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More family leave pay in California starting in January
Starting in the new year, workers who go on paid family leave will get higher payments from the state to replace their wages.
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Didier Pallages
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AFP via Getty Images
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Topline:
Starting in the new year, California will increase family leave payments for workers caring for a new child or sick family member.
The backstory: If you look at your paystub, you might notice that about 1% is withheld for the state’s disability fund. (It’s often labeled “CASDI” or “CA Disability Employee.”) Right now, most workers can get 60% of their income from that fund when they take time off for disability or paid family leave.
What’s new: Workers who make about $60,000 or less will now get paid 90% of their income starting January, and other workers will get 70%.
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How it’s funded: Previously, there was a cap each year on the amount higher earners paid into the fund. Those workers only paid a percentage of their income (up to $153,164 in 2023). Now, that cap is gone, and all workers pay the same percentage for all of their income — which is 1.2% for 2025.
Read more: California is increasing paid family leave benefits starting in January. Here's what to know
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