Summary: New Jersey recently announced its Temporary Disability Insurance (NJ TDI) and Family Leave Insurance (NJ FLI) program rates for 2025.
Unlike in 2023 and 2024, when employees did not contribute to NJ TDI, employees working in New Jersey will now be required to contribute 0.23% of employee wages to NJ TDI for 2025.
The NJ FLI contribution rate for New Jersey workers will increase to 0.33% in 2025, up from 0.09% in 2024.
As a reminder, employers do not contribute to NJ FLI.
Read on for more information.
NJ TDI & NJ FLI Rates for 2025
NJ TDI
See below for a NJ TDI reference chart with rates for 2025 as well as 2024 and 2023:
|
Year
|
Maximum Benefit Amount
|
Employer Contribution Rate
|
Employee Contribution Rate
|
Maximum Employee Contribution
|
Maximum Taxable Wage Base (employers)
|
Maximum Taxable Wage Base (employees)
|
|
2025
|
$1,081
|
0.5%
|
0.23%
|
$380.42
|
$43,300
|
$165,400
|
|
2024
|
$1,055
|
0.5%
|
0%
|
$0.00
|
$42,300
|
$161,400
|
|
2023
|
$1,025
|
0.5%
|
0%
|
$0.00
|
$41,100
|
$156,800
|
NJ FLI
See below for a NJ FLI reference chart with rates for 2025 as well as 2024 and 2023:
|
Year
|
Maximum Benefit Amount
|
Employer Contribution Rate
|
Employee Contribution Rate
|
Maximum Employee Contribution
|
Maximum Taxable Wage Base (employers)
|
Maximum Taxable Wage Base (employees)
|
|
2025
|
$1,081
|
0%
|
0.33%
|
$545.82
|
Not applicable
|
$165,400
|
|
2024
|
$1,055
|
0%
|
0.09%
|
$145.26
|
Not applicable
|
$161,400
|
|
2023
|
$1,025
|
0%
|
0.06%
|
$94.08
|
Not applicable
|
$156,800
|
NJ TDI & NJ FLI Refresher
NJ TDI
NJ TDI provides income replacement cash benefits for up to 26 weeks to employees who cannot work due to pregnancy, childbirth recovery, or a serious physical or mental health condition or other disability unrelated to their job.
NJ FLI
NJ FLI provides income replacement cash benefits for workers for up to 12 weeks to bond with a new child (including adopted and foster children), care for a family member with a serious physical or mental health condition, or to handle certain matters related to domestic or sexual violence.
NJ FLI Family Member Definition:
The definition of “family member” under NJ FLI is expansive and includes the following individuals: parents, spouse, children of any age, parents-in-law, siblings, grandparents, grandchildren, domestic partner, chosen family, any other individuals related by blood, and any other individuals with whom an employee considers to be family.
NJ FLI can be taken continuously or intermittently. Intermittent NJ FLI benefits may be received for up to 56 individual days (8 weeks) in a 12-month period.
NJ FLI is funded completely by employee payroll deductions.
NJ TDI and NJ FLI claimants are paid 85% of their average weekly wage, up to the maximum weekly benefit rate set for that calendar year, which is $1,081 for 2025.
Qualifying Employees
Employees working in New Jersey qualify for NJ TDI and NJ FLI in 2025 if they have worked 20 weeks earning at least $303 weekly, or have earned a combined total of $15,200 in the base year.[1]
Exemptions:
The following employees are exempt from paying into NJ TDI and NJ FLI benefit programs:
- federal government employees,
- out-of-state employees,
- employees of faith-based organizations, and
- workers that are not technically employees (such as properly classified independent contractors).
**NJ TDI is optional for local government employees, including counties, municipalities, and school district employees.
Job Protection & Retaliation
Both NJ TDI and NJ FLI do not provide job protection to employees. However, employees may be protected under other federal and state laws, including the federal Family Medical Leave Act (FMLA) and/or the New Jersey Family Leave Act.
Additionally, if employers retaliate against an employee for taking, or seeking to take, NJ TDI and NJ FLI benefits, the employee has the right to take private legal action.
Private Plans
Employers may participate in the NJ TDI and NJ FLI state plan or choose a private plan offered by an insurance company. All private plans must be approved by the NJ Division of Temporary Disability Insurance, Private Plan Compliance Section, and must offer at least the same benefit amounts, eligibility requirements, and duration of payments as the state plan.
Private plans offered through an insurance carrier for NJ TDI/NJ FLI can provide employers with flexibility and ease for claims administration as well as seamless integration with existing short-term disability and long-term disability policies.
Next Steps for Employers
Employers with employees working in New Jersey are advised to take the following steps:
- Confirm with their payroll providers that the NJ TDI and NJ FLI contribution rates and maximum taxable wage base amounts are updated in their payroll systems for January 1, 2025.
- Monitor the NJ Department of Labor and Workforce Development NJ TDI/FLI webpage here for helpful employer resources, including required postings.
- For those employers who wish to explore their options under a NJ TDI/NJ FLI private plan, Risk Strategies’ Absence Management team is here to help.
Contact your Risk Strategies account team with any questions or email us directly at benefits@risk-strategies.com.
[1] An employee’s regular base year period consists of 52 weeks and is determined by the date they apply for NJ TDI or NJ FLI benefits.
