FirstHR

Paid Sick Leave Laws by State: A Guide for Small Employers

Which states require paid sick leave, the size thresholds that decide whether you are covered, remote worker rules, and how to write a policy.

Paid Sick Leave Laws by State

Which states require it, whether your headcount exempts you, and how to build a policy that survives an audit

The first time paid sick leave became my problem, it was because of one remote hire. We were a small team in a state with no requirement at all, and I had genuinely never thought about the topic. Then we hired someone who lived elsewhere, and about four months later I learned that her state had a mandate, that it applied to employers of any size, and that she had been accruing an entitlement I had not been tracking.

Nothing bad came of it, mostly through luck. But it taught me the thing that most guides on this topic bury: the question is not what your state requires. It is what every state where you have someone working requires, and for a lot of small businesses those are now different questions.

This guide covers which states have a mandate, the employer size thresholds that decide whether you are actually covered, what happens with remote employees, how to write a policy from scratch, and where small employers most often get caught. It is written for a business with 5 to 50 people and no HR department.

TL;DR
There is no federal paid sick leave law. As of 2026, 18 states including DC require private employers to provide paid sick leave, and three more require paid leave usable for any purpose. Many of those states cover every employer regardless of size, so being small is usually not an exemption. The state where an employee works governs, not where your business is registered.

The Short Answer

There is no federal law requiring private employers to provide paid sick leave. As of 2026, 18 states including the District of Columbia require it, and three additional states require paid leave that can be used for any purpose, giving 21 jurisdictions with a mandate. Many of these laws apply to every employer regardless of headcount, and the state where the employee physically works determines which law applies.

If you have employees in only one state and that state has no mandate, you have no legal obligation, though you may still want a policy. If you have an employee anywhere else, including a remote worker, start with the list below.

There Is No Federal Paid Sick Leave Law

This surprises people, so it is worth stating plainly. No federal statute requires private employers to provide paid sick leave. The emergency paid sick leave created during the pandemic under the Families First Coronavirus Response Act expired at the end of 2020, and the associated tax credit ended the following year. Nothing replaced it.

The Department of Labor confirms this directly: federal law does not require paid sick leave. The Family and Medical Leave Act provides up to 12 weeks of job-protected leave for eligible employees, but that leave is unpaid and it only applies at employers with 50 or more employees.

What fills the gap is state and local law, which is why the landscape is a patchwork rather than a rule. It is also why this topic requires ongoing attention: a business that was fully compliant two years ago may not be now, either because a state changed its law or because the business hired someone in a new state.

Most Workers Have It, Not All
Paid sick leave was available to 80 percent of private industry workers as of March 2025, according to Bureau of Labor Statistics data cited in the Congressional Research Service report on paid sick leave. Access is far from uniform: it varies substantially by industry, with the lowest rates in leisure and hospitality and the highest in information and finance.

Which States Require Paid Sick Leave

The authoritative count comes from the Congressional Research Service report published on April 28, 2026, which states that 18 states including the District of Columbia require private sector employers to provide paid sick leave, and that three additional states require paid leave usable for any purpose.

CategoryJurisdictionsWhat It Means
Paid sick leave mandateAlaska, Arizona, California, Colorado, Connecticut, Maryland, Massachusetts, Michigan, Minnesota, Nebraska, New Jersey, New Mexico, New York, Oregon, Rhode Island, Vermont, Virginia, Washington, and the District of ColumbiaA dedicated paid sick leave entitlement with defined permitted uses
Paid leave for any reasonIllinois, Maine, NevadaEmployees accrue paid leave usable for any purpose, including illness. Functions as sick leave without being labelled that way
Local mandates onlyPennsylvaniaNo statewide requirement, but several cities impose their own
Recently repealedMissouriA law took effect in May 2025 and was repealed effective August 28, 2025. Missouri no longer has a mandate
Preemption statesTexas, FloridaNo state mandate, and local governments are barred from creating one

Virginia sits in a narrower position than the others in the first row, applying to specific categories of worker rather than the whole private sector, which is one of several reasons different sources produce different totals. Verify your own state against its labor department before relying on any list, including this one.

Why Every Source Gives You a Different Number

If you search this topic you will find counts of 17, 18, 19, 21, and 22 states, all published recently and all by credible sources. They are not contradicting each other so much as counting different things. Knowing which methodology produced a number tells you whether it answers your question.

Are the any-reason states included?
Illinois, Maine, and Nevada require paid leave usable for any purpose rather than sick leave specifically. Counting them gives 21 including DC; excluding them gives 18. Both are defensible and the practical effect for an employer is nearly identical.
Is DC counted as a state?
The District of Columbia has a mandate. Whether a source counts it inside or alongside the state total shifts the number by one, which explains part of the spread.
Is Pennsylvania included?
Pennsylvania has no statewide requirement but several cities do. Sources counting jurisdictions with any mandate include it; sources counting state laws do not.
Where does the count sit relative to the Missouri repeal?
Missouri had a law from May 2025 that was repealed effective August 28, 2025. Anything published between those dates counts Missouri and is now out of date on that point.
Is Virginia counted?
Virginia's requirement is narrower in scope than most, applying to specific worker categories rather than the private sector broadly. Some counts include it and some do not.
Which number should you use?
None of them, for your own purposes. The count is useful context and irrelevant to your obligations. What matters is the specific rule in each state where you have someone working.

This matters beyond pedantry. A guide that gives you a number without the methodology is telling you something you cannot act on, and if it is quietly out of date on Missouri or Nebraska you have no way of knowing. Check the date on anything you read about this topic, including this page.

Still Using Spreadsheets for Onboarding?
Automate documents, training assignments, task management, and track onboarding progress in real time.
See How It Works

Employer Size Thresholds: The Part That Actually Decides

This is the section most guides handle badly and it is the one that determines whether any of the rest applies to you. The instinct at 5 to 50 employees is that a small-business exemption probably covers you. For most states with a mandate, it does not.

No size threshold: every employer covered
EXAMPLESCalifornia, Colorado, Minnesota, New Jersey, New Mexico, Washington, Arizona, Massachusetts, Vermont, Alaska, and several others
WHAT IT MEANS FOR YOUIf you have one employee working in these states, the law applies to you. There is no small-employer carve-out to rely on, and this is the largest group.
Covered above roughly 10 to 11 employees
EXAMPLESConnecticut (11 or more, with all employers covered from 2027), Nebraska (11 or more), Maine (10 or more, any-reason leave), Oregon (10 or more for paid, with Portland lower)
WHAT IT MEANS FOR YOUThis is the band where a growing small business crosses a line without noticing. Recount whenever headcount changes, and check whether the threshold is scheduled to drop.
Tiered by size: the entitlement changes rather than disappearing
EXAMPLESNew York (tiers by headcount and net income), Michigan (smaller employers face a lower annual cap), Rhode Island (paid above a threshold, unpaid below)
WHAT IT MEANS FOR YOUBeing small does not exempt you here, it changes what you owe. Reading only the headline number for your state will give you the wrong answer.

Two counting rules matter regardless of state. Part-time employees generally count toward a threshold, so a business with eight full-time and six part-time staff is usually at fourteen rather than eight. And most laws look at the count over a period rather than on a given day, so a seasonal peak can bring you into coverage for the whole year.

The Threshold You Should Actually Plan Around
If you operate in a state with no size threshold, planning around headcount is pointless. If you operate in one of the threshold states and you are near the line, the cheapest approach is usually to comply as though you are covered. The administrative difference between having a sick leave policy and not having one is small; the difference between complying and discovering you should have been complying is not.
What worked for me
What settled this for me was doing the arithmetic on the alternative. Tracking accrual for eleven people costs me a few minutes a month inside the system we already use. Getting it wrong costs the unpaid leave, potentially doubled, plus penalties, plus the fact that whatever I did to one employee I had done to all eleven. The exemption was never worth relying on even in the years it applied.

How Accrual Actually Works

Definition
Accrual
The mechanism by which an employee earns paid sick leave over time as they work, most commonly at a rate of one hour of leave for every 30 hours worked. Accrual usually begins on the first day of employment, continues regardless of any waiting period before the time can be used, and is subject to an annual cap on how much can be earned or used in a year.

The one-hour-per-30-hours rate is the most common standard across state laws, though not universal. Vermont uses one hour per 52 hours worked, and several laws use one per 40. Annual caps typically range from 24 to 72 hours depending on the state and, in several states, on employer size.

ConceptWhat It MeansThe Trap
Accrual rateHow fast leave is earned, commonly 1 hour per 30 hours workedApplies to all hours worked including overtime in most states, which is easy to miss in manual tracking
Accrual capThe maximum that can be earned in a yearDistinct from the usage cap. Some states cap one, some both, and the numbers are often different
Usage capThe maximum that can be used in a yearAn employee can have a balance above the usage cap through carryover and still be limited in what they use
Waiting periodA delay before accrued time can be used, often up to 90 daysPermitted for use in most states, not for accrual. Time still builds during the wait
CarryoverUnused hours rolling into the next year, usually cappedRequired in most states if you accrue. Avoidable in most states if you frontload the full annual amount
FrontloadingGranting the full annual entitlement at the start of the yearSimpler, and usually removes carryover. But the grant must at least equal what accrual would have produced
Reinstatement on rehireRestoring a balance if someone returns within a set periodRequired in several states, commonly within 12 months. Almost always missed by manual tracking

For a business under about twenty people operating in a single state, frontloading is usually the right choice. It removes the carryover calculation, removes the need to track accrual against hours worked, and gives employees a clear number. The cost is granting time to someone who may leave early in the year, which for most small businesses is a smaller problem than the administrative one. The time off accrual guide covers the mechanics of both approaches.

Remote and Multi-State Employees

This is the issue that turns paid sick leave from a question about your state into a question about several, and it is the most common way small businesses acquire an obligation they do not know about.

The governing rule is straightforward: the law of the state where the employee physically performs the work applies, not the law of the state where your company is registered or where your office sits. A business incorporated in a state with no mandate that hires one remote employee in a state with one is subject to that state's rules for that employee.

1
List every state where someone actually works
Not where they are on your org chart or which office they nominally belong to. Where they sit when they do the job. Include anyone who moved without telling you formally.
2
Check each state's requirement separately
Threshold, accrual rate, caps, permitted uses, and carryover all vary. There is no shortcut that covers several states at once except the next step.
3
Consider applying the most generous rule everywhere
For a business with employees in two or three states, writing one policy that meets the strictest requirement among them is usually cheaper than administering three policies. You can always exceed a state minimum.
4
Watch for the city layer
Several cities require more than their state. If a remote employee lives in one of them, the city rule is your obligation regardless of the state minimum.
5
Recheck when someone moves
An employee relocating to another state changes your obligation from the day they start working there. Build this into whatever process you use for address changes.

Hiring an employee in a new state creates several obligations at once, not only this one: state tax registration, unemployment insurance, workers compensation valid in that state, and often different rules on pay frequency and final paychecks. The multi-state payroll guide covers the wider picture, and our compliance hub has state-specific detail.

City Laws That Exceed State Minimums

A layer that most guides omit entirely. Several cities have their own paid sick leave ordinances that require more than their state does, and in a few cases the city requirement exists where the state has none at all.

WhereWhat HappensWhy It Matters
Several California citiesSan Francisco, Los Angeles, Berkeley, West Hollywood, Oakland, San Diego, Santa Monica, Emeryville and others require more than the state minimumCalifornia already covers all employers. These cities raise the entitlement on top
New York CityThe Earned Safe and Sick Time Act adds requirements beyond the state lawA New York City employee is subject to both, and the more generous provision governs
Philadelphia and PittsburghBoth have ordinances despite Pennsylvania having no statewide requirementIf you have an employee in either city, you have an obligation the state list would not show you
Chicago and Cook CountyLocal ordinances that layer onto the Illinois any-reason leave lawTwo frameworks apply simultaneously
Seattle and TacomaLocal requirements above the Washington state minimumThe state law is the floor, not the ceiling
Several Minnesota and New Jersey citiesMinneapolis, St. Paul, Duluth, Bloomington, and various New Jersey municipalitiesBoth states have statewide laws, and these cities add to them

The practical implication for a small business is that a state-level answer is a starting point rather than a conclusion. If you have an employee in a major metropolitan area, check the city before assuming the state rule is your obligation. Texas and Florida are the reverse case: both preempt local ordinances, so cities in those states cannot impose their own requirements.

Companies Using FirstHR Onboard 3x Faster
Join hundreds of small businesses who transformed their new hire experience.
See It in Action

Building a Compliant Policy From Scratch

Six decisions define a paid sick leave policy. Most small businesses copy a template without making these deliberately, which is how a policy ends up technically existing and legally failing.

Accrual or frontloading
OPTION AAccrual: hours build up as the employee works, commonly one hour for every 30 hours worked.
OPTION BFrontloading: the full annual amount is available on day one of the year.
FOR A SMALL BUSINESSFrontloading is simpler to administer and usually removes the carryover obligation, at the cost of giving time to someone who may leave in March. For a business under 20 people, the administrative saving is usually worth more than the exposure.
Separate sick time or a combined PTO bank
OPTION AA dedicated sick leave balance, tracked separately from vacation.
OPTION BOne combined bank covering both, which most states permit if it meets or exceeds the legal minimum in amount and permitted uses.
FOR A SMALL BUSINESSA combined bank is easier for employees to understand and harder to get right legally, because it must satisfy every requirement of the sick leave law including permitted uses and notice rules. Where you operate in one state and want simplicity, it works. Across multiple states it becomes difficult.
Carryover or annual reset
OPTION AUnused hours roll into the next year, usually subject to a cap.
OPTION BThe balance resets each year, which most states permit only if you frontload.
FOR A SMALL BUSINESSIf you accrue, you almost certainly owe carryover. If you frontload the full annual entitlement, most states let you reset. Check your specific state before assuming, because this is where policies most often fail an audit.
Waiting period before use
OPTION AEmployees can use time as soon as it accrues.
OPTION BA waiting period, commonly up to 90 days, before accrued time can be used.
FOR A SMALL BUSINESSMost states permit a waiting period for use but not for accrual, meaning time still builds during the wait. Preventing accrual during a probationary period is a common and expensive mistake.
Documentation requirements
OPTION ARequire a note for absences beyond a set number of consecutive days.
OPTION BRequire nothing.
FOR A SMALL BUSINESSMost states permit requesting documentation only after a defined number of consecutive days, often three. Asking for a note for a single day is prohibited in many jurisdictions and reliably generates complaints.
Payout at separation
OPTION APay out unused sick time when someone leaves.
OPTION BDo not pay it out.
FOR A SMALL BUSINESSNo state currently requires payout of unused paid sick leave at separation. If your policy promises payout, that promise may become enforceable as a wage obligation, so do not offer it casually.

Beyond those decisions, most state laws require the written policy to state the accrual rate or frontloaded amount, the annual cap, the permitted uses including family care and safe leave, the carryover rule, how employees request leave, when documentation may be required, and an explicit statement that using leave will not result in retaliation. Put it in the employee handbook and collect signed acknowledgments.

One drafting caution worth repeating: do not promise payout of unused sick time at separation unless you intend to honour it. No state requires it, and a policy that offers it may create an enforceable wage obligation. The PTO payout guide covers how this differs from vacation, which several states do treat as earned wages.

How State Sick Leave Interacts With FMLA

These are separate obligations that overlap, and confusing them is common. FMLA provides up to 12 weeks of unpaid job-protected leave for eligible employees at employers with 50 or more employees. State paid sick leave provides a smaller amount of paid time with broader eligibility and, in most states, no employer size floor.

State Paid Sick LeaveFMLA
Paid or unpaidPaidUnpaid, though accrued paid leave may run alongside it
Employer sizeOften every employer, sometimes a threshold around 10 or 1150 or more employees
Employee eligibilityUsually all employees, sometimes after a short waiting period12 months of service and 1,250 hours in the preceding year
AmountTypically 24 to 72 hours per yearUp to 12 weeks per year
Typical useShort absences: illness, appointments, caring for a family memberSerious health conditions, childbirth, caring for a family member with a serious condition
Job protectionYes, with anti-retaliation provisionsYes, explicit restoration right

Where they overlap, an absence can be covered by both: a serious health condition qualifying for FMLA can also be a permitted use of state sick leave. Employers may generally require accrued paid leave to run concurrently with unpaid FMLA leave, but there is an important limit worth knowing. Where an employee is receiving compensated benefits under a state paid leave programme, Department of Labor guidance indicates that employer-provided paid leave cannot be forced to run concurrently on the compensated portion. The FMLA guide covers eligibility and the notice requirements in detail.

Where Small Employers Actually Get Caught

Almost none of these involve a business deciding not to comply. They involve a business that thought it was complying and got a detail wrong.

Blocking accrual during a probationary periodMost laws allow a waiting period before time can be used, not before it accrues. Employees who complete probation are then owed a balance you never tracked.
Requiring a doctor's note for a single dayMost jurisdictions permit documentation requests only after a set number of consecutive absent days. A note demanded for one day is a violation and the kind that gets reported.
Applying your home state rules to a remote employee elsewhereThe law of the state where the employee actually works governs, not where the company is registered. One remote hire can bring you under an entirely different regime.
Missing the city ordinance sitting above the state lawSeveral cities require more than their state does. If you operate in one of them, the state minimum is not your obligation and complying with it is still non-compliance.
Not tracking balances at allMost laws require that employees be told their available balance, often on the pay statement. Having the right policy and no tracking fails the same audit as having no policy.
Counting an absence covered by sick leave as an attendance violationUsing protected leave and then being disciplined under an attendance point system is retaliation, and it is one of the most common ways a compliant policy produces a claim anyway.

The last one is worth dwelling on because it defeats an otherwise correct policy. If your attendance system assigns points for absences and does not exclude protected sick leave, an employee who uses their legal entitlement accumulates points toward discipline. That is retaliation regardless of intent, and it is common in businesses with shift-based attendance tracking. The retaliation guide covers the wider standard, and the absenteeism guide covers how to structure attendance policies that do not create this problem.

The Compliance Checklist

A working document covering the state-by-state assessment, the policy decisions, tracking, and the quarterly review this topic requires.

Paid Sick Leave Compliance Checklist
PAID SICK LEAVE COMPLIANCE CHECKLIST

Business name:
Completed by:
Date completed:
Next quarterly review due:
SECTION 1: WHERE DO YOUR PEOPLE ACTUALLY WORK

List every state where at least one employee physically performs work. Include remote employees and anyone who has moved.
State: Number of employees there:
State: Number of employees there:
State: Number of employees there:
State: Number of employees there:
State: Number of employees there:
Total employees (including part-time):
Reminder: the state where the work is performed governs, not where the business is registered.
SECTION 2: STATE-BY-STATE ASSESSMENT

Complete one block per state from Section 1. Verify each against the state labor department website, not against a blog.
STATE:
Does this state require paid sick leave? yes / no
Employer size threshold (if any):
Are you above it? yes / no
Accrual rate required:
Annual accrual cap:
Annual usage cap:
Carryover required? yes / no Cap:
Waiting period permitted before use:
Documentation permitted after how many consecutive days:
City ordinance applies? yes / no Which:
Source checked:
Date checked:
STATE:
Does this state require paid sick leave? yes / no
Employer size threshold (if any):
Are you above it? yes / no
Accrual rate required:
Annual accrual cap:
Annual usage cap:
Carryover required? yes / no Cap:
Waiting period permitted before use:
Documentation permitted after how many consecutive days:
City ordinance applies? yes / no Which:
Source checked:
Date checked:
STATE:
Does this state require paid sick leave? yes / no
Employer size threshold (if any):
Are you above it? yes / no
Accrual rate required:
Annual accrual cap:
Annual usage cap:
Carryover required? yes / no Cap:
Waiting period permitted before use:
Documentation permitted after how many consecutive days:
City ordinance applies? yes / no Which:
Source checked:
Date checked:
SECTION 3: POLICY DECISIONS

Accrual or frontloading:
If accrual, rate used:
If frontloading, annual amount granted:
Separate sick balance or combined PTO bank:
Carryover rule:
Waiting period before use:
Documentation required after how many consecutive days:
Payout at separation: yes / no
If you operate in more than one state, are you applying the most generous rule everywhere? yes / no
If no, how are the differences administered:
SECTION 4: WRITTEN POLICY CONTENTS

The policy must state all of these. Tick each.
Who is eligible and from when
Accrual rate or frontloaded amount
Annual cap on accrual and on usage
All permitted uses, including care for a family member
Safe leave uses where the state requires them
Carryover rule
How an employee requests leave and how much notice is expected
When documentation may be required
Explicit statement that using leave will not result in retaliation
How employees can check their balance
Policy location:
Last reviewed:
Signed acknowledgments collected: yes / no
Where acknowledgments are stored:
SECTION 5: NOTICE AND POSTING

Required workplace poster displayed in each applicable state
Written notice provided to each employee as required
Policy included in the employee handbook
New hires receive the policy during onboarding
Balance shown on pay statements where required
Posters current as of:
States requiring posters:
SECTION 6: TRACKING

Accrual is tracked per employee, including overtime hours where required
Balances are visible to employees
Usage is recorded with the date and amount
Carryover is applied correctly at year end
Reinstatement on rehire within the required window is handled
Records are retained for the period the state requires
Where tracking lives:
Who maintains it:
Retention period required:
SECTION 7: THE INTERACTION CHECKS

The attendance policy excludes protected sick leave from any point or discipline system
Managers know they cannot ask why beyond what the law permits
Managers know documentation cannot be required for short absences
FMLA concurrency is handled correctly where applicable
Nobody has been disciplined for an absence covered by protected leave
Attendance policy reviewed:
Managers briefed on:
SECTION 8: QUARTERLY REVIEW

This topic changes constantly. Do this every three months.
Recheck each state where you have an employee for changes
Check whether any threshold you rely on has moved
Check whether any employee has relocated
Check whether you have hired in a new state
Update the policy and redistribute if anything changed
Review date:
Changes found:
Policy updated: yes / no
Employees notified: yes / no
Notes:

Section 8 is the part that distinguishes this topic from most compliance work. A pregnancy or overtime policy written correctly stays correct for years. Paid sick leave does not: states added mandates in 2025, one repealed its law, and thresholds are scheduled to change. A quarterly reminder is the entire maintenance requirement and it is the step most businesses skip.

Staying Current as the Laws Change

Recent years illustrate the pace. Alaska and Nebraska added requirements in 2025. Missouri enacted a law in May 2025 and repealed it effective August 28, 2025. Connecticut expanded coverage to employers with 11 or more employees at the start of 2026 and is scheduled to reach all employers in 2027. Michigan's Earned Sick Time Act took effect in 2025 with a later date for small businesses. Oregon added a qualifying use at the start of 2026.

None of those changes announced themselves to affected employers. The practical approach for a small business is a recurring quarterly calendar reminder to check each state where you have someone working, using the state labor department website rather than a secondary source. Fifteen minutes per state, four times a year.

Two authoritative starting points: the Department of Labor for the federal position, and each state's own labor department for its rules. Vendor guides, including this one, are useful for orientation and should not be your source of record for a compliance decision. The HR audit guide covers building a review cadence for compliance topics generally.

This Is Not Legal Advice
This guide describes general requirements as of mid-2026 and is not a substitute for advice from an employment attorney licensed in your state. Paid sick leave law changes frequently, varies substantially between states and cities, and the correct answer in a specific situation depends on facts this guide cannot know. Verify each state requirement against the state labor department before relying on it, and consult counsel for anything involving a dispute or a termination.

The tracking side is where a business without an HR department loses the most time and makes the most errors. FirstHR handles accrual by employee and location, carryover at year end, balance visibility, and the leave records that an audit asks for, so the calculation does not live in a spreadsheet somebody maintains by hand.

Key Takeaways
There is no federal paid sick leave law. The pandemic-era emergency entitlement expired at the end of 2020 and nothing replaced it.
As of 2026, 18 states including DC require private employers to provide paid sick leave, and three more require paid leave usable for any purpose, per the Congressional Research Service.
Published counts range from 17 to 22 because sources differ on whether to include the any-reason states, DC, Pennsylvania's local-only status, and the Missouri repeal.
Being small is usually not an exemption. Many states with mandates cover every employer regardless of headcount, and others reduce the entitlement rather than removing it.
The state where the employee physically works governs, not where your business is registered. One remote hire can create an obligation you did not have.
The standard accrual rate is one hour per 30 hours worked, with annual caps commonly between 24 and 72 hours depending on the state and sometimes employer size.
Frontloading the full annual amount is usually simpler for a small business than accrual, and in most states it removes the carryover obligation.
Several cities require more than their state does. A state-level answer is a starting point, not a conclusion, for anyone with employees in a major metro area.
The most common failure is an attendance point system that does not exclude protected sick leave, which turns a compliant policy into a retaliation claim.
Review quarterly. Mandates were added, repealed, and expanded within the last two years, and none of those changes notified the employers affected.

Frequently Asked Questions

Which states require paid sick leave?

According to the Congressional Research Service report on paid sick leave dated April 28, 2026, 18 states including the District of Columbia require private sector employers to provide paid sick leave, and three additional states, Illinois, Maine, and Nevada, require paid leave that can be used for any purpose including illness. That gives 21 jurisdictions with a mandate of some kind. Pennsylvania has no statewide requirement but several of its cities do. Missouri briefly had a law that was repealed effective August 28, 2025.

Is paid sick leave required by federal law?

No. There is no federal law requiring private employers to provide paid sick leave. The emergency paid sick leave created under the Families First Coronavirus Response Act expired on December 31, 2020, and the associated tax credit ended in 2021. The Family and Medical Leave Act provides up to 12 weeks of job-protected leave for eligible employees at employers with 50 or more employees, but that leave is unpaid. Any paid sick leave obligation you have comes from state or local law, or from your own policy.

Do small businesses have to provide paid sick leave?

It depends entirely on the state, and the answer for most states is yes. A large number of states with paid sick leave laws, including California, Colorado, Minnesota, New Jersey, and Washington, apply the requirement to every employer regardless of size. Others set a threshold, commonly around 10 or 11 employees. A few, including New York and Michigan, keep small employers covered but reduce the entitlement. Assuming that being small means being exempt is one of the most common and expensive mistakes at this scale.

How much paid sick leave do employers have to provide?

The most common structure is accrual of one hour of paid sick leave for every 30 hours worked, with an annual usage cap set by state law. Caps commonly range from 24 to 72 hours per year depending on the state and, in several states, on employer size. Some states use different accrual rates: Vermont uses one hour per 52 hours worked, and some laws use one per 40. Employers can always provide more than the legal minimum, and many do to keep a single policy across multiple states.

Which state's law applies to a remote employee?

Generally the law of the state where the employee physically performs the work, not the state where your business is registered or where your office is. A company headquartered in Texas with one remote employee in California is subject to California paid sick leave rules for that employee. This catches small businesses that hired remotely without realising it changed their compliance obligations. It also means that adding an employee in a new state can create registration, tax, and leave obligations simultaneously.

Can I use a single PTO bank instead of separate sick leave?

In most states with paid sick leave laws, yes, provided the combined bank meets or exceeds every requirement of the sick leave law: the amount available, the permitted uses, the accrual timing, carryover, and the rules on documentation and notice. The complication is that a combined bank must satisfy all of those simultaneously, which is manageable in one state and difficult across several. Where you operate in multiple states, separate tracking is usually easier to defend.

Do employers have to pay out unused sick leave when someone leaves?

No state currently requires payout of unused paid sick leave at separation. This differs from accrued vacation, which several states do treat as earned wages that must be paid out. The important caution is that if your own policy promises to pay out unused sick time, that promise can become enforceable as a wage obligation under state law even though the statute does not require it. Do not include a payout provision in a policy unless you intend to honour it.

Can I require a doctor's note for sick leave?

Usually only after a set number of consecutive absent days, commonly three, and the specific rule varies by state. Requiring documentation for a single day of absence is prohibited in many jurisdictions. Several state laws also require the employer to pay any out-of-pocket cost of obtaining the documentation where the employee has no health coverage. Requesting a note reflexively for short absences is one of the most frequently cited violations in enforcement actions.

Can an employee use sick leave for a family member?

In nearly every state with a paid sick leave law, yes. Covered uses typically include the employee's own illness, care for a family member, preventive care and medical appointments, and in most states safe leave relating to domestic violence, sexual assault, or stalking. The definition of family member is often broad and in several states extends beyond immediate relatives to any individual whose close association with the employee is the equivalent of a family relationship. Check your state definition rather than assuming.

What happens if I do not comply with state paid sick leave law?

Consequences vary by state but commonly include payment of the leave that was denied, liquidated or double damages in some jurisdictions, civil penalties per violation, and attorney fees. Several states allow a private right of action, meaning an employee can sue directly rather than only filing with an agency. The practical exposure for a small business is larger than the individual claim, because a policy applied to one employee was almost always applied to everyone, which turns a single complaint into a group of them.

Ready to transform your onboarding?

7-day free trial No credit card required
Start Your Free Trial