Calculating WA PFML taxes can seem complicated, but it doesn't have to be. As a small business owner or solo entrepreneur in Washington, understanding how to calculate WA PFML taxes is crucial for compliance and smooth payroll processing. This guide will walk you through the necessary steps and provide you with the current tax rates for 2026. By the end, you'll be equipped to handle these calculations with confidence.
Understanding WA PFML Taxes
WA PFML stands for Washington Paid Family and Medical Leave. This program provides paid leave benefits to workers who need time off for family or medical reasons. As an employer, you are responsible for withholding PFML taxes from your employees' wages. For 2026, the WA PFML tax rate is 0.74% of each employee's gross wages. This rate is split between the employer and the employee, with employers contributing 37% and employees contributing 63% of the total tax.
Calculating WA PFML Taxes: Step-by-Step
1. Gather Employee Wage Information — Start by collecting the gross wages for each employee. This includes all earnings before any deductions. 2. Determine the Taxable Wage Base — For 2026, the taxable wage base is the gross wages up to $176,100. 3. Calculate the PFML Tax — Multiply the employee's gross wages by the PFML tax rate of 0.74%. If the employee's wages exceed the taxable wage base, cap the calculation at $176,100. 4. Split the Tax Amount — Calculate the employer's and employee's portions. The employer pays 37% of the total PFML tax, while the employee pays 63%. 5. Report and Remit Taxes — Ensure you report these amounts accurately on your payroll tax filings and remit them on time to stay compliant.
Additional Payroll Taxes in Washington
In addition to WA PFML taxes, you'll also need to calculate other payroll taxes for your employees. For 2026, the Social Security tax rate is 6.2% on wages up to $176,100. Medicare tax is 1.45% on all wages, with an additional 0.9% for high earners. The WA Cares Fund tax rate is 0.58% of wages, and the Washington Labor and Industries (L&I) tax rate varies by industry and is based on your specific business activities. Keep these rates in mind when calculating overall payroll taxes, as they can impact your total payroll expense.
To simplify your payroll calculations, use our free payroll tax calculator at micro-payroll.com. It's designed to help you calculate WA PFML taxes and other payroll deductions accurately.
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