Massachusetts Paid Family and Medical Leave (PFML): An Employer Guide for 2026 and 2027

Massachusetts Paid Family and Medical Leave (PFML), under G.L. c. 175M, gives most Massachusetts workers paid, job-protected time off for their own serious health condition or a family member’s. It’s funded by payroll contributions, and nearly every Massachusetts employer has duties under it, even small ones. This guide covers what employers need to know, including a change to the contribution split that takes effect January 1, 2027.

Figures in this article are from the Department of Family and Medical Leave (DFML) as of October 2026. Rates and benefit amounts change every year, so confirm current numbers with DFML.

What PFML provides

An eligible employee can take, in a benefit year:

• Up to 20 weeks of paid medical leave for the employee’s own serious health condition
• Up to 12 weeks of paid family leave to care for a family member with a serious health condition, to bond with a child in the first 12 months after birth, adoption or foster placement, or for certain military family needs
• No more than 26 weeks combined

Benefits are paid by DFML (or by an approved private plan), not directly by the employer. The weekly benefit depends on the employee’s wages and is capped. The maximum weekly benefit is $1,230.39 in 2026 and $1,284.61 in 2027. PFML is separate from the federal Family and Medical Leave Act, which provides unpaid leave and applies only to employers with 50 or more employees. The two can run at the same time.

Job protection

An employee on PFML is entitled to return to the same or an equivalent position, with the same status, pay and benefits, and the employer must continue the employee’s health insurance during leave on the same terms. Retaliating against an employee for requesting or taking leave is prohibited, and those protections begin as soon as the employee tells you they plan to take PFML leave. Any negative change in the employee’s job during leave, or within six months after it, is presumed to be retaliation, and an employee can sue in Superior Court. Employers should treat a PFML request the way they would any protected leave request, and document their decisions carefully.

Step 1: Count your covered workforce

Your contribution obligations depend on whether you have 25 or more covered individuals. DFML’s rules for counting your workforce include:

• Full-time, part-time, seasonal and temporary employees who work in Massachusetts, whether or not they live here
• Owners who pay themselves through a W-2
• 1099-MISC contractors, if on average they made up 50 percent or more of your workforce over the past year
• Workers who don’t qualify as independent contractors under the unemployment statute, G.L. c. 151A, are covered individuals, not contractors

A business new to PFML counts based on the previous calendar year. After that, the Department of Revenue determines the count.

Step 2: Withhold and send contributions

Contributions are a percentage of eligible wages, capped at the Social Security taxable maximum, and are reported and paid quarterly through MassTaxConnect. Every employer must send contributions, but only employers with 25 or more covered individuals must pay an employer share.

2026 rates

• 25 or more covered individuals: 0.88% of eligible wages. Family leave is 0.18%, which can be fully withheld from employees. Medical leave is 0.70%. Up to 0.28% can be withheld from employees, and the employer pays at least 0.42%.
• Fewer than 25: 0.46% of eligible wages (0.18% family plus 0.28% medical), which can be fully withheld from employees. There’s no employer share.

What changes on January 1, 2027

Chapter 101 of the Acts of 2026 shifts the employer’s share from medical leave to family leave, beginning January 1, 2027. DFML says the change is meant to reduce the effect of recent IRS guidance on how PFML benefits are taxed. For employers with 25 or more covered individuals in 2027:

• Family leave: up to 0.28% of eligible wages can be withheld from employees, and the employer pays the remaining 0.42%
• Medical leave: 0.18% of eligible wages, all of which can be withheld from employees

Employers with fewer than 25 covered individuals still send 0.46% of eligible wages, with no employer share. Update payroll settings before the first 2027 pay period, and check DFML’s contribution rates page for the final figures.

Employers can always choose to pay more than the minimum share, including all of it, and can vary the share among groups such as bargaining units or full-time and part-time staff. They can’t pay less than the required share.

Step 3: Give the required notices

• Workplace poster. Every employer must display the DFML poster where employees can easily read it, in English and in any language that is the primary language of five or more workers, if DFML offers that translation.
• New hires. Give each new employee DFML’s written notice within 30 days of hire, on paper or electronically, with a chance to acknowledge or decline it. Keep the signed form or proof that you tried. If 1099-MISC contractors make up more than half your workforce, they get the notice too.
• Rate changes. Current employees must get updated contribution information at least 30 days before a rate change. With the January 1, 2027 change, plan to give notice by early December 2026.

Private plans

An employer can apply for an exemption if it offers a private or self-insured plan with benefits at least as generous as the state program. An exempt employer still has to follow the PFML law, including job protection and notice requirements.

Getting help

PFML touches payroll, leave policies, handbooks and terminations. Attorney Gaudet can review your PFML compliance, update your leave policy for the 2027 change, or advise on a leave request or dispute. Call 978-273-8337 or contact our office.

Related articles

• The Family and Medical Leave Act and Massachusetts Employers: A Practical Guide
• Should I Sign a Medical Records Release in Massachusetts?

About the Author

Richard Alan Gaudet, Esq. is a Massachusetts attorney at the Law Offices of Richard Alan Gaudet, LLC in Middleton, Massachusetts, who advises employers on leave laws, wage compliance and employment policies. His practice focuses on professional license defense, business law and litigation, family law, and landlord representation, serving clients across Northern, Eastern, and Central Massachusetts. Reach him at 978-273-8337 or rgaudet@gaudetlawoffice.com. Office: 35 Village Rd., Ste 100, Middleton, MA 01949.

ABOUT THIS ARTICLE

This article was prepared by a Massachusetts attorney and is provided solely for general informational and educational purposes directed to members of the general public. It does not constitute legal advice and does not create an attorney-client relationship. The law applicable to any particular situation depends on the specific facts and circumstances of that matter. Readers are encouraged to seek the advice of a licensed Massachusetts attorney before taking any action.