Quick Answer
Colorado FAMLI deducts 0.45% of your wages up to $137,700 annually (2024 limit). On a $60,000 salary, this equals $270/year or about $10.38 per biweekly paycheck. The deduction funds family and medical leave benefits of up to $1,100/week for eligible workers.
Best Answer
Sarah Chen, Payroll Tax Analyst
W-2 employees in Colorado subject to FAMLI deductions
How much is the Colorado FAMLI deduction?
The Colorado Family and Medical Leave Insurance (FAMLI) deduction is 0.45% of your gross wages, split equally between you and your employer. You pay 0.45% (employee share), and your employer pays an additional 0.45% (employer share), for a total program funding of 0.9% of wages.
The deduction applies to wages up to the annual cap of $137,700 in 2024. This means the maximum annual deduction for an employee is $620.65 ($137,700 × 0.45%).
Example: FAMLI deduction on different salaries
Here's how the deduction affects paychecks at various income levels:
*Note: Employees earning over $137,700 pay the same maximum amount as shown in the $150,000 example.*
What benefits does FAMLI provide?
Your FAMLI contributions earn you access to paid family and medical leave benefits:
How the wage replacement calculation works
FAMLI benefits replace a percentage of your wages on a sliding scale:
Example: If you earn $60,000/year ($1,154/week), your FAMLI benefit would be approximately $900/week - significantly more than typical disability insurance.
Key factors affecting your FAMLI deduction
What you should do
Check your pay stub for the "FAMLI" or "CO FAMLI" line item to confirm the deduction amount. If you're planning family or medical leave, understand your eligibility requirements - you generally need to work 680 hours during your base period to qualify for benefits.
Use our [paycheck calculator](paycheck-calculator) to see exactly how FAMLI affects your take-home pay alongside other Colorado state deductions.
Key takeaway: Colorado FAMLI costs 0.45% of your wages (maximum $620.65/year) but provides up to $1,100/week in family and medical leave benefits - often worth thousands more than the annual contribution.
*Sources: [Colorado Division of Family and Medical Leave](https://famli.colorado.gov/), [IRS Publication 15](https://www.irs.gov/pub/irs-pdf/p15.pdf)*
Key Takeaway: Colorado FAMLI costs 0.45% of wages up to $137,700 annually but provides valuable family and medical leave benefits worth up to $1,100 per week.
FAMLI deduction amounts by salary level
| Annual Salary | Annual FAMLI Deduction | Biweekly Deduction | Monthly Deduction |
|---|---|---|---|
| $40,000 | $180.00 | $6.92 | $15.00 |
| $60,000 | $270.00 | $10.38 | $22.50 |
| $80,000 | $360.00 | $13.85 | $30.00 |
| $100,000 | $450.00 | $17.31 | $37.50 |
| $137,700+ | $620.65 | $23.87 | $51.72 |
More Perspectives
Sarah Chen, Payroll Tax Analyst
New Colorado employees seeing FAMLI deductions for the first time
What is FAMLI and why is it on my paycheck?
If this is your first job in Colorado, you might be surprised to see "FAMLI" or "CO FAMLI" as a deduction on your pay stub. This stands for Family and Medical Leave Insurance, and it's a relatively new Colorado program that started collecting premiums in January 2023.
How much will FAMLI cost me?
As a new employee, FAMLI will cost you 0.45% of your gross pay. On an entry-level salary of $35,000, that's:
This might seem small, but it's important to budget for it alongside federal taxes, state income tax, and Social Security/Medicare.
Why this matters for young workers
Many entry-level employees think they don't need family and medical leave benefits, but consider these scenarios:
Without FAMLI, taking unpaid time off for these situations could be financially devastating early in your career.
Building your eligibility
To qualify for FAMLI benefits, you need to work at least 680 hours during your "base period" (typically the first four of the last five completed calendar quarters before your leave). As a new employee, start tracking your work hours - you'll likely become eligible within your first year.
Bottom line: FAMLI is a small investment that provides significant protection for life's unexpected moments, especially valuable when you're building your career and may not have substantial savings.
*The deduction is mandatory for most Colorado employees, so focus on understanding the benefits you're earning rather than trying to avoid the cost.*
Key Takeaway: For entry-level workers, FAMLI costs about $6-15 per paycheck but provides crucial financial protection during family or medical emergencies when savings may be limited.
Sources
- Colorado Division of Family and Medical Leave — Official Colorado FAMLI program information
- IRS Publication 15 — Employer's Tax Guide for payroll deductions
Reviewed by Sarah Chen, Payroll Tax Analyst on February 28, 2026
This content is for educational purposes only and is not a substitute for professional tax advice. Consult a qualified tax professional for advice specific to your situation.