24 June 2025 Maryland delays start date for employer contributions to its paid family and medical insurance program to January 1, 2027 At the request of the Maryland Department of Labor (Department), legislation was enacted under H.B. 102 that delays the start date for employer contributions to the state's paid family and medical insurance program (PFML) from July 1, 2025, to January 1, 2027, with the first remittance now due April 30, 2027. Under this updated implementation schedule, PFML benefits will become available January 1, 2028. The Department explained that a delay in implementing its PFML program was necessary because "recent sweeping, unprecedented changes at the federal level have given rise to a high degree of instability and uncertainty for Maryland employers and workers." (Maryland Department of Labor press release, February 14, 2025.) In 2022, the Maryland legislature overrode the Governor's veto and enacted S.B. 275 to establish a state PFML program with employer contributions set to begin October 1, 2023. (See Tax Alert 2022-0686.) Since 2022, the start date of the PFML program was twice delayed. In 2023, S.B. 828 delayed the start date to October 1, 2024, and in 2024, S.B. 0485 delayed the start date to July 1, 2025. More information about Maryland's PFML program is available here. Maryland joins 13 other states with mandatory PFML programs — California, Connecticut, Colorado, Delaware, District of Columbia, Maine, Massachusetts, Minnesota, New Jersey, New York, Oregon, Rhode Island and Washington. New Hampshire and Vermont have voluntary PFML programs. For details about state PFML contribution rates, see our special report.
Document ID: 2025-1335 | ||||
