What is Paid Family Leave (PFL)?
Paid Family Leave (PFL) income is money you receive from your employer, an insurer, or the government while you are away from work for an extended period of time so you can recover from a serious health issue, take care of a seriously ill family member, or bond with your newborn or newly adopted child.
In the United States, employers who offer PFL are the exception rather than the rule. PFL is usually only available through larger employers, if it is offered at all. For this reason a small but growing number of states, most notably California, have enacted PFL legislation.
Paid Family Leave is different than paid time off like sick pay (More info). For example, a new mother working at a company that does not offer PFL, might still take maternity leave based on accrued sick days. This pay falls under paid time off, and it is taxed differently than pay from PFL.
See here for instructions on entering your Paid Family Leave income in TurboTax.