Mainers Paychecks Reduced by New Paid Family and Medical Leave

As the new year begins, get ready to see a decrease in your paycheck, as the new Paid Family and Medical Leave program begins.

Employers and employees will share a 1 percent premium, with each contributing half a percent of the employee’s paycheck.

From Maine.gov:

Starting January 1st, 2025, any employer with at least one Maine-based employee must begin payroll withholdings for their employees. Employers with 15 or more employees will contribute 1 percent of wages and may deduct up to half of the contribution from the employees’ wages. Employers with less than 15 employees will contribute 0.5 percent of wages and may deduct the entire amount from the employees’ wages. Employers will begin their first quarterly wage reporting and premium payments starting April 1st and due by April 30th, 2025.

Both private and public sector workers must contribute to the fund. However, the program is not available to be used until May 2026

The program will eventually allow employees 12 weeks of paid leave for family-related events.

Share on Facebook

Tweet on Twitter