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New Jersey Releases 2023 Contribution Structure for Temporary Disability and Family Leave Programs

New Jersey recently announced that workers and employers will pay less in the state’s temporary disability and family leave programs in 2023.

New Jersey TDI

New Jersey’s temporary disability insurance program (TDI) provides qualifying employees with up to 26 weeks of cash benefits through either a state or private employer plan. Currently, an employee contributes 0.14% of wages up to a limit of $151,900 in salary. For 2023, there will be no employee contribution. Employers will be moved to a lesser contribution table and will be notified of their required contribution through the state’s Employer Access portal.
The 2023 maximum weekly benefit will also increase. Currently at $993, the weekly maximum will increase to $1,025. The employer taxable wage base will increase from $39,800 to $41,100.

New Jersey FLI

For 2023 family leave insurance (FLI), workers will contribute 0.06% of the first $156,800 in wages, down from 0.14% in 2022. There are no employer contributions to New Jersey FLI. As a reminder, any employee that contributes to the state plan or their employer’s approved private plan is eligible for family leave insurance. Eligible employees are entitled to up to 12 weeks of leave. Eligible employees generally have 30 days from the first day of leave to file a claim.

If you have questions about either of these laws or any of your compliance responsibilities, please contact your OneDigital consultant. For the latest compliance and regulatory updates register for: Need to Know Q3 Compliance Recap for Employers.