Washington lawmakers have not, as of yet, addressed a few concerns about the new long-term care payroll tax (“The Washington Cares Act”). One of the criticisms is that those who opted out in 2021 must regularly show proof of a private long-term care insurance plan to their employers through an exemption letter. People are known to change companies or relocate from other areas, so it’s important employers notify new employees of this requirement. Please see the templated message below that notifies new employees of this important WA Cares payroll tax and exemption information.
Templated Messaging Sample:
Hello:
We want to provide you with information regarding a payroll deduction you will see on your paychecks. The Washington Cares Act goes into effect on July 1, 2023. Washington State workers’ contributions will also begin on this date. If you’d like to learn more about the Washington Cares Act, additional details can be found here, https://wacaresfund.wa.gov/.
NEW HIRE ACTION: If you received an approved contribution exemption from the ESD, [BUSINESS NAME] needs to have your exemption letter on file. Please send it directly to [COMPANY CONTACT].
As of Jan. 1, 2023, you can apply for an exemption from WA Cares if any of the following applies:
- You live outside of Washington State
- You are the spouse or registered domestic partner of an active-duty service member of the U.S. armed forces
- You have a non-immigrant work visa
- You are a veteran with a 70% service-connected disability rating or higher.
You can learn more about the exemption process here, https://wacaresfund.wa.gov/apply-for-an-exemption/. These exemptions will be available on an ongoing basis. You will qualify for these exemptions only as long as these circumstances apply. If you no longer qualify for your exemption, you will be required to notify ESD through https://wacaresfund.wa.gov/ and log onto (or create) your SAW account at https://secureaccess.wa.gov/myAccess/saw/select.do and your employer within 90 days.
Feel free to reach out [COMPANY CONTACT] with any questions about WA Cares Fund deductions.
If you have any questions, please reach out to info@reverbpeople.com – We’re here for you!
