Get Ready for NY PFL 2020 Rate & Benefit Changes
October 29, 2019
As the New York Paid Family Leave benefit law (PFL) has been in effect for almost two years, it’s time to look ahead to 2020 and the changes that take effect next year: PFL benefits (percentage) goes up as part of the 4-year phase-in schedule, the updated wage cap goes into effect based on the updated New York State Average Weekly Wage (NYSAWW), and the maximum contribution (PFL rate) is changing as per the recently released N.Y. Department of Financial Services rate memo. But what does this mean for your business? To help you understand how all these pieces are coming together and to get your business ready for 2020, we’ve put together a checklist that details just what you’ll need to know—and do.
Checklist: Preparing for 2020 PFL Rate Changes
What to do for 2020 Paid Family Leave Changes – Top 8
To recap, here are the top 8 things to know and do for next year:
- Know the new
- New York State Average Weekly Wage (NYSAWW)
- Rate (maximum contribution)
- Review salaries to prepare for withholding adjustments due to the new maximum contribution.
- Do you take payroll deductions from your employees to recover all or part of the PFL premium? Inform employees about the new NYS PFL rate and how it will impact their withholdings.
- Update handbooks, benefit guides, and new employee welcome materials.
- Educate your employees about the changes.
- Notify key executives and stakeholders how the new rate impacts the business and how you’re messaging to employees.
- Ensure that the proper withholding occurs at the right time in your payroll system.
- Mark your calendar: Double check your first payroll run to be sure everything is as expected
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 PFL information is as of the blog post’s date stamp; it is based on the applicable statutes and regulation, and may change as regulations evolve or NY State issues guidance regarding Paid Family Leave regulations. Have more questions? Email us at email@example.com