Maryland FAMLI payroll deductions will begin on January 1, 2027, reducing take-home pay for many workers across the state. The program will finance paid family and medical leave, although benefits will not become available until January 1, 2028, as the Baltimore Chronicle reports.
The Maryland FAMLI program confirms both dates on its official website. Fox45 News first reported the renewed debate over the payroll deductions on August 26.
How much will Maryland workers pay for FAMLI?
The initial FAMLI contribution rate will be 0.9% of wages, up to the Social Security wage cap. Employers may deduct up to half from employees, meaning workers can pay up to 0.45%.
For a Maryland employee earning $75,000 annually, that maximum share equals $337.50 per year.
The state plan sets the following structure:
- total FAMLI contribution: 0.9% of covered wages;
- employee share: up to 0.45%;
- employer share: generally 0.45%;
- payroll deductions begin January 1, 2027;
- benefits begin January 1, 2028.
Employers can choose to cover the employee contribution themselves. Workers participating through the state system generally cannot opt out.
Why are FAMLI deductions starting before benefits?
Maryland will collect contributions for one year before workers can claim FAMLI benefits. The state says the period is needed to build the insurance fund.
That gap has become the main political argument surrounding the program. Republican State Senator Justin Ready said the deduction could hurt households already under economic pressure.
Employment attorney Ben Barlow also questioned asking workers to pay before they can access the benefit, according to Fox45.
| Key date | What happens |
|---|---|
| January 1, 2027 | FAMLI payroll contributions begin |
| Throughout 2027 | Employers collect and remit contributions |
| January 1, 2028 | Eligible workers can begin receiving benefits |
The timeline is now confirmed by Maryland’s official FAMLI portal. The current 0.9% rate applies to wages paid during 2027.
What benefits will Maryland FAMLI provide?
Once benefits begin, eligible Maryland workers can receive up to 12 weeks of paid, job-protected leave.
Qualifying circumstances include childbirth, a serious personal health condition, or caring for a family member. Certain needs related to a family member’s military deployment also qualify.
Benefits can reach up to $1,000 per week under the state program.
The controversy will therefore continue through 2027. Workers will see deductions immediately, while access to paid leave remains one year away.
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