State payroll programs (2026)

What state payroll programs are

Beyond income tax, a growing number of states deduct premiums from employee paychecks to fund temporary disability insurance (SDI/TDI), paid family and medical leave (PFML/PFL) and, in Washington, long-term care. These show up as their own lines on the pay stub and change take-home pay meaningfully — up to about 1.3% of wages in California.

2026 employee premiums by state

State	Program	Employee rate	Wage cap	Max per year	Payer
California	SDI	1.3%	None	—	Employee
Colorado	FAMLI	0.44%	$184,500	$811.80	Shared with employer
Connecticut	Paid Leave	0.5%	$184,500	$922.50	Employee
Delaware	Paid Leave	0.4%	$184,500	—	Shared with employer
Hawaii	TDI	0.5%	$7.50/week max	—	Shared with employer
Maine	Paid Family & Medical Leave	0.5%	$184,500	—	Shared with employer
Massachusetts	PFML	0.46%	$184,500	$848.70	Shared with employer
Minnesota	Paid Leave	0.44%	$185,000	—	Shared with employer
New Jersey	TDI	0.19%	$171,100	$325.09	Employee
New Jersey	FLI	0.23%	$171,100	$393.53	Employee
New York	SDI	0.5%	$0.60/week max	—	Employee
New York	PFL	0.432%	$95,349	$411.91	Employee
Oregon	Paid Leave Oregon	0.6%	$184,500	$1,107.00	Shared with employer
Rhode Island	TDI	1.1%	$100,000	$1,100.00	Employee
Washington	PFML	0.807%	$184,500	—	Shared with employer
Washington	WA Cares (LTC)	0.58%	None	—	Employee

Rates and caps come from each state's program agency where available; see the source list below. District of Columbia's paid-leave tax is paid by employers only.

SDI vs paid leave vs long-term care

Temporary disability insurance (SDI/TDI) pays partial wages when you cannot work because of your own illness or injury. California, New York, New Jersey, Hawaii and Rhode Island run these programs.
Paid family and medical leave (PFML/PFL/FLI) pays partial wages while you bond with a new child or care for a family member (and in many states for your own serious health condition).
Long-term care (WA Cares) is a benefit fund financed by a premium on every dollar of wages.

How they appear on your pay stub

Look for labels such as "CA SDI," "NY PFL," "NJ FLI," "WA PFML," "MA PFML," "CO FAMLI" or "OR PLO." Your payroll provider's abbreviations can vary. Each of our state pages lists the programs that apply and the effect on take-home pay.

Programs that are starting or changing

Several programs are new. Maine's premiums began in 2025 with benefits starting in 2026; benefits under the Delaware and Minnesota programs began in 2026. Colorado's total premium is scheduled to fall from 0.88% to 0.86% in 2027. Maryland has enacted a program whose start has been delayed — check the Maryland Department of Labor. We update figures each January and when agencies announce changes.

Frequently asked questions

Which states charge employees for disability or paid family leave?

In 2026 California, Colorado, Connecticut, Delaware, Hawaii, Maine, Massachusetts, Minnesota, New Jersey, New York, Oregon, Rhode Island and Washington collect employee-paid premiums; D.C.’s program is funded by employers.

Do these deductions reduce my federal taxes?

Generally they are after-tax payroll deductions and do not reduce federal wages, though the treatment of the benefits when you receive them varies.

Can my employer choose how much of the premium I pay?

In several states (for example Delaware, Colorado, Minnesota, Oregon and Maine) the total premium is split with employers up to a maximum share; your stub shows the actual amount.