Paid Family Leave, or PFL, involves payroll deductions that pay into a larger fund. Employees of eligible companies may request it when workers need time to take care of themselves and their loved ones. Examples include bonding after the birth, adoption or fostering of a child, caring for a family member experiencing a serious health condition, and supporting families of deployed members of the military.
Hearing you can get a tax credit based on who you hire may seem like it’s too good to be a true or potentially problematic due to the kind of employees you may be hiring. Fortunately for your business, it’s a very real thing that encourages you to explore a pool of talented employees typically ignored.
As a small business owner, you have a tight-knit team of people and can’t imagine needing to worry about unemployment insurance. Economic downturns, retirement and a change of location are all reasons you may let an employee go, meaning they’ll be eligible to file for unemployment insurance. It might not be in your plan now but learning more about UI is essential for your business.
Losing a member of your team always has implications no matter the reason they’re gone. While you can count on needing to restructure to ensure all their responsibilities are being taken care of, you might not know when to expect a former employee to file for unemployment insurance.