In June of 2018, the Legislature approved and the Governor signed Chapter 121 of the Acts of 2018 – AN ACT RELATIVE TO MINIMUM WAGE, PAID FAMILY MEDICAL LEAVE AND THE SALES TAX HOLIDAY


This Act phases in mandated paid family and medical leave over three years for all Massachusetts employers.


AIM negotiated reductions in the duration of family leave from 16 weeks in the proposed ballot question to 12 weeks, and of personal medical leave from 26 weeks to 20 weeks.


For employers with 25 or more employees, the new law calls for a .63 percent tax on Massachusetts wages (up to the social security taxable wage base – $127,200 for 2017.)  


Workers on paid leave will earn 80 percent of their wages up to 50 percent of the state average weekly wage, then 50 percent of wages above that amount, up to an $850 cap.


AIM has updated its paid leave cost calculator based upon the actual language of the law, we invite you to use the tool to get an exact version of what paid leave would cost your company.


Enter your company’s total SSI wage base in the highlighted cell, and the calculator will do the rest. 


The cost of the program may be split 50/50 between employers and workers.


Please send us the results. Your information will help AIM to keep legislators abreast of impacts on employers as processes are created and put in place.


Use the Calculator