Effective January 1, 2019, Washington will launch a statewide Paid Family and Medical Leave insurance program. The program will be funded by both employer and employee payroll contributions. The program is intended to provide wage replacement and job protection to employees who need time away from their jobs to tend to family or medical needs.
Below are some details for employers about the program and information on how the deductions will appear in OnPay. For more information on the program, please contact the Washington state customer care team:
email: paidleave@esd.wa.gov
Phone: (833) 717-2273
Quick Facts about the Paid Family and Medical Leave Program
- This statewide insurance plan requires employers to report employee wages, hours worked, and additional information every quarter.
- Premiums are 0.4% of gross wages paid.
- Premium collection begins January 2019 and claims for leave benefits start in 2020.
- Workers can take leave for qualified events for up to 12 weeks generally, and up to 18 weeks under exceptional circumstances.
- Businesses with fewer than 50 employees are not required to pay the employer portion of the premium but are required to collect and remit the employee portion of the premium and abide by all reporting requirements.
OnPay Employer FAQ
Will OnPay report and remit the employee and employer portions to the state?
Yes, OnPay will deposit the withheld funds for both the employee and employer portion and file the necessary reports to the state beginning April 1st, 2019.
Will OnPay automatically calculate the Employer portion?
No, employers must opt-in to have their portion calculate. To opt-in, navigate to the "Settings" menu and select "Payroll Taxes". Scroll down to the "Washington State Paid Family Leave and Medical Insurance Setup" Section and check the box "Employer Required".
When and where will I see the deduction in OnPay?
Employers will see this deduction begin to take place for the employee automatically on all payrolls dated for January 1st, 2019 and after. Employers must opt-in to have their portion calculate. Employers will see this deduction on the payroll register or employee check stub. The title of the employee deduction is "FLI Withholding-WA" and the Employer portion will display as "Employer FLI Withholding-WA".
Our company has employees who are exempt from paying the employee portion, how do I exempt an employee?
To exempt an employee from the employee portion, navigate to the "Workers" section, then click the employee's name. Select the "Tax Setup" tab. Under the state and local options you will see the "Employe Paid Family Leave and Medical Insurance Exempt" option. If the employee is exempt, change the toggle to "True".
