Paid Family Medical Leave premium rate increases to 1.13 in 2026

The Washington State Employment Security Department confirmed that the Paid Family & Medical Leave premium rate will increase to 1. 13% starting January 1, 2026. This adjustment follows the program's significant usage, with over 218,000 individuals claiming benefits in 2025, leading to expenditures exceeding $1. 76 billion. Employers will pay 28.

57% of the total premium, while employees will contribute 71. 43%. The program relies on premiums from both employees and employers for funding. The Employment Security Department recalculates the premium rate annually based on previous year data. Small businesses with fewer than 50 employees are not mandated to pay the employer premium, although they must still manage employee contributions.

This increase in premium reflects the program's growing demand and usage. The adjustments aim to ensure the sustainability of the Paid Family & Medical Leave program in Washington state.