On January 1, 2019, the length of paid leave and amount of weekly benefits under the New York Paid Family Leave Act (“NY PFL”) are scheduled to increase, the first of three yearly increases. The NY PFL, which took effect earlier this year, allows employees to collect up to a maximum of eight weeks of benefits within a 52-consecutive week period. In 2018, employees are eligible to earn 50% of their average weekly salary, up to a cap set at 50% of the state average weekly wage. Currently, the NY PFL benefits has been calculated based on the 2016 New York State average weekly wage, which is $1,305.92 per week. Thus, the maximum benefit amount in 2018 is $652.96 per week.

Beginning on or after January 1, 2019, leaves of absence taken under the NY PFL will increase to a maximum of 10 weeks of benefits within a 52-consecutive week period. The benefit amount will also increase to 55% of an employee’s average weekly salary, up to a cap set at 55% of the state average weekly wage. In 2019, the NY PFL benefits will be calculated based on the 2017 New York State average weekly wage, which is $1,357.11. The new maximum weekly benefit in 2019 will be $746.41 per week.

An employee’s payroll contribution toward NY PFL is also scheduled to increase beginning on January 1, 2019. The deduction amount will increase to 0.153% of an employee’s weekly salary, at an annual contribution amount less than the cap of $107.97. This is an increase from the 2018 deduction amounts, which were 0.126% of an employee’s weekly salary, with an annual contribution cap of $85.56.

As a reminder, beginning on January 1, 2020, the maximum length of leave will stay at 10 weeks, but the benefits will be calculated based on 60% of an employee’s average weekly wage, up to a cap set at 60% of the state average weekly wage. On January 1, 2021, the last of the annual increases will be set. Then, the maximum length of leave will increase to 12 weeks in a 52-consecutive week period and benefits will be payable based on 67% of an employee’s average weekly wage, up to a cap set at 67% of the state average weekly wage.

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