Employers subject to Washington D.C. Paid Family Leave must begin reporting and remitting paid family leave contributions starting July 1, 2019, for wages paid to covered workers from April 1, 2019 through June 30, 2019. Employers must remit a 0.62% contribution for each covered employee through the Employers Self-Service Portal (ESSP). The deadline to pay the tax is July 30, 2019.
Employers subject to DC PFL must:
- Record covered workers’ wages;
- Report and remit premiums quarterly, starting July 1, 2019;
- Post mandatory notice at all worksites;
- Inform employees of DC PFL annually, upon hire, and when paid family leave is needed; and
- Keep certain wage and leave records for at least 3 years.
Washington D.C Paid Family Leave (DC PFL or program) was passed by the district in 2016 and is administered by the Office of Paid Family Leave (OPFL). The program is funded entirely by employer contributions, which is a percentage of covered employees’ wages. Employers submit contributions quarterly and the first contribution (for April 1, 2019 to June 30, 2019) is due July 30, 2019. Eligible individuals can start applying for paid leave benefits starting on July 1, 2020.
Am I a covered employer subject to DC PFL?
All DC employers who are required to pay unemployment insurance tax for their covered workers are subject to DC PFL.
Which employees are covered under DC PFL?
Covered employers must remit contributions on behalf of all workers who predominantly work in DC (meaning they work less than 50% in another jurisdiction). Covered employers must remit contributions on behalf of all covered employees, even if they currently provide additional leave to their employees.
What amount of contributions do I have to remit on behalf of my employees?
Paid family leave contributions are entirely funded by employers. Premiums are 0.62% of employers’ quarterly payroll, based on the immediate past quarter of gross or total wages paid to covered employees. There is no cap on the amount of wages subject to the tax.
When do I remit contributions?
Employers must report wages and pay contributions quarterly through the Employers Self-Service Portal (ESSP) used by employers to submit required unemployment insurance contributions to the district. Employers will be subject to interest and penalties if they report later than the last day of the month in which the report was due.
|Quarter||Due Date/Final Deadline|
|Quarter 1 (Jan 1- March 31)||April 1/April 30|
|Quarter 2 (April 1- June 30)||July 1/July 31|
|Quarter 3 (July 1- Sept 30)||Oct 1/Oct 30|
|Quarter 4 (Oct 1- Dec 31)||Jan 1/Jan 30|
Do I need to notify my employees about DC PFL or post notice at my worksites?
Yes, employers have posting and notice requirements.
- Posting: Employers must post a notice at each workplace. If covered employees work remotely or predominately telework, employers must send them a copy of the notice so they can hang it at their individual worksite.
- Notice: Employers must provide notice (in paper or electronic form) to employees annually, upon hire, and when paid family leave is needed.
Notice and posting penalties: Employers are subject to penalties for failure to post or deliver notice, which is $100 for each covered worker who did not receive a notice and $100/day for failure to post notice.
What are my recordkeeping requirements?
Employers must keep the following records for at least 3 years:
- Employees’ social security number (or tax identification number), pay period dates, wages, and dates of employment;
- Dates employees took covered leave, copies of the leave notices they gave to employees, and records of disputes regarding PFL; and
- All copies of required written notices given to workers and documents describing benefits including short-term and long-term disability policies, sick leave, vacation leave, and other paid and unpaid leave policies.
- Employers Self-Service Portal (ESSP) (portal only works on Internet Explorer versions 10 and above, Chrome versions 32 and above, and Firefox versions 28 and above)
- Paid Family Leave: Information for Employers
- Employer Toolkit
- Paid Family Leave Notice to Employers and Employees (English)
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