Washington Paid Leave Premiums to Rise to 1.2% in 2027
Employees will see a higher payroll deduction for family and medical leave benefits starting next year.
Updated on Oct. 16, 2026 in Employment
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The Washington State Employment Security Department has announced that the paid family and medical leave premium rate will increase to 1.2% for 2027. This shift represents a change from the current 1.13% rate and will affect both employees and employers across the state.
Why it matters
The premium adjustment is calculated annually by the state to balance incoming contributions with the total benefits paid out, which reached $1.8 billion through September 2026. This increase reflects the funding required to sustain the program following its usage by over 220,000 claimants in the first nine months of 2026.
The premium rate will rise to 1.2% in 2027, up from the current 1.13% level. With employees responsible for 71% of the total premium, households will see a larger portion of their paychecks dedicated to this state benefit program starting next year.
The players
Washington State Employment Security Department
The state agency responsible for managing unemployment insurance and the statewide paid family and medical leave program.
The details
Washington funds its paid family and medical leave program through a split premium shared by employers and staff. Employers cover 29% of the total cost, while employees pay the remaining 71% through payroll withholdings. The state adjusts this rate each year based on the previous year's benefit claims and contribution levels to ensure the fund remains solvent for program participants.
Timeline
Through September 2026: 220,000 people claimed $1.8 billion in benefits.
October 16, 2026: Department announced the 2027 premium rate.
2027: Premium rate increases to 1.2%.
Money Landscape
This premium increase follows the established annual adjustment mechanism of the Washington Paid Family and Medical Leave program. The shift aligns with the state's objective to maintain fund solvency as claims volume persists at high levels.
Employees in Washington should prepare for slightly higher payroll deductions beginning in 2027 to accommodate the increased premium share. Consult with your payroll department or a financial professional to understand how this change may adjust your specific net take-home pay.
The takeaway
The upcoming adjustment ensures that the state program remains funded to support workers during medical or family leave. Review your pay stub in early 2027 to see the updated withholding amount and verify your budget accordingly.
Further reading
For more on how state labor regulations influence your take-home pay, visit the Washington Employment section.
Source note: This article includes information reported by My Bellingham Now -.
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