How long can you afford to take a 40% pay cut or more? If you are planning a pregnancy and work in Rhode Island this is a very important question to address before getting pregnant. Why? Because many pregnancies encounter complications before and/or after delivery, meaning you may miss more than the standard six to eight weeks for a normal maternity leave. Rhode Island is one of only five states with a mandated state disability insurance program that covers your pregnancy and maternity leave. But it leaves many with a false sense of security. Increase your Rhode Island maternity leave pay by purchasing supplemental short term disability insurance before getting pregnant.
Rhode Island Maternity Leave
Rhode Island is one of only five states with mandated short term disability insurance for people who work in the state. The state disability program replaces "4.62% of the wages paid to you in the highest quarter of your base period." Put in order words, about 60% income replacement. There is also a weekly cap of $694 per week. A woman earning $60,146 per year or more will hit the cap, meaning the pay cut with be higher than 40%.
How Much Work Will You Miss?
The standard maternity leave is six weeks for a vaginal birth and eight weeks for a c-section delivery. While not ideal, a 60% income replacement is very nice to have. But consider that 25% of pregnancies encounter complications, often requiring mom to miss work before her delivery. Also a significant percentage of women encounter postpartum disorders that translate into additional time away from work. Biological disorders such as post operative infections will be covered by the Rhode Island Temporary Disability Insurance. But a more common malady, postpartum depression, is not because it is not biologically based.
Also, 12% of babies are born premature and may spend significant time in the neonatal intensive care unit. After being discharged from the hospital these babies often require extended care at home from mom; meaning even more time away from the job. But in this case, because baby is sick and not mom, the Rhode Island disability program will not pay any benefits. Unlike other states with mandated disability, Rhode Island does not yet have paid family leave benefits.
Make Pregnancy and Maternity More Affordable
When you consider all the circumstances noted above, there are many holes in the Rhode Island program. Its better than 45 other states with no coverage at all, but by no means is the coverage comprehensive. Consider purchasing supplemental short term disability insurance before getting pregnant to fill some of the holes noted above. When purchased preconception, supplemental short term disability insurance can help you increase maternity leave income. Your benefit for normal delivery may greatly exceed the premium you pay. Plus, you are covered for pregnancy complications, delivery complications, accidents and illnesses.
Use the additional maternity leave income to offset you many other new expenses associated with your healthy new baby. But most importantly, rest assured that the extra income will be needed in case you miss additional time from work for pregnancy complications, delivery complications, postpartum depression, or to take care of a sick or prematurely born infant.
No comments:
Post a Comment