By Kelsey Gustafson

We want to share an important update about Minnesota’s Paid Family and Medical Leave (PFML) law, which takes effect January 1, 2026, and outline your employer responsibilities—especially if you’re considering using an equivalent private plan.

📅 Key Details: About Minnesota Paid Leave (PFML)

  • Effective Date: January 1, 2026
  • The program allows up to 12 weeks of paid Medical Leave, and up to 12 weeks of Family Leave, with a maximum of 20 weeks per benefit year
  • Partial wage replacement is funded by a 0.88% payroll premium, shared equally (typically 0.44% each) between employer and employees
  • Premium deductions begin January 1, 2026; first premium payments are due by April 30, 2026, covering wages for Q1 2026

✅ PFML Employer Obligations & Key Deadlines

  • Quarterly wage-detail reporting requirement began October 31, 2024 (via Unemployment Insurance reporting system)
  • Workplace poster and written employee notice requirement: by December 1, 2025, or within 30 days for new hires. Notices must include state-issued and/or translated versions if languages spoken by ≥5 employees are other than English
  • Job Security: Maintain health benefits during leave, and reinstate employees to their job or an equivalent position upon return

🔗 Key Resources About Minnesota Paid Family Medical Leave Law

🧾 Equivalent Plan Option

Minnesota allows employers to offer an equivalent plan, in lieu of the state plan, but only if the plan meets or exceeds the state program’s standards. Key points:

PFML Equivalent Plan Requirements include:

  • Equal or greater leave durations and wage replacement
  • Equal job protections
  • Employee costs no higher than under state plan
  • Coverage continuation for up to 26 weeks after separation or until terminated employee is covered by a new employer
  • Applications for equivalent plans to be effective Jan 1, 2026 must be submitted by Nov 10, 2025 via the State website.

📌 Overview Table

Topic

Requirement or Benefit

State Plan Launch

January 1, 2026

Leave Duration

Up to 12 weeks medical, 12 weeks family (20 weeks total)

Employer Premium Rate        

0.88% taxable wages (split ~0.44/0.44)

Quarterly Reporting

Required starting Q4 2024

Employee Notices

By December 1, 2025; or within 30 days of hire

Equivalent Plan

Application, fee, and approval required

First Premium Due Date

April 30, 2026

✅ Recommended Action Steps

  1. Review and revise your internal leave policies to incorporate PFML benefits.
  2. Decide whether you will:
    • Join the state plan, or
    • Seek approval for an equivalent plan through DEED.
  3. Ensure payroll systems are ready for premium deductions starting 1/1/26.
  4. Prepare to distribute employee notices and post workplace posters by 12/1/25.
  5. If opting for a private plan, begin application and bond process soon. Applications are due 11/10/2025.
  6. If DHA processes your payroll, be on the lookout for additional correspondence about next steps and requirements.

We’re here to support you through implementation and compliance as you select your plan. Contact us if you have additional questions.