WA CARES Program DelayedJanuary 28, 2022
Learn more about the signed legislation to delay the implementation of the State’s Long Term Care program until July 1, 2023.
- New legislation delays the collection of premiums until July 1, 2023
- Premium and benefit rates remain the same
- Employers who collected premiums from employees will have until April 30, 2022 to return any funds
- Workers living out of state and certain other classes of workers may now opt out of the program.
- Individuals 55 and older will now be able to claim partial benefits previously unavailable to them.
Washington Governor Jay Inslee has sign legislation to delay the implementation of the state’s Long Term Care program until July 1, 2023. In addition to the delay in the collection of premiums, the legislation also makes changes to who can qualify to opt out of the program. Rates and benefits remain unchanged with a premium of .58% and lifetime benefit of $36,500.
WA workers who live out of state and won’t be able to take advantage of the program’s benefits are now eligible to opt out as well as certain disabled veterans and military spouses as well as non-immigrant temporary workers. The decision to opt out and method for doing so appears to remain the responsibility of the worker.
Changes were also made to allow workers born before January 1, 1968 to claim a partial benefit for which this class of worker was previously ineligible.
The legislation also includes a provision requiring employers that collected premiums from employees to return those funds within 120 days of the start of collection.
Paylocity clients who took premium payroll deductions should process payroll adjustments to return any of those deductions to employees by April 30, 2022. Paylocity will update our implementation plan to coincide with the new effective date of July 1, 2023.
Thank you for choosing Paylocity as your Payroll Tax and HCM partner. This information is provided as a courtesy, may change and is not intended as legal or tax guidance. Employers with questions or concerns outside the scope of a Payroll Service Provider are encouraged to seek the advice of a qualified CPA, Tax Attorney or Advisor.