Connecticut Paid Family and Medical Leave

Connecticut Paid Family and Medical Leave (PFML) is a tax for employees subject to Connecticut state unemployment insurance (SUI).

These taxes use the Family Leave Insurance Employee component.

However, there are some areas you should consider.

  • What is the employee eligibility criteria

  • How to opt your organization out of these taxes

  • How to exclude individual employees

  • How to cost Paid Family and Medical Leave taxes

  • What wage basis rules they follow

Employee Eligibility Criteria

The payroll process automatically imposes these taxes on employees when they're subject to Connecticut SUI.

Opt Out Your Organization

There are cases where you want to exempt an organization from these taxes. For further info, see the Connecticut state tax authority website.

To opt an organization out of these taxes:

  1. To opt out at the PSU level, start the Legal Entity Calculation Cards task from your implementation project.

    To opt out at the TRU level, start the Legal Reporting Unit Calculation Cards task.

  2. In Component Groups, choose the Connecticut state regional node.

  3. In Calculation Components, choose State FLI.

    Create it if it doesn't already exist.

    1. Select the Connecticut regional node in Component Groups.

    2. Click Create in Calculation Components.

    3. In Create Calculation Component, select State FLI.

    4. Select CT.

  4. Select Enterable Calculation Values on the Calculation Card.

  5. Choose Exempt from Family Leave Insurance.

  6. In Value, enter Yes.

  7. Save your work.

Exclude Individual Employees

To exclude an individual employee from these taxes:

  1. Use the Calculation Cards task to open the person's Tax Withholding card for editing.

  2. Choose the Connecticut state regional node.

  3. In Withholding Exemption, choose Yes for Exempt from Family Leave Insurance.

Cost the Tax

To process FLI taxes, cost these predefined elements using the FLI Tax Calculated input value.

  • Family Leave Insurance Employee Tax

  • Family Leave Insurance Employee Tax Not Taken

For further info, see Payroll Costing of Elements for the US in the Help Center.

Wage Basis Rules

Connecticut rules follow Social Security wage basis rules.