MA Paid Family and Medical Leave (PFML)

What it is

Massachusetts Paid Family and Medical Leave (PFML) is a state-administered benefit funded by mandatory contributions from employers and employees. It provides up to 12 weeks of paid family leave + up to 20 weeks of paid medical leave (capped at 26 total weeks per benefit year). Benefits started July 2021; the rate has adjusted annually since.

Who it applies to

Every Massachusetts employer — there is NO size threshold. Every employee who works in MA is potentially eligible. Independent contractors of MA businesses are also covered if they meet thresholds.

Employee eligibility for benefits: must have earned at least $6,300 from MA employment in the prior 4 quarters AND meet a 30× formula based on weekly wages.

What compliance looks like

1. Register with DFML. Every MA employer must register with the Department of Family and Medical Leave and report wages quarterly through MassTaxConnect.
2. Contribute. For 2026, total contribution is 0.88% of wages up to the Social Security wage base. Split between employer + employee per the statutory formula. Employers with 25+ MA workers pay the employer share (~40% of total contribution); smaller employers can pass the full amount to employees.
3. Withhold from employee paychecks. Compute + remit quarterly with state tax filings.
4. Notice. Provide written notice of PFML rights at hire AND post the official MA PFML poster in the workplace.
5. Don't retaliate. Employees on PFML have job protection — must be reinstated to the same or equivalent position.
6. Coordinate with private plans. Some employers exempt out by providing equivalent private plan benefits, but the exemption requires DFML pre-approval, not unilateral employer decision.
7. Records. Keep contribution + leave records for 3 years.

Penalties for non-compliance

Failure to register or report: $1,000 per occurrence + back contributions + interest.
Failure to remit contributions: penalty up to 24% of unpaid contributions + interest.
Retaliation against an employee using PFML: presumption of retaliation, back pay + reinstatement + 3× damages + attorney fees.
Failure to post notice: per-occurrence penalties under DFML rules.

DFML audits + enforces. Cases are common, but the rules are clear enough that compliance is achievable with a competent payroll provider (Gusto, Justworks, ADP all handle PFML by default).

How Panko helps

Each January, Panko's Boston Pro Tips push the new PFML rate (it changes every year) and any DFML guidance updates. We also track the MA legislative cycle — PFML scope expansions have been proposed every session, and Pro members get an early read if the political wind shifts.

Sources

• MA DFML — Paid Family and Medical Leave
• MA M.G.L. c. 175M

Pro members get a push the moment this rule changes — new rate, new guidance, new court ruling. Plus city-specific Pro Tips that flag the compliance windows that matter for your operation.