The NY PFL line on your W-2 is the total amount your employer withheld from your paychecks during the year to fund New York’s Paid Family Leave program. It appears in Box 14, usually labeled “NYPFL” or “NY PFL,” and it reflects premiums you paid in, not any benefits you received. For 2026, the most any employee can contribute is $411.91, calculated at 0.432% of gross wages.1NY.gov. Employee Notice of Paid Family Leave Payroll Deduction for 2026
What the Box 14 Figure Actually Represents
Box 14 is the “Other” box on the W-2, a catch-all for items that don’t fit the numbered boxes. The New York Department of Taxation and Finance tells employers to report PFL contributions there, treating them like a state disability insurance withholding.2Department of Taxation and Finance. New York State Paid Family Leave The label is up to your employer, so expect “NYPFL,” “NY PFL,” or a close variant.
The dollar amount is the sum of what came out of your paychecks across the year for PFL premiums. If you took leave during the year and received payments, those don’t show up here. Benefit payments are reported separately on a 1099 form from the insurance carrier.
Many W-2s also show a second Box 14 line for New York’s disability program, often “NYSDI” or “NYDBL.” That’s a different deduction covering your own non-work-related illness or injury. PFL covers family leave. They sit next to each other on the W-2, but they are two separate items and should be entered as such.
Entering NY PFL in Tax Software
When your tax software walks you through Box 14, it will ask you to pick a category for each entry. Choose the option labeled “New York Paid Family Leave” or similar wording. If you also have an NYSDI line, categorize that one separately as New York nonoccupational disability fund tax. Picking the right category tells the software to treat the amount as a state tax payment, which is what matters for the federal deduction below. Lumping the two together, or choosing “Other,” can throw off both your federal and state returns.
Federal Tax Treatment
Your PFL contributions come out of after-tax wages. They do not reduce the taxable wages reported in Box 1, and you pay federal income tax and FICA on your full earnings before the deduction is applied.3Paid Family Leave. Cost and Deductions
The IRS clarified in Revenue Ruling 2025-4 that mandatory employee contributions to a state paid family leave program count as state income tax payments. If you itemize on your federal return, you can include your NY PFL contributions in the state and local tax (SALT) deduction, subject to the SALT cap.4Internal Revenue Service. Revenue Ruling 2025-4 The dollar amounts are modest — the 2026 cap is $411.91 — but they add to your running SALT total. If you take the standard deduction, PFL contributions give you no federal benefit.
New York State Treatment
For New York State income tax, PFL contributions are not deductible from your state gross income.5Tax.NY.Gov. N-17-12 – New York States New Paid Family Leave Program Because the contribution is already treated as a state tax, it can’t also reduce your state taxable income. The Box 14 figure is informational on the state side; it doesn’t change what you owe New York.
If You Took Leave: How Benefits Are Taxed
Benefits you received from PFL are a separate tax matter from the premiums shown in Box 14. They’re included in your federal gross income, but they aren’t wages for employment tax purposes, so no Social Security or Medicare tax applies.4Internal Revenue Service. Revenue Ruling 2025-4 The insurance carrier that paid you does not automatically withhold federal income tax from the benefit, though you can ask for voluntary withholding if you’d rather not face a bill at filing time.2Department of Taxation and Finance. New York State Paid Family Leave
Benefit payments of $600 or more are reported on Form 1099-G.6Internal Revenue Service. About Form 1099-G, Certain Government Payments New York notes that depending on the payer, you may receive a 1099-G or a 1099-MISC.2Department of Taxation and Finance. New York State Paid Family Leave Either form reports income you include on your return for the year the payment was made.
Checking Your Number Against the 2026 Cap
For 2026, the rate is 0.432% of gross wages each pay period, and the annual maximum is $411.91. The cap is tied to the New York State Average Weekly Wage, which is $1,833.63 per week for 2026, roughly $95,350 a year.1NY.gov. Employee Notice of Paid Family Leave Payroll Deduction for 2026 If you earned at or above that level all year, your Box 14 figure should be at or very near $411.91. If it’s lower, the usual reasons are straightforward: you worked only part of the year, you earned less than the SAWW, or a valid waiver was in place for part of the period.
Multiple Jobs and Refunds for Overpayment
If you worked for more than one New York employer during the year, each one withheld PFL independently. Your combined contributions can exceed the annual maximum. Add the NY PFL figures from Box 14 on every W-2 you received; if the total is more than $411.91 for 2026, the difference is a refundable overpayment.
The excess is not credited through your New York State return. You need to contact one of your employers and request the refund directly from their payroll department. Keep copies of all your W-2s to document the overpayment.
Why Some W-2s Show No PFL Line
If you don’t see a PFL entry in Box 14, it may be because you signed a waiver. A limited opt-out is available for employees whose schedules are too short to ever qualify for benefits:7Paid Family Leave. Eligibility
- A regular schedule of 20 or more hours per week, but you will not work for that employer for 26 consecutive weeks.
- A regular schedule of fewer than 20 hours per week, and you will not work 175 days within a 52-week period.
With a waiver in place, no PFL deductions are taken and no benefit coverage applies. The waiver is automatically revoked if your schedule changes to meet the eligibility thresholds, at which point deductions start.8New York Workers’ Compensation Board. Employee Opt-Out of Paid Family Leave Benefits Waiver Form You can also revoke the waiver voluntarily at any time.