WA CARES FUND

The Washington State Long Term Care Trust Act (“Trust Act”) establishes a new state program to pay benefits for long-term care services received by qualified residents. The program will be funded by a mandatory premium assessment (payroll tax) of 0.58% on all W-2 employees in the State of Washington starting on January 1, 2022. Employers are responsible for collecting the tax via payroll withholding and remitting the premiums to the Washington Employment Security Department (“ESD”). What Benefit is Provided? Beginning January 2025, each person who meets the eligibility and contribution requirements can receive the $36,500 lifetime benefit to be applied towards long-term care services and support within the state of Washington. To qualify for benefits from the WA Cares Fund, you must have worked and contributed to the fund for: • At least ten years at any point in your life without a break of five or more years within those ten years, or • Three of the last six years at the time you apply for the benefit, and • At least 500 hours per year during those years. To be eligible to receive benefits, you must need assistance with at least three activities of daily living, such as: • Medication management • Personal hygiene • Eating • Toileting • Cognitive functioning • Transfer assistance • Body care • Bathing • Ambulation/mobility • Dressing You must be at least 18 years old and a current resident of Washington to receive long-term care benefits. Opting Out of the Payroll Tax An employee who is 18, or over can apply for an exemption from the premium assessment if they attest to having purchased long-term care insurance before November 1, 2021. The Employment Security Department (“ESD”) will accept applications for this exemption between October 1, 2021 and December 31, 2022. If the ESD approves the application, the exempt employee must submit the ESD approval letter to the current employer and all future employers. For more information on how to opt out of the payroll tax: http://www.wacaresfund.wa.gov/private-insurance/

http://www.wacaresfund.wa.gov/

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