Updated 10/13/22: The new federal Social Security Income Limit for 2023 was released today: it will increase from currently $147,000 to $160,200. Therefore, the MA PFML maximum employee contribution for 2023 will be $509.44.
The 2023 contribution rate for the state plan for the Massachusetts Paid Family & Medical Leave (PFML) program has been announced.
MA Paid Family & Medical Leave Contribution Rate
On Monday, September 26, 2022, the Massachusetts Department of Family and Medical Leave (DFML) announced the 2023 maximum contribution rate for PFML.
Under the state plan, the contribution rate will be structured as follows:
- Overall 2023 PFML maximum contribution: 0.63%
- Leave-specific breakdown of the maximum contribution in 2023:
- Family Leave component:
- 0.11% employee contribution for groups of ANY size since employers are not required to contribute to the Family Leave portion.
- Medical Leave component:
- 0.52% of eligible wages for groups of 25 or more employees
- 0.312% employer share
- 0.208% employee share
- For groups with less than 25 employees, the employee contribution is also 0.208%, and employers are not required to contribute to the Medical Leave component.
In summary, the 2023 maximum employee contribution for both Family and Medical Leave combined will be 0.318%,
Private plan rates are not tied to the state plan contribution rate, so your 2023 rates may not be affected. Be sure to speak to your broker about any questions about the rate. Learn more about private plans here.
Additional Paid Family Medical Leave Updates to Look Out For
We expect the Commonwealth to release the updated State Average Weekly Wage (SAWW) over the next few weeks, which is used to calculate the 2023 maximum weekly Paid Family & Medical Leave benefit.
Further, the federal 2023 Social Security Income Limit is expected to be announced later in the fall. Why you’ll need this number: By applying the 2023 state contribution rate to the 2023 Social Security income limit, you can determine the new employee contribution cap for 2023.
Visit our Massachusetts PFML pages for details about this program.
You can learn more about calculating contributions here – but note that our website and ABCs of MA PFML will be updated in December to reflect 2023 changes (including rate, financial eligibility, and benefit information), so stay tuned for our announcement later this year!
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This blog post is for informational purposes only and is not intended to provide legal counsel. Please consult with an appropriate professional for legal and compliance advice. Any MA PFML information is as of the blog post’s date stamp; it is based on the applicable statutes and regulations and may change as regulations evolve or MA issues guidance regarding Paid Family and Medical Leave laws and regulations.