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Will Square take care of the new deductions for WA State Family and Medical Leave Law?

Will Square take care of the new employee deductions for WA State Family and Medical Leave Law?

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Admin

Best Answer

Hello everyone, very sorry to keep you waiting for a reply.

 

I just confirmed with the Payroll team that we are fully supporting the new deductions for Washington State Family and Medical Leave Law (FMLA). You should see it in your pay run summary when you confirm the withdrawal. 

 

If you have any quesitons about a specific payrun please call our CS team and a Payroll Specialist will be able to help.

️ Helen
Seller Community Manager

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This reply was created from merging an existing thread: New Laws Taking Effect January 1st. Are you ready?

 

In 2017, Washington’s Legislature passed a paid family and medical leave law. Starting in 2020, Washington will be the fifth state in the nation to offer paid family and medical leave benefits to workers. A premium of employee gross wages will fund the program, with the cost shared by both employees and many employers. The Employment Security Department (ESD) administers the program.

 

Starting Jan. 1, 2019, employers of all sizes must either start withholding premiums from employee paychecks or opt to cover their employees’ premiums themselves.

Employers that average fewer than 50 employees do not have to pay the employer portion of the premium but must still withhold the employee portion or cover it themselves and meet all reporting requirements.

Employers who choose to withhold premiums from their employees may withhold up to about 63.333% of the total premium. The employer is responsible for paying the other 36.667%.

 

Unlike the federal unpaid Family Medical Leave Act (FMLA), businesses of all sizes must participate in the Paid Family and Medical Leave program. Employers that average under 50 employees do not have to pay the employer portion of the premium but must still withhold the employee portion or cover it themselves and meet all reporting requirements.

If you are a public or private employer with even one employee in Washington, you’ll very likely be a part of Paid Family and Medical Leave.

Employers that average fewer than 50 employees and choose to pay the employer share of the premium may be eligible for cash assistance grants when an employee goes on Paid Family and Medical Leave starting in 2020.

 

So is our payroll in Washington State ready for this change? Will we need to do anything?

 

 

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Square Community Moderator

Hi @Bartwine

 

That's a very good and timely question!

 

I checked in with our Payroll team and they let me know that we'll be supporting deductions for WA Paid Family Leave starting in 2019. The state is still finalizing reporting requirements, so as additional information becomes available, we'll communicate it to our impacted sellers as needed.

 

Check this page for up-to-date details

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Thank you 

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I just read another post from 4 weeks ago which stated you were 'still looking into this'? Which one is accurate? My first payroll is scheduled to be paid January 11, 2019 and has to be processed January 7, 2019 so I would like to have a more confident answer that you WILL be setup for this withholding. Please confirm?

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@Tom,

 

Thanks but my question (and i believe that of @Charme) is still unanswered in a way.

 

The older thread (about months ago) says it will from 2019 but our payroll starts in next week and the govt has issued the rule in the letter ( i also stated in my earlier message)

 

Any updates please

 

Best

Vidya

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Admin

Thanks for checking in here and bringing this up, @aaustin016. I don't have the answer on hand, but I've surfaced your post with our Payroll Team. We'll be back with more clarity ASAP.

️ Tom | he/him
Seller Community Manager | Square, Inc.
Find step-by-step help in our Support Center
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Admin

Update:

 

Our Payroll Team is looking into supporting deductions for Washington State Paid Family Leave starting next year. The state is still finalizing reporting requirements—we'll share more as additional details become available.

 

Keep an eye on Washington State's Employment Security Deportment page for up-to-date information: Paid Family and Medical Leave.

 

Appreciate your patience. Please don't hesitate to let us know if any other questions come up in the meantime!

️ Tom | he/him
Seller Community Manager | Square, Inc.
Find step-by-step help in our Support Center
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Is there any update on this? Per the law, any employer with less than 50 employees is required to withhold and remit 63.33% of .4% of gross wages to WA State ESD starting January 1, 2019. My first payroll is scheduled for January 11, 2019 which means I need an answer as to whether Square will be setup to withhold these funds???

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This reply was created from merging an existing thread: FMLA manadatory insurance for WA

 

Good day,

Starting 2019 , (1st Payroll starting January 15th), all employers are subjected to hold  this tax.

(Tax is .04% of Gross wages and pay 63.33 %  of that amount)

 

I saw another thread where your payroll team said it will be added in 2020.

 

So how should we/others handle this for 2019.

 

Please help quickly as we need to have an answer soon to pay and comply with the law.

 

(FYI , i thought i can make an deduction which is .004 X.6333  should be .2533% but you allow only 2 digit so if i enter .25% , i deduct less. Also is this FMLA post tax deductions)

 

Thanks in advance for answering

Vidya

 

 

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Super Seller

the last update I saw said it would be ready to go once the state finalized the requirements for 2019.  I didn't see any that said they wouldn't support it till 2020.

 

@EJ_ or @Tom can you share an update?

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But the state has sent a letter stating that it's mandatory from 2019.

 

You are correct.

I queried/search on the support forum "FMLA for washington" and found a thread (with around 5 people) stating that it will be supported once the state has finalized .

 

Now with the state has finalized (based on letter they sent to my business and probably others), i want to know , how it's handled.

 

Sorry for the confusion (if i was not clear)

 

We/I still need to know , how SQUARE is handling and how others are handling it.

 

Thanks

Vidya

 

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Admin

Best Answer

Hello everyone, very sorry to keep you waiting for a reply.

 

I just confirmed with the Payroll team that we are fully supporting the new deductions for Washington State Family and Medical Leave Law (FMLA). You should see it in your pay run summary when you confirm the withdrawal. 

 

If you have any quesitons about a specific payrun please call our CS team and a Payroll Specialist will be able to help.

️ Helen
Seller Community Manager

Did you find help in the Seller Community? Mark a Best Answer to help others.
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Square

Hi all, if you want more information on the Washington State Family and Medical Leave Law and how you can manage this for your business, check out this article from the Town Square Blog. 

 

Hope this helps! 

 

paid family leave

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