Maryland FAMLI: What Employers and Employees Need to Know
The Maryland Family and Medical Leave Insurance (FAMLI) program is set to change how paid leave benefits work for employees. While the federal Family and Medical Leave Act (FMLA) provides eligible employees with job-protected leave, Maryland’s FAMLI program adds a paid benefit component, helping workers maintain income while taking time off.
What FAMLI Means for Employees
Beginning in January 2028, eligible Maryland workers will be able to take up to 12 weeks of paid leave per year, with benefits of up to $1,000 per week. In certain situations, employees may qualify for up to 24 weeks of leave if they experience both a serious health condition and the birth or placement of a child during the same benefit year.
Employees can use FAMLI leave for several qualifying reasons, including:
Bonding with a newborn or newly placed adopted, foster, or kinship child
Recovering from their own serious health condition
Caring for a family member with a serious health condition
Caring for an injured service member
Managing family needs related to a military deployment
The program is funded through payroll contributions shared by employers and employees. Beginning in January 2027, employees may contribute up to 0.45% of their wages through payroll deductions, while employers contribute the remaining portion unless they choose to cover the entire cost.
What FAMLI Means for Employers
Maryland employers should begin preparing now for the administrative and compliance requirements associated with the new program. Any employer with at least one employee working in Maryland must register for FAMLI.
Employers will be responsible for:
Registering with the Maryland FAMLI program
Submitting electronic quarterly wage and hour reports beginning in April 2027
Remitting quarterly contributions unless participating in an approved private plan
Maintaining employees’ job protection and health benefits during approved FAMLI leave
Providing required employee notifications at specified times
For employers that deduct employee contributions, an additional notice must be provided one pay period before payroll deductions begin.
Private Plans: A Cost-Effective Option
With these new compliance obligations on the horizon, now is the time to evaluate all available options. While many employers may default to the State Plan, approved private plans offer a compliant alternative that can provide the same employee rights and benefits required by Maryland law while adding flexibility and administrative support.
Through Kelly Benefits Advantage, employers can explore fully insured Maryland FAMLI Private Plan options that provide an alternative path to meeting State Plan requirements. requirements.
These plans help employers gain access to preferred PFML pricing, simplified underwriting, and hands-on support from quotes through implementation. If you’re beginning to prepare for FAMLI, exploring a private plan may be a smart first step.
Important Dates to Know
Mark your calendar! The State of Maryland lists these dates as key deadlines:
Friday, January 1, 2027: Contributions begin for employers utilizing a State Plan.
Saturday, January 1, 2028: Benefits become available.
Ready to Learn More?
FAMLI is a significant change for employers, but you don’t have to navigate it alone. Connect with us today to help better understand the new requirements and build a plan that keeps your business moving forward with confidence.