FAMILY Act

Summary#

This bill creates a national paid family and medical leave program run by a new Office of Paid Family and Medical Leave inside the Social Security Administration. The Office, led by a Deputy Commissioner, would decide who is eligible, set benefit amounts, make monthly payments, issue regulations, and run outreach and recordkeeping. Eligible people include workers and some self-employed people who meet recent earnings tests and who are engaged in or expect to engage in "qualified caregiving" for a qualifying reason (for example, their own serious health condition, caring for a family member with a serious health condition, or addressing certain acts of violence). Benefit amounts are based on an individual’s average monthly earnings and a sliding replacement rate (85%, 69%, and 50% tiers) with dollar thresholds set for 2026. The bill sets a maximum monthly benefit ($4,000) and a minimum monthly benefit ($580) in the first full calendar year after enactment and indexes certain amounts to the national average wage in later years. Benefit periods are generally 12 months. The bill also protects job and health plan coverage during leave, prohibits retaliation, and creates civil remedies and enforcement tools. It allows States with existing comprehensive paid leave programs to be treated as "legacy States" and receive annual grants starting in 2027 if they share data and meet standards. The Commissioner must publish regulations, and the GAO must report on program use and timeliness. Applications may be filed beginning 18 months after enactment.

What it means for you#

• If you meet the earnings and work-period tests and file an application, you may be entitled to monthly paid leave benefits during a 12-month benefit period while you do qualified caregiving.
• Monthly payments are calculated from your average monthly earnings using the bill’s tiered replacement rates, subject to the program’s minimum and maximum monthly amounts.
• You must submit an application and monthly claim reports of caregiving hours. The bill treats monthly reports as presumptively accurate unless the Commissioner proves otherwise.
• Employers must not interfere with leave, must maintain group health plan coverage during leave, and generally must restore workers to their prior or equivalent job when leave ends (with a 90-day exception for new hires).
• Certain federal disability or SSI benefit recipients are ineligible. Conviction for fraud can lead to a one-year ineligibility.
• If your State already operates a qualifying paid leave program and is a recognized legacy State, your State program may continue to operate and receive federal grant support.

Expenses#

• The bill requires monthly benefit payments to eligible individuals and authorizes administrative costs for the Office of Paid Family and Medical Leave. Specific per-benefit administrative estimating may include up to 7 percent for certain calculations.
• The Commissioner will make annual grants beginning in calendar year 2027 to States that qualify as legacy States. Those grants are tied to amounts the Commissioner estimates or to the State’s actual paid leave costs, including employer-provided leave where permitted.
• The bill does not include a total federal cost or a specific revenue source in the provided text. No publicly available information on the overall federal budgetary cost is included in the bill text provided.

Proponents' View#

No publicly available information.

Opponents' View#

No publicly available information.