The term "FAMLI" on a W-2 form refers to the Family and Medical Leave Insurance program in Colorado. Specifically:
- FAMLI premiums are post-tax deductions from an employee's wages and do not reduce taxable income.
- Employers report these deductions in Box 14 of the IRS Form W-2, labeled as "FAMLI."
- The FAMLI program provides Colorado workers with paid family and medical leave benefits, funded by premiums shared between employers and employees (0.9% of wages total, split evenly).
- Benefits are not subject to state income tax but may be subject to federal tax; the FAMLI Division issues a 1099-G for benefits received, reported as unemployment compensation for federal tax purposes.
- The program allows eligible employees up to 12 weeks of paid leave for qualifying family or medical reasons, with additional weeks for pregnancy complications.
In summary, on a W-2, "FAMLI" indicates the amount deducted for Colorado's Family and Medical Leave Insurance premiums, shown in Box 14 as a post-tax deduction that funds paid family and medical leave benefits
