Can you pay your bills for 18 weeks on a 45% pay cut? Do you work for a government employer or as an independent contractor? Ask yourself these questions if you are planning a pregnancy and work in California.
Why are these questions vital? California has state mandated pregnancy, maternity leave, and paid family leave benefits which can extend for up to 18 weeks. You will be receiving 55% of your income – or less – during this time. Many couples can’t afford having mom away from work so long.
The California disability program applies to private workers only. Workers for state, county, and municipal governments may not be covered. Teachers are considered government workers, and often are not covered. Also, independent contractors are also not covered.
How you Get to 18 Weeks of Maternity Leave
Here’s how California allows you up to 18 weeks of maternity benefits for your normal labor and delivery.
- 4 weeks before your delivery via California SDI
- 8 weeks after your delivery (c-section delivery) via SDI
- 6 weeks of paid family leave so you can bond with your baby
It’s possible that your pregnancy may encounter complications requiring you to leave work before the standard four week period. In this case your total time away from work will exceed the eighteen week barrier.
What’s your Maternity Income Gap?
California SDI (Short Term Disability Insurance) caps your weekly benefit at 55% of income or $959 per week – whichever is less.
If your income exceeds $90,669 per year, you hit the cap. In this case divide $959 by your weekly gross pay to determine how big your pay cut will be for 18 weeks.
Not Everyone is Covered
Government workers, teachers, domestic workers, non-profit employees, contract workers, and employees who claim a religious exemption often are not covered. The California short term disability insurance plan mandate covers private workers only.
Fill the CA Maternity Leave Gap
If you are planning a pregnancy, you have an opportunity to buy additional income protection to cover your normal maternity labor and delivery!
Supplemental California Short Term Disability Insurance can fill the gap in your maternity leave pay. It pays an additional six week benefit for your vaginal delivery, and an eight week benefit for your c-section birth. Your maternity leave benefit may greatly exceed the premium you pay.
At no additional cost, you are also covered in case of: pregnancy complications, delivery complications, premature birth, accidents, and illnesses.
Pregnancy and maternity leave benefits are payable only when coverage begins before conception. Make sure you get started before getting pregnant, and lock in your extra maternity leave income. Don’t delay!
