and assign to each employee
New Jersey
The employee fully funds the New Jersey Family Leave through employee payroll deductions.
- Follow these steps to set up the employee-paid deduction and assign to each employee record
- Customers are responsible to update the rates annually in the program. For rates and calculations, visit the State of New Jersey Department of Labor and Workforce Development website
New York
The employee fully funds the New York PFL through payroll deductions. If desired, employers can choose to pay for the program.
- Customers are responsible to update the rates annually in the program
- For rates and calculations, visit the New York State Insurance Fund. Also access the New York State-Paid Family Leave website for more information
Employee-only contribution
- Set up an employee-paid deduction. Then assign to each employee record
Employer-only contribution
- If the employer chooses to pay for the program, set up an employer-paid deduction. Then assign to each employee record
Oregon
Both employers and employees fund the Paid Leave Oregon through their contributions and is based on employees earnings. The contribution depends on the number of employees. For rates and calculations, visit the Paid Leave Oregon website.
- Small businesses with fewer than 25 employees - employers don't have to pay their portion
- Large businesses with more than 25 employees - Both employer and employee split the contribution
- Customers are responsible to update the rates annually in the program
Employee-only contributions
- Set up an employee-paid deduction and assign to each employee record
Employer and employee split the contributions
- Set up an employer-paid deduction and an employee-paid deduction and assign to each employee
Washington
- Washington collects Paid Family and Medical Leave premiums, part paid by the employee and part by the employer
- To account for these premiums in Sage BusinessWorks, set up an employer-paid deduction and employee-paid deduction. Then assign to each employee record
- Customers are responsible to update the rates annually in the program. For rates and calculations, visit the Washington State-Paid Family & Medical Leave website
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