Important: Action required for clients with no employees covered by the Minnesota Unemployment Insurance (UI) program or with some employees covered and some employees not covered by the UI program. Clients will need to create and file a wage detail report for employees not covered by MN UI. Review the Next Steps section for more.
As we previously reported, Minnesota has enacted legislation that amended the state’s paid family and medical leave program beginning Jan. 1, 2026. The purpose of this communication is to focus on wage detail reporting requirements of the underlying law and the extent to which ADP can provide support. Clients with employees not covered by the by the state's unemployment insurance law will need to file wage detail reports directly with the state.
Wage Detail Reporting
The first wage detail reports will be due on Oct. 31, 2024, and will be based on wages paid between July 1, 2024, and Sept. 30, 2024. The state’s Paid Leave division will leverage the existing Unemployment Insurance (UI) online system to collect wage detail reports for the program. Employers will need to provide the first and last name, social security number, wages paid and hours worked for each employee. This is identical to information provided to the UI division. The method of reporting depends on whether the employer is covered by the state’s UI program.
All Employees Covered by the UI Program
If all employees are covered by the UI program, then employers will be able to submit a single wage detail file for both UI and Paid Leave programs when they pay their UI taxes. The data used in the UI filing will be used to report wages directly to the Paid Leave program. An employer’s UI account will be automatically converted into a joint UI/Paid Leave account to allow submission of the wage detail report using the same process that is currently used today.
Review additional information here.
No Employees Covered by the UI Program
This means if an employer has any employees, even if they are not covered by Unemployment Insurance, they are likely covered by Paid Leave. Such employers will need to register for a “Paid Leave Only” account through the UI Online system. Review additional information here.
Some Employees Covered and Some not Covered by the UI Program
This means if an employer has:
- Already registered with UI – they will need to register for a Paid Leave Only account for employees not covered by UI.
- Not already registered with UI – they will need to register twice. They will register for both a Joint UI/Paid Leave account and a Paid Leave Only account.
Review additional information here.
Review the state’s website for more information on covered vs. noncovered employment under the UI program as well as FAQs.
Next Steps
· For clients with all employees covered by the UI program no action is required. ADP TotalSource will continue to submit a wage detail file for the UI program on your behalf.
· Clients registering for a Paid Leave Only account should use their MN UI account number and their business’ own FEIN for registration with the MN UI system.
· Clients with no employees covered by the UI program must register for a Paid Leave Only account and should also plan to create and file wage detail reports including the first report due on October 31, 2024.
ADP is continuing to evaluate its system capabilities for future reporting.
· Clients with some employees covered and some employees not covered by the UI program and currently registered with a UI program account, must register for a Paid Leave Only account. These clients should also plan to create and file wage detail reports for the Paid Leave Only account including the first report due on October 31, 2024.
As indicated above, ADP is continuing to evaluate its system capabilities for future reporting.
· Clients with employees not covered under UI that are required to be reported under their Paid Leave Only account must submit their own wage detail report for the uncovered employees.
· Contact your ADP service representative if you have any questions.
Reporting
Employee first and last name, social security number, wages paid and hours worked are available on the Payroll History report. To generate a Payroll History report, navigate to:
Reports & Analytics > Pay Statement History > Payroll History > Appearance and Other Settings > Adjust the Tax ID and Request Period as needed > Save > Run as Excel
Use the Payroll History to gather the hours and wage data for the employees that will need to be included on the Paid Leave Only wage detail report. Refer to MN’s wage detail report submission guidelines for directions on how to upload the information to the MN UI portal.