At A Glance
- Effective January 1, 2024, the Colorado Family and Medical Leave Insurance Program (FAMLI) is changing the definition of subject wages.
What are "Wages" Under the Colorado FAMLI Program?
Colorado FAMLI is simplifying the definition of wages subject to family and paid medical leave premium calculations beginning January 1, 2024.
The amended definition of wages will be the same as for gross wages.
Gross wages include most compensation, such as salaries, hourly wages, overtime, tips, bonuses, and commissions. The calculation excludes severance payments, profit sharing, employer contributions to a deferred compensation plan, and expense reimbursements.
You can find examples of the kinds of payments that will and will not count as wages under the new definition on the Employers page of the Colorado FAMLI website under “Important FAMLI Matters."
Paylocity will make the necessary changes to the Colorado FAMLI premium calculation in time for the January 1, 2024, change effective date. No additional action is required by Paylocity clients. Paylocity will continue to monitor for any future changes to the Colorado FAMLI calculation and update as needed.