What Is SDI Tax on My Paycheck? (2026)

If you live in California and look at your pay stub, you’ll see a line for SDI — State Disability Insurance. It’s a mandatory payroll deduction that funds short-term disability benefits if you become unable to work due to illness, injury, or pregnancy.

Use our Paycheck Calculator to see exactly how SDI affects your take-home pay.

What Is SDI?

SDI stands for State Disability Insurance. It’s a California program administered by the Employment Development Department (EDD) that provides:

• Short-term disability benefits if you can’t work due to a non-work-related illness, injury, or pregnancy
• Paid Family Leave (PFL) benefits to bond with a new child or care for a seriously ill family member

SDI is funded entirely by employee payroll deductions — your employer does not contribute.

California SDI Rate in 2026

Detail	2026 Value
SDI rate	1.1%
Wage cap	None (applies to all wages)
Employee pays	Yes
Employer pays	No

Example: $60,000 salary → $60,000 × 1.1% = $660/year SDI ($55/month or ~$25.38 biweekly).

Before 2024, California SDI had a wage cap (around $153,164). Starting January 1, 2024, the wage cap was eliminated — all wages are now subject to the 1.1% SDI rate regardless of how much you earn.

High earner example: $300,000 salary → $300,000 × 1.1% = $3,300/year SDI.

What SDI Benefits Cover

If you file a qualifying SDI claim, California pays:

• 60–70% of your weekly wages (higher replacement rate for lower-wage workers)
• Up to 52 weeks of disability benefits
• Up to 8 weeks of Paid Family Leave (bonding or caregiving)
• Benefit is capped based on your base period earnings

SDI does not cover:

• Work-related injuries (covered by workers’ compensation)
• Unemployment (covered by UI — a separate tax on employers)

Other States With SDI or TDI

California isn’t alone. Several states mandate similar payroll deductions:

State	Program	2026 Rate (approx.)
California	SDI / PFL	1.1% (no cap)
New Jersey	TDI / FLI	~0.9% (varies)
New York	DBL / PFL	~0.5% + PFL premium
Hawaii	TDI	Up to 0.5% of wages
Rhode Island	TDI	~1.2% (wage cap applies)
Washington	Paid FMLA	~0.74% (split employer/employee)

Rates change annually — check your state’s labor department for the current year figures.

SDI vs. FICA: What’s the Difference?

• FICA (Social Security + Medicare) is a federal tax on all employees nationwide
• SDI is a state tax that only applies in participating states
• Both appear as separate line items on your pay stub
• SDI is paid to your state; FICA is paid to the federal government

Where to Find SDI on Your Pay Stub

Look for one of these labels on your California pay stub:

• “CA SDI” or “CA SDI”
• “State Disability Insurance”
• “EDD SDI”

It will appear as a percentage of your gross wages each pay period. On a biweekly pay schedule with a $60,000 salary, expect roughly $25.38 deducted per paycheck.

How to File an SDI Claim

If you need to use your SDI benefits:

1. File online at SDI Online (edd.ca.gov)
2. Your doctor must certify your disability
3. There’s a 7-day waiting period before benefits begin
4. Benefits typically begin within 2-3 weeks of a complete claim

For pregnancy, SDI covers 4 weeks before your due date and 6-8 weeks after delivery (longer for C-section).