Feb 18, 2021

Family leave brings up mixed emotions for many parents. Maybe you’re worried it will be hard to take a step back from work, or you’re excited for the time with your baby, but you’re anxious about missing wages. Knowing how maternity or paternity leave can affect your taxes can help you feel more informed and in control, whether you plan on taking paid or unpaid leave.

How family leave affects your taxes will largely depend on where you live and the laws in that specific state. “[This] is one of the reasons why passing a federal paid leave policy is so important — the current patchwork of paid leave policies is often confusing to utilize at best and, more often than not, entirely absent,” Neil Sroka, communications director with PL+US: Paid Leave for the United State, tells Romper.

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