New Jersey Family Leave Insurance Deduction Effective 01/01/2009

Effective January 1, 2009 New Jersey employees will see a new deduction for the NJ Family Leave Insurance Disability Benefits Law.  This new deduction will begin as of January 1st and will be at the rate of 0.09% (0.0009) of the employee’s taxable wages ($28,900) as defined in the Unemployment Compensation Law.  The rate increases to 0.12% (0.0012) beginning in 2010.  There is no employer contribution.

Beginning July 1, 2009, employees may apply for up to six (6) weeks of FLI benefits during leave taken to provide care for a sick family member or to care for a newborn or newly adopted child.  Eligible applicants who are covered by the state FLI plan will received weekly benefits amounting to no more than two-thirds (2/3) of their weekly pay, subject to the same maximum as temporary disability insurance (TDI) for an individuals own disability (the maximum weekly benefit rate for TDI is $524.00 in 2008).

For more information, please visit the following website:  http://lwd.dol.state.nj.us/labor/employer/ea/legal/FLI.html