Massachusetts employees, covered contractors, and certain self-employed individuals may contribute to the state's Paid Family and Medical Leave (PFML) program. If contributions were withheld or paid in excess of the annual maximum allowed, a credit may be available on the Massachusetts return.
This section is used to determine whether excess PFML contributions were withheld or paid during the tax year.
Program Entry
Massachusetts Return → Payments → Excess Paid Family Leave Withholding
The Following Information Can Be Added
Adjustments to W-2 Income
W-2 income is transferred automatically into the worksheet. If the income used to calculate excess PFML contributions differs from the amount transferred, an adjustment may be entered.
Adjustment to 1099-MISC Covered Contractor Net Income
Covered contractor income reported on Form 1099-MISC is transferred automatically into the worksheet. If the income used to calculate PFML contributions differs from the amount transferred, an adjustment may be entered.
Self-Employed Opt-In Net Income
Self-employed individuals who voluntarily elected to participate in the PFML program may enter the net income used to calculate their PFML contributions.
PFML Contributions Paid by a Self-Employed Individual Who Opted In
Amounts withheld from Forms W-2 and 1099-MISC are transferred automatically. If a self-employed individual voluntarily participated in the PFML program and made PFML contributions directly, those contributions may be entered here.
Who May Qualify for a Credit?
A credit may be available if:
- PFML contributions were withheld by more than one Massachusetts employer;
- PFML contributions were remitted on behalf of a covered contractor through multiple sources;
- A self-employed individual who opted into PFML paid contributions that exceeded the annual limit; or
- Combined PFML contributions exceeded the maximum amount required for the tax year.
Notes
- Most taxpayers will not need to make entries in this section.
- Wages and covered contractor income are generally transferred automatically from the federal return.
- Adjustments should only be made if the transferred amounts are not correct for PFML purposes.
- Taxpayers should retain Forms W-2, Forms 1099-MISC, and records of any PFML contributions paid directly.
- A credit is only available if total PFML contributions exceed the amount required under Massachusetts law.