Overview: The District of Columbia is implementing Paid Family Leave. Among the requirements, the District will collect taxes from all private sector employers located in the District to fund the Paid Family Leave benefit. This requires employers to begin recording workers’ wages on April 1, 2019.
Effective Date: The first remittance of paid family leave taxes will be due July 1, 2019. The first quarterly payment will cover wages paid to workers in April, May and June, 2019.
Details: The District of Columbia’s Paid Family Leave law provides wage replacement to employees, up to a maximum weekly benefit amount of $1,000, to help them bond with a child, care for themselves or a family member with a serious health condition. On July 1, 2020, the District will begin administering paid leave benefits to eligible workers. In the meantime, the Office of Paid Family Leave is working to define how the benefit will be implemented.
To assist you in preparing for compliance, we strongly recommend you review the District of Columbia’s Paid Family Leave website here: https://doespfl.wpengine.com/ for details about the requirements and provisions of the Paid Family Leave program.
· ADP will report employee wages, hours worked, and additional information directed by the District of Columbia on a quarterly basis.
· Premiums are 0.62% of all SUI subject wages or of annual self-employment income and will reflect as DC FLI on ADP reports. Note: This is an employer paid premium. There are no required employee contributions at this time.
· ADP will begin collecting premiums for payrolls processed beginning mid to late May. Note: Premiums will be reconciled and collected at the end of the second quarter of 2019.
· Starting July 1, 2020, eligible workers can begin taking leave for qualified family leave events. Please visit the District’s website for additional information on eligibility.
· The Paid Leave Act provides up to:
- 8 weeks to bond with a new child
- 6 weeks to care for a family member with a serious health condition
- 2 weeks to care for your own serious health condition
· Please watch for additional information and guidance as the Office of Paid Family Leave is working to define how the benefit will be implemented.
Resources: To access more information regarding the District of Columbia’s Paid Family Leave program, and register for the mailing list for updates on the program, please review the District’s website at: https://doespfl.wpengine.com/.
The District of Columbia is offering Paid Family Leave Webinars on May 8 and May 22, 2019. To register, visit the District’s website.
As always, should you need any assistance please reach out to your ADP dedicated service professional.