FAQs – PFL Benefits

• Is there a waiting period for Paid Family Leave insurance benefits?
• Do I need to take all of my Paid Family Leave insurance benefits at one time?
• If I receive six weeks of Paid Family Leave insurance benefits to bond with my newborn and then one of my parents becomes seriously ill later in the year, will I be able to receive Paid Family Leave benefits again since it is for a different reason?
• How will you determine the weekly benefit amount for Paid Family Leave?
• How soon will my employee receive his or her first benefit payment from Paid Family Leave after mailing in his or her claim form?
• May an employee receive other benefits while also receiving Paid Family Leave insurance?
• Can Paid Family Leave Benefits be integrated with unused sick leave?
• How is the Paid Family Leave insurance benefit affected when an employee receives sick leave benefits and Paid Family Leave at the same time?
• Is an employee required by law to use his or her vacation leave when collecting Paid Family Leave insurance benefits?
• If an employee has not accumulated two weeks of vacation leave does he or she have to use his or her earned but unused sick leave instead?
• How are Paid Family Leave insurance benefit payments treated for tax purposes?
• Can an employee opt out of the Paid Family Leave insurance program?
• Can I use Paid Family Leave back-to-back with my Disability Insurance claim for pregnancy? Will there be an additional seven-day waiting period for Paid Family Leave?

Is there a waiting period for Paid Family Leave insurance benefits?
Paid Family Leave requires a seven (7) calendar day unpaid waiting period (except for claimants who are new mothers transitioning from Disability Insurance benefits to Paid Family Leave benefits). The required seven-day waiting period does not need to be taken seven days in a row. For example, if care were provided one day per week, the seven-day waiting period would be served over a seven-week period. Benefits are payable once the seven days have been served and all other eligibility criteria are met. Claimants must be off work at least eight (8) calendar days to receive benefits.

Serving the seven (7) day waiting period

Do I need to take all of my Paid Family Leave insurance benefits at one time?
No, the law does not establish a minimum number of hours or days or weeks that an employee must take Paid Family Leave insurance benefits. It only establishes the maximum leave time of six (6) paid weeks within a 12-month period.

If I receive six weeks of Paid Family Leave insurance benefits to bond with my newborn and then one of my parents becomes seriously ill later in the year, will I be able to receive Paid Family Leave benefits again since it is for a different reason?
Claimants are limited to six (6) paid weeks of benefits within a 12-month period regardless of the reason for the leave.

How will you determine the weekly benefit amount for Paid Family Leave?
The weekly benefit amount is calculated based on the calendar quarter with the highest earnings in the claimant’s base period. The base period covers 12 months and is divided into four consecutive quarters of three months each. The wages the claimant was paid approximately 5 to 18 months before the claim begins are included in the base period (they must be subject to the State Disability Insurance tax). The base period does not include wages paid at the time the claim begins.

NOTE-If the claimant received Disability Insurance pregnancy disability benefits and then filed a Paid Family Leave insurance claim to bond with a new child, the weekly benefit amount is the same as the State Disability Insurance weekly benefit amount. There is no new calculation of the weekly benefit amount when the bonding claim follows the Disability Insurance pregnancy claim. This is true even if the bonding claim does not immediately follow the Disability Insurance pregnancy claim.

How soon will my employee receive his or her first benefit payment from Paid Family Leave after mailing in his or her claim form?
Most Paid Family Leave benefits are issued within two weeks after a properly completed claim is received.

May an employee receive other benefits while also receiving Paid Family Leave insurance?
An employee may not receive Paid Family Leave insurance benefits if he or she is receiving or will receive State Disability Insurance, Unemployment Compensation Insurance, or Workers’ Compensation benefits for the same period. Other benefits, such as employer paid benefits for baby bonding, may also affect payment of Paid Family Leave benefits.

Can Paid Family Leave Benefits be integrated with unused sick leave?
Yes. However, the employee cannot be receiving benefits (both SDI and Sick Leave combined) that exceed 100 percent of the claimant’s regular wages earned.

How is the Paid Family Leave insurance benefit affected when an employee receives sick leave benefits and Paid Family Leave at the same time?
Consistent with the Disability Insurance program, sick leave wages are treated as wages. Paid Family Leave insurance benefits will be reduced by the amount of sick leave wages received, and may render the employee ineligible for benefits depending on the amount of sick leave wages received and the employee’s weekly benefit amount.

If integrating (coordinating) the sick leave (pay the employee sick leave wages in an amount which is the difference between the Paid Family Leave insurance benefit and the employee’s full wage), the sick leave benefits received by the employee will not affect the Paid Family Leave benefit.

Is an employee required by law to use his or her vacation leave when collecting Paid Family Leave insurance benefits?
The law gives an employer the discretion (option) to require an employee to take up to two weeks of earned but unused vacation leave. Vacation leave may include paid time off. This option does not relieve employers of any collective-bargaining duties they may have with respect to vacation leave.

If an employee has not accumulated two weeks of vacation leave does he or she have to use his or her earned but unused sick leave instead?
No, the Paid Family Leave law does not authorize employers to require the use of sick leave in lieu of vacation.

How are Paid Family Leave insurance benefit payments treated for tax purposes?
Claimants should contact the IRS or a tax advisor to obtain additional information.

For state tax purposes, Paid Family Leave benefit payments are not taxable by California pursuant to Revenue and Taxation Code section 17083.

Can an employee opt out of the Paid Family Leave insurance program?
Paid Family Leave is a component of State Disability Insurance and contributions are mandatory under the California Unemployment Insurance Code.

Can I use Paid Family Leave back-to-back with my Disability Insurance claim for pregnancy? Will there be an additional seven-day waiting period for Paid Family Leave?
Paid Family Leave insurance benefits may be applied for as soon as a claimant has recovered from a pregnancy-related disability and is no longer in receipt of State Disability Insurance benefits. There is no additional seven-day waiting period for a Paid Family Leave claim for benefits to bond with a newborn when the Paid Family Leave claim follows the Disability Insurance pregnancy-related claim. Claimants will automatically be sent a Claim for Paid Family Leave (PFL) Benefits - New Mother, DE 2501FP, when a pregnancy-related disability claim ends.