2022 state disability and paid family and medical leave insurance wage base and rates

22 December 2021

Six jurisdictions (California, Hawaii, New Jersey, New York, Puerto Rico and Rhode Island) operate state disability insurance (SDI) programs. Another 11 jurisdictions (California, Connecticut, Colorado, District of Columbia, Massachusetts, New Hampshire, New Jersey, New York, Oregon, Rhode Island and Washington) are now operating, or will soon be operating, paid family and medical leave (PFML) insurance programs.

Depending on the jurisdiction, the employee may pay all contributions to the SDI and/or PFML program through wage withholding, or the employer and the employee may share the cost of the insurance coverage. Most states allow employers to use a private insurance company or self-insured plan in lieu of paying into the state insurance fund(s).

The following chart shows the state SDI and PFML rates and taxable wage limits for 2022 based on information currently available.

State disability and paid family medical leave insurance Tax year 2022
State/jurisdiction	Employee contribution	Employer contribution	Taxable wage limit if applicable (1)
California
Disability	1.1%	None	$145,600
Paid family and medical leave	Included in disability	N/A	Included in disability
Connecticut
Disability	None	None	None
Paid family medical leave	0.5%	None	$147,000 (2022 Social Security wage limit)
Colorado
Disability	None	None	None
Paid family medical leave	50% of 0.9% (effective 1/1/2023, for employers of 10 or more, employees pay 50%; if fewer than 10 employees, employees pay 100%)	50% of 0.9% (effective 1/1/2023, employers of 10 or more employees pay 50%; if fewer than 10 employees, employers pay 0%)	$147,000 (2022 Social Security wage limit)
District of Columbia
Disability	None	None	None
Paid family medical leave	None	0.62%	None, payroll tax is on total wages
Hawaii
Disability	50% of cost but not more than 0.5% of covered weekly wages up to a maximum. The maximum weekly contribution is $6.00	Difference between cost and worker’s contribution	$1,200.30 (weekly)
Paid family medical leave	None	None	None
Massachusetts (4)
Disability	None	None	None
Paid family medical leave	Family leave: 0.12% Medical leave: 0.224%	If 25 or more employees: Family leave: 0.00% Medical leave: 0.336% If fewer than 25 employees: Family leave: 0.00% Medical leave: 0.00%	$147,000 (Social Security wage limit)
New Hampshire
Disability	None	None	None
Paid family and medical leave	Effective January 1, 2023, employees may opt into the state’s Granite State Paid Family Leave Fund	Employers that choose to participate in the program will be entitled to a tax credit, allowed against premiums due, of 50% of the premium that the employer paid for coverage for the tax period at issue	N/A
New Jersey (3)
Disability	0.14%	New employers pay 0.5% of taxable wages if in state plan; otherwise, experience rating applies	$151,900 ($39,800 for employers)
Paid family medical leave	0.14%	None	$151,900
New York
Disability	0.5% up to: $0.14 daily $0.60 weekly $1.20 biweekly $1.30 semi-monthly $2.60 monthly	Balance of costs over employee contributions necessary to provide benefits	None
Paid family medical leave	0.511% (maximum of $423.71 per year)	None	$1,594.57 (weekly)
Oregon
Disability	None	None	None
Paid family medical leave	60% of 1.0% (effective 1/1/2023, for employers of 25 or more, employees pay 60%; if fewer than 25 employees, employees pay 100%)	40% of 1.0% (effective 1/1/2023, employers of 25 or more employees pay 40%; if fewer than 25 employees, employers pay 0%)	$147,000 (Social Security wage limit)
Puerto Rico (2)
Disability	0.3%	0.3%	$9,000
Paid family medical leave	None	None	None
Rhode Island
Disability	1.1%	None	$81,500
Paid family medical leave	Included in disability	N/A	Included in disability
Washington
Disability	None	None	None
Paid family medical leave	0.6% (employees employed by employers with 50+ employees pay 26.78% of the premium	Employers with 50+ employees pay 73.22% of the total premium of 0.6%	$147,000 (Social Security wage limit)

Footnotes:

(1) Represents maximum annual earnings unless another period is specified. Where the employer contribution is stated as a percentage, the taxable wage limit applies.

(2) Puerto Rico. Not anticipated to change for 2022.

(3) New Jersey. Legislation (A 3975) effective January 1, 2020, separated the computation of the temporary disability and family leave insurance taxable wage base from that of the state unemployment insurance taxable wage base.

(4) Massachusetts. According to guidance issued by the Massachusetts Department of Family and Medical Leave, the total rate for 2022 is 0.75% for employers 25 or more covered employees and 0.344% for employers with fewer than 25 employees (because the medical portion does not apply to the employer).

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Contact Information
For additional information concerning this Alert, please contact:

Workforce Tax Services - Employment Tax Advisory Services
• Kristie Lowery (kristie.lowery@ey.com)
• Kenneth Hausser (kenneth.hausser@ey.com)
• Debera Salam (debera.salam@ey.com)

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Document ID: 2021-2308