Governor Inslee, State Leaders Decide To Pause Washington Payroll Tax

OLYMPIA, Wash. (AP) – A new payroll tax on employees in Washington state is being delayed.

The Seattle Times reports Gov. Jay Inslee and Washington Democratic legislative leaders announced Friday an agreement to push back the new WA Cares payroll levy as they address issues with the new long-term care program.

WA Cares was intended to be a first of its kind in the nation social-insurance program to help people pay for care for themselves in old age or sickness.

WA Cares Fund created a 0.58% payroll deduction on workers that was set to begin in Jan. 1, 2022.

But there have been concerns, including people learning that they will pay into the program but never receive any benefits.