Published June 29, 2023
The Washington State Employment Security Department will begin to collect long-term care premiums from employers for the Washington Cares Fund (WA Cares) on July 1, 2023.
As the state’s new long term care insurance program, employees will pay .58% from their paychecks to fund WA Cares. Collections were originally set to begin January 2022, but in December of 2021 Governor Jay Inslee ordered the Employment Security Department to not to collect long-term care premiums from employers to allow time for legislators to refine what was then known as the Long-Term Services and Supports Act.
Employers will be required to report employees’ wages, collect premiums and track employee exemptions. Employers will report employees’ wages and premiums for WA Cares on a quarterly basis using the same process they currently use to report Paid Family and Medical Leave premiums. Beginning July 1, 2026, qualified beneficiaries will have access to up to $36,500 in lifetime benefits, adjusted for inflation, for certain services such as professional care, medical equipment, and home safety evaluations. To access benefits, an individual must be at least 18 years old, live in Washington state, meet the contribution requirements, and have a care need as determined by the Department of Social and Health Services. A care need for an individual is someone who needs assistance with at least three activities of daily living like eating, bathing or dressing.
WA Cares offers resources to help employers navigate the process, including a toolkit of materials for communicating about WA Cares, and the ability to participate or view an in person or virtual presentation to explain how WA Cares works for your company’s workers. More information at https://wacaresfund.wa.gov/.
To learn more about how WA Cares affects your workplace, including exemption qualifications, please contact any member of Ryan Swanson’s Employment Rights, Benefits & Labor Group.
