How to use the paid family leave insurance program

Most Colorado workers are now eligible to receive at least part of their salaries while recovering from illness or caring for a baby, but people who are new to their jobs may not have protection from firing or demotion.

Colorado’s Family and Medical Leave Insurance program has paid out about $420 million on 82,000 claims since it rolled out in January, said Tracy Marshall, FAMLI division director at the Colorado Department of Labor and Employment. The number of people served may be different, since one person could have had two or more events that qualified them for leave, she said.

Recipients took 53 days off, on average. Initially, most were new parents who had a child in 2023, but now more people with medical conditions are applying, Marshall said.

Most people will qualify for up to 12 weeks of job protection and partial income replacement while they deal with their own illnesses, care for a relative, or take steps to protect themselves from domestic violence. People whose doctors sign off that they need additional time because of serious complications from pregnancy or childbirth can get an additional four weeks, Marshall said.

“The vast majority of people, it shouldn’t be a problem” to qualify, she said.

How do I know if I’m eligible for FAMLI?

This seemingly simple question has two parts, because FAMLI offers protection from losing your job, as well as income replacement.

To qualify for protection from being fired or disciplined, you must have worked for your current employer for at least six months. If your tenure is shorter than that, you can still ask your human resources department if you have any other options, such as short-term disability insurance you’ve paid for. Protections through the federal Family and Medical Leave Act don’t kick in until you’ve been on the job for a year.

For the income replacement part, you must have earned at least $2,500 in wages subject to the fee that funds the program over the previous five quarters. If you’ve worked for less time, but still earned the minimum amount, you qualify.

If you’re self-employed, you must commit to paying premiums for three years. You only need to have paid for one quarter before you can take leave, though.

Local governments can opt of FAMLI for their employees. If they have, you can still opt in to income replacement by agreeing to pay premiums for three years. All government agencies are subject to the federal FMLA, so you already have job protection for up to 12 weeks.

If you work for the federal government, you aren’t eligible for income replacement.

When can I use FAMLI?

If you’re eligible and you need to:

• Care for a new child, including adopted and foster children
• Take care of your own serious health condition
• Care for another family member who has a serious illness or injury
• Make arrangements when a family member will soon deploy with the military
• Keep yourself or family members safe from domestic violence or sexual assault

If you brought a child into your family in late 2023, before the law creating the program took effect, you might still be able to take some time. You can take family bonding time at any point during the first year of caring for a child.

How much am I paying for this?

If you’re a local government employee or self-employed person who chose to opt in, 0.45% of your wages. Otherwise, your employer can deduct 0.45% from your check. If they have 10 or more workers, they have to match employees’ contributions. Payroll deductions started in January 2023.

The premium applies to the first $168,600 of earnings. If you make $40,000 at a job that’s subject to FAMLI, you’ll pay about $180 per year, and your employer will pay the same. If you earn $200,000 a year, you’ll pay $759, with your employer matching your contribution.

How much will I receive?

The maximum payout is $1,100 per week.

The program replaces 90% of the first $736 you typically earn in a week. After that, it replaces up to 50% of your earnings, until you get to the $1,100 maximum. (The Colorado Department of Labor and Employment has a calculator that will do the math for you.)

Our $40,000 earner in the above example would get about $679 per week. The $200,000 earner hits the maximum of $1,100 a week.

Colorado doesn’t tax FAMLI benefits, but the federal government considers them similar to unemployment insurance payouts and taxes them accordingly.

How do I apply for FAMLI?

You can fill out your application on the My FAMLI+ webpage. You’ll need:

• Your W-2 from your current employer, or some other document that has their Federal Employer Identification Number
• A “Serious Health Condition” form, completed by a health care provider who is aware of your condition (or your family member’s, if you’re applying for leave as a caregiver)
• A birth certificate, certificate of adoption or documentation of a foster care placement if you’re applying for time to bond with a child
• Possibly an email address for your employer’s human resources department