Parental Leave Allowance

Parental Leave Allowance

Overview

The NLMA Parental Leave Allowance is available to physician parents of a newborn or newly adopted child. All eligible physicians are encouraged to apply.

  • The NLMA Parental Leave Allowance is effective October 1, 2015 and is provided through funding from the Clinical Stabilization Fund.
  • The allowance provides partial income replacement for a physician parent who takes a temporary leave (of not more than 18 months) from practice for the birth/adoption of a child.
  • The allowance covers Newfoundland and Labrador physicians regardless of their payment modality.
  • The allowance for parental leave shall begin no earlier than the date of birth of the child or date of adoption, and can be taken at any time during the first 18 months. Exemptions may be made if the mother is required for health reasons to stop working prior to the birth.
  • Eligible physicians can receive the allowance for a total of 17 weeks and these weeks must be consecutive.
  • In the event of a still birth or death soon after birth, in which the gestation was 20 weeks or more, an allowance of up to one month is available to qualifying physician parents.

Eligibility

To be eligible for the allowance, a physician parent must:

  • Reside in Newfoundland and Labrador;
  • Maintain College of Physicians and Surgeons of Newfoundland and Labrador (CPSNL) licensure in good standing (Full or Provisional categories);
  • Have practiced in Newfoundland and Labrador for the six months preceding the birth/placement date (time practicing during residency is ineligible);
  • Maintain NLMA membership in good standing in a practicing category while on leave (student, resident, and retired membership categories are ineligible); and,
  • Return to work in Newfoundland and Labrador within 18 months of the start of leave.

Benefits

Fee-for-Service Physicians

  • It is assumed that these physicians continue to incur overhead expenses during the leave period.
  • The allowance provides $1,500 per week for 17 consecutive weeks to eligible fee-for-service (FFS) physician parents.
  • FFS physician parents may bill up to $1,900 per week while receiving the parental leave allowance.
  • For the purposes of this allowance, members of Medical Practice Associates (MPA) are considered salaried (not FFS, see below) and therefore ineligible for the $1,900 per week exemption.

Salaried Physicians

  • It is assumed that these physicians can access Employment Insurance (EI) benefits.
  • The allowance provides a top-up to salaried physician parents in receipt of EI parental leave benefits, to a combined maximum amount of $1,500 per week.
  • Salaried physician parents are expected to apply for EI benefits in addition to applying for the NLMA Parental Leave Allowance and it is assumed they will be approved for the maximum amount. Evidence will be required if EI benefits are not approved, or are approved for less than the maximum amount.
  • For the purposes of this allowance, members of Medical Practice Associates (MPA) are considered salaried and therefore eligible for EI benefits though their academic work.

Alternative Payment Plan Physicians

  • It is assumed that these physicians continue to incur overhead expenses during the leave period.
  • The allowance provides $1,500 per week for 17 consecutive weeks to eligible alternative payment plan (APP) physician parents.
  • APP physician parents can earn up to $1,900 per week while receiving the parental leave allowance.
  • For the purposes of this allowance, members of Medical Practice Associates (MPA) are considered salaried (not APP, see above) and therefore ineligible for the $1,900 per week exemption.

Restrictions

  • Physician parents, regardless of payment modality, must report income earned from all sources while on leave. The NLMA Parental Leave Allowance will be reduced dollar-for-dollar for other income earned during the period in excess of allowed earnings as per above.
  • If both parents are physicians they may both apply for the allowance.

Payments

  • A physician parent is eligible to receive the benefit for the first full week (Monday-Sunday) following the date of birth or adoption. To simplify processing, no proration is made in the first or final week provided the total benefit period still equals the maximum 17-weeks.
  • The parental leave allowance may be payable up to eight weeks prior to the birth if the mother is required for health reasons to stop working. The allowance will still be limited to a total of 17 weeks. A medical certificate indicating medical necessity to stop working will be required.
  • Payments will be made pending submission of the Report Form. Failure to submit will result in a disruption of benefits.
  • Payments will be made by direct deposit only using a Direct Deposit Request Form.
  • The parental leave allowance is taxable and the physician parent will be issued a T4A via e-mail in the physician’s name and Social Insurance Number (SIN).

Termination/Repayment of Benefits

  • Relocation from Newfoundland and Labrador while in receipt of the allowance will automatically terminate parental leave payments.
  • Full or partial repayment of benefits may be required should any of the above allowance conditions not be met. This includes inaccurately reporting income from all sources during the benefit period, especially the Department of Health and Community Services which includes the Newfoundland and Labrador Medical Care Plan (MCP) and Eastern/Central/Western/Labrador-Grenfell Health.

Assistance For assistance, please e-mail [email protected].

FAQs

Benefits

Employment Insurance

Reporting

Payments

Taxes

Assistance For assistance, please e-mail [email protected].