Your Guide to Employer Responsibilities for TDB in New Jersey

If you’re a business owner in New Jersey, you probably know that you need to provide Temporary Disability Benefits (TDB) in New Jersey if you have at least one employee and have paid out wages of $1,000 or more in a calendar year.

But, besides shopping around to find the best rates and benefits through a private plan, what are your responsibilities as a New Jersey employer when it comes to administrating TDB coverage? The State of New Jersey Department of Labor outlines the responsibilities for employers when it comes to writing TDB in New Jersey.

Employers Must Post Notices About TDB in New Jersey

As in most states with statutory disability coverage, employers must post notices sharing information about disability benefits in New Jersey. The website provides materials you can post in the breakroom and other places where they will be highly visible to all employees.

Notify the State of New Jersey About PTO Your Employee Received

By law, NJ workers cannot receive more on disability than they would have received if working for that time frame. Therefore, it’s important for employers to report sick time, vacation time, and paid personal days to the Department of Labor so the state can accurately calculate disability payments.

If you opt to pay the difference between the weekly benefit and the employee’s salary, submit that information with your Employer Statement.

Monitor the Leave Dates and Reconcile with Other Paid Time Off

The NJ Department of Labor website notes that employers must review the “Notice of Disability Benefits Charged or Credited” when benefits for an employer are approved.

In addition, you must cross-reference that days where employees received benefits were not also days that they employee worked, collected vacation pay, collected sick pay. If you notice a discrepancy, call 609-292-7060 or reach out to your carrier to clarify.

Help Employees Complete Their Application for NJ TDB

Even though employees are responsible for filing and submitting their own claim forms, the State of NJ strongly encourages employers to help out to ensure accurate employment information.

New Jersey employers have certain responsibilities when it comes to TDB claims. That’s why it’s best to work with a knowledgeable insurance broker who can assist with the claims process, answer questions, and provide personalized service and even cost savings with a private TDB plan.