Minnesota Paid Leave Pays out Double What It Collected: the 2026 Deficit Shock
The structural gap between incoming payroll deductions and outgoing benefit checks is detailed in the program's initial operational performance metrics:
| Financial / Operational Metric | Original 2026 Projection | Actual First-Half Performance |
|---|---|---|
| Total Claims Filed | 45,000, 52,000 claims | ~75,000 claims |
| Program Benefit Outlays | $310M, $340M | Nearly $600M |
| Payroll Tax Receipts Collected | $330M, $360M | ~$315M |
| Average Claim Duration | 5.8 weeks | 8.4 weeks |
| Baseline Payroll Premium Rate | 0.88% total payroll | 0.88% (rate recalculation pending) |
Tags:
minnesota fmla 2026