Maryland Paid Family & Medical Leave Insurance (FAMLI) Law:

Employer Action Steps and Key Deadlines

This alert applies to employers with one or more employees working in Maryland, including remote workers.

After several delays, Maryland’s FAMLI law is finally on the horizon. The final regulations establish how the FAMLI program will operate, with payroll contributions beginning January 1, 2027, and benefits to be payable starting January 2028.

FAMLI will provide eligible employees with paid, job-protected leave for certain qualifying family and medical reasons, including wage replacement benefits of up to $1,000 per week.

Eligible employees will receive up to 12 weeks of leave and benefits in an application year. The regulations clarify that a covered employee may receive up to an additional 12 weeks of leave and benefits in the same application year if the employee becomes eligible for both medical leave for the employee’s own serious health condition and bonding leave following the birth or placement of a child through adoption, foster care, or kinship care.

Key Dates

Date	Requirement
November 15, 2026	Deadline to submit a Declaration of Intent (DOI) for employers seeking app
December 2026, at least one pay period before payroll deductions begin	Employers intending to withhold employee contributions should provide written notice to employees at least one pay period before payroll deductions begin.
January 1, 2027	Payroll deductions and employer contributions begin under Maryland FAMLI program
April 2027	First contribution remittance due to the state for employers participating in the state FAMLI program.
July 1, 2027	Deadline to provide employees with notice regarding FAMLI leave and benefits.
January 2028	Employees may begin receiving Maryland FAMLI benefits.

Which employers must comply with the Maryland FAMLI law?

Employers with one or more employees working in Maryland – including remote workers.

What is the effective date?

Payroll deductions and employer contributions must begin on January 1, 2027.

Benefits: Employees based in Maryland will be able to receive FAMLI benefits starting in January 2028.

Can employers opt out of participating?

Employers may have the option to implement a private or self-insured plan instead of the state FAMLI program; however, the Declaration of Intent (DOI) must be submitted through the employer’s online FAMLI account by November 15, 2026. An annual application fee applies.

For more information on alternative options and the process, click here.

There are no exemptions from the FAMLI law. Employers must either participate in the state FAMLI program or obtain approval for an alternate option through the Maryland FAMLI Division.

Contributions & Payroll Deductions

For 2027:

• The total contribution rate will be 0.90% of covered wages up to the Social Security wage base.
• Employers with at least 15 employees (counting employees within and outside of Maryland) may withhold up to 50% of the total contribution rate from employee pay. The remaining amount is the employer’s responsibility.
• Employers with fewer than 15 employees (counting employees within and outside of Maryland) are not required to pay the employer portion, but they must remit the employee portion of contributions if withheld from employee wages.
• Employers participating in the state program must remit the first contribution payment to the state in April 2027.
• Employers opting to comply with a private plan may have more flexibility upon approval of their intent to secure a private plan.

Private plans are free to set their own rates of withholding; however, the amount withheld from employees cannot be more than the contribution rate under the state plan.

Steps to Prepare for Maryland FAMLI

• Register: Employers (with at least one employee in Maryland) must register online with the FAMLI Division.
• Employers participating in the state program should contact their payroll provider to ensure contributions begin on January 1, 2027.
• Employers who wish to implement a private plan may submit a Declaration of Intent (DOI) to the FAMLI Division by Nov. 15, 2026. The FAMLI Division is currently accepting DOI submissions from employers that intend to implement a private or self-insured plan.

Employer Notice Requirements

Payroll withholding notice: Because contribution withholding is scheduled to begin on Jan. 1, 2027, employers that intend to withhold employee contributions from pay should provide written notice of the contribution requirement to employees in December 2026, at least one pay period before withholding begins.

Leave and Benefit Notice Requirements: Employers should begin preparing for the program’s employee leave-and-benefits notice requirements.

FAMLI benefits are scheduled to become available in January 2028, and employers must provide employees with notice of FAMLI leave and benefits no later than July 1, 2027.

The FAMLI division has communicated that a sample notice will be available for employers. Sign up for their email list to be notified when the notices and forms are available.

Once leave and benefits begin in January 2028, employers must provide this notice:

• At the time of hire;
• Annually;
• At least 30 days before any changes to the employer’s FAMLI procedures or plan; and
• When the employer becomes aware that an employee’s leave or leave request may qualify for FAMLI benefits.

For more information, including FAQs, step by step employer registration and private plan requirements, visit the Maryland FAMLI website here.