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May 13, 2019 ConnectPay

4 Things You Should Know About the New MA Law | ConnectPay

4 Things You Should Know About Paid Family and Medical Leave in Massachusetts

As our valued customer, we want to make you aware that  Massachusetts is adding a new tax known as Paid Family and Medical Leave.

ConnectPay will be ready to start withholding contributions for this new tax July 1st, 2019.

Here are a few key facts:

  • 1) Withholding from Employees begins July 1st.
  • 2) Employers with less than 25 qualified employees, will deduct payroll contributions from covered individuals wages.
  • 3) Employers with 25 or more qualified employees, in addition to withholding from employees, will also make an employer contribution.
  • 4) The overall tax is .63% of wages up to the annual social security limit. 0.11% is the family leave portion. 0.52% is the medical leave portion.

 

Employees must be notified, and the new posting hung in the workplace by June 30th, 2019. We highly recommend visiting www.Mass.gov/DFML to familiarize yourself with this new tax. Updates to this new law are posted daily and the final law is not expected to be released until July 1st, 2019.

Published by ConnectPay May 13, 2019