Minnesota FLI calculations

The Minnesota PFML program imposes a 0.88% tax rate, split equally between employers and employees, with small employers eligible for a reduced rate of 0.66%. Employers can choose to cover the full employee portion.

General information about the PFML premium

The Minnesota Paid Family and Medical Leave (PFML) is effective January 1, 2026.
  • As of January 1, 2026, the total tax rate is 0.88%:
    • The employer portion is 0.44%
    • The employee portion is 0.44%
  • If a client qualifies as a small employer, the total tax rate is 0.66%:
    • The employer portion is 0.22%
    • The employee portion is 0.44%

Calculate the premium

By default, the application withholds the full combined Paid Family and Medical Leave contribution, split between the employee and employer.
  • If a client qualifies as a small employer, mark the
    PFML small employer
    checkbox in the
    Payroll Taxes
    tab of the
    Clients
    screen.
  • If a client wants to pay all of the employee portion of the premium, mark the
    Employer pays full employee PFML share
    checkbox in the
    Payroll Taxes
    tab of the
    Clients
    screen.

Minnesota Paid Leave reporting

Minnesota Paid Leave is reported through Minnesota Unemployment Insurance. Reporting can vary based on the type of employees an employer has.
For employers with employees that are subject to both MN UI tax and MN FLI, their wages will be reported together using the DEED-1D.
For employers with employees that aren't subject to MN UI tax but are subject to MN FLI, Minnesota will require them to obtain a separate MN UI Account for Paid Leave reporting. Their
MN Paid Leave Only ID
may be entered at
Client Setup
Payroll Taxes tab
Additional Information
. Entering a
Paid Leave Only ID
will generate a separate form for reporting, so that the employer will have both a DEED-1D for UI reporting and a DEED-FLI for FLI reporting.

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