Welcome to the Employment Development Department

FAQs for Disability Insurance

Disability Insurance Frequently Asked Questions

Topics covered in these FAQ include:

Eligibility

Who is eligible for State Disability Insurance (SDI)?
See basic eligibility.

Who does Paid Family Leave cover?
Employees covered by State Disability Insurance (SDI) are also covered by Paid Family Leave insurance. If a Voluntary Plan Insurer provides your company's disability insurance coverage (in lieu of SDI), then it must also provide Paid Family Leave insurance coverage.

I quit my job (or was laid-off) and now I'm disabled. Am I eligible for SDI?
It depends on your situation. To qualify for SDI benefits, you must be actively connected to the labor market, either working or looking for work at the time your disability begins. We encourage you to file a claim for benefits, even if you are unsure of your labor market status.

I work two jobs. Will my SDI benefits reflect both salaries?
Yes, if both employers deducted the SDI contribution from your paycheck. To ensure that we have correct information regarding both jobs, you need to tell us about them on your application form. You do this by listing the name, address, telephone number, and last day you worked for each employer.

Do I have to be working for a certain number of days/months/years to be eligible for SDI?
Eligibility for SDI is based on the earnings shown in your base period. The wages you earn approximately 6 to 18 months before the disability claim begins are included in the base period (they must have been subject to the SDI tax/contribution). Your base period does not include wages paid at the time your disability begins.

Can I collect SDI and Unemployment Insurance at the same time?
No. The laws governing the SDI program state that you are not eligible to receive SDI during a period of time for which you are eligible to receive Unemployment Insurance. For more information on California Unemployment Insurance Code, Section 2628, please go to the California law Web site

I worked for the government for a couple of years. Can I collect SDI?
Perhaps. Some government workers, including school employees, may be entitled to SDI benefits as a function of collective bargaining. Also, if you have wages from a private employer during the base period, you might qualify even though your present employer is a local government entity. If in doubt, file a claim.

Will SDI benefits cover me if I have elective or cosmetic surgery?
Elective and cosmetic surgeries are covered by SDI. Your doctor must certify that you are disabled and cannot do your regular or customary job duties because of the surgery, and you must meet the basic eligibility requirements.

How many days must you be off work to receive SDI benefits?
Since every claim for SDI has a seven-day, non-payable waiting period, you must be disabled at least eight calendar days to collect benefits.

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Benefits

How do you determine my weekly benefit amount for State Disability Insurance (SDI)? How much will I receive?
We calculate your weekly benefit amount using a base period. This base period covers 12 months and is divided into four consecutive quarters of three months each. The wages you were paid approximately 5 to 17 months before the disability claim begins are included in the base period (they must have been subject to the SDI tax). Your base period does not include wages paid at the time your disability begins. For more detailed information, see benefit amounts.

What percentage do you use to calculate my SDI benefit rate?
Your weekly benefit amount is approximately 55 percent of the earnings shown in the highest quarter of your base period. There is an exception. If your highest base period quarter earnings are between $75.00 and $1,749.20, see California Unemployment Insurance Code, Section 2655 or contact SDI .

My doctor says I will be disabled for over a year. How long can I collect SDI benefits?
You may collect up to 52 weeks of full SDI benefits, or the amount of wages in your base period, whichever is less. You may be paid for periods longer than 52 weeks if your benefits are reduced because you returned to work on a part-time basis, or if you received other money during your disability claim period. You may want to contact the Social Security Administration if your disability will be extended.

I have received my Notice of Computation from SDI, but I haven't received a check yet. Why not?
We send you the Notice of Computation to let you know we have received your claim for SDI benefits and to tell you your potential weekly benefit amount. We may need further information before we can determine your eligibility. We normally are able to send a first check within two weeks; however, if we need to request additional information, more time may be needed to process your claim.

I got my first check for SDI benefits, but I wasn't paid the first seven days. Why not?
Every claim is assessed a seven-day, non-payable waiting period.

Will my SDI benefits increase or decrease when the base period changes?
No. Once your claim is established, your base period and your SDI weekly benefit amount remain the same for the duration of that disability claim.

Are SDI benefits taxable?
Your SDI benefits are taxable only if you receive Disability Insurance benefits in place of Unemployment Insurance (UI) benefits. In this case, your SDI benefits are considered a substitution for your UI benefits, which are taxable.

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Checks, Certifications, and Continued Medical

How soon will I receive my first check from State Disability Insurance (SDI) after I mail my claim form?
Most of our customers are sent SDI checks within two weeks after a properly completed claim is received in the SDI field office. By filling in your application completely and verifying that all information is correct, you play a key role in ensuring prompt benefit check delivery.

I called SDI and was told a check was sent to me, but I have not received it. What do I do?
Please allow ten days from the date the check was issued for postal delivery or return of a check.

If it has been over 10 days since the check was issued, contact SDI. SDI will investigate to determine if your check has already been cashed and, if it has, will request that you receive a copy of the check and endorsing signature. If the signature is yours, you need take no further action. If the endorsement is not yours, contact SDI for further instructions.

CAUTION!! A “stop payment” cannot be reversed. If you receive the original check after returning the affidavit, you must return the check and wait for the replacement check. If you cash the original check, the State Controller's Office will refuse to honor it and will not pay the amount shown on the check.

I just found an old SDI check that I forgot to deposit. Can I still cash it?
Checks are negotiable for one year. If your check has “expired”, contact SDI for replacement instructions.

A DE Form 2500A, Claim for Continued Disability Benefits, was attached to my check. Please explain what it is and how I should complete it.
The DE 2500A, commonly called a continued claim certification, is your request for continued disability benefits. By signing and dating the front of the form, you certify that during the dates shown on the continued claim certification you were still disabled. If you recovered or returned to work part- or full-time, please fill in the appropriate area on the front of the continued claim certification.

When do I return the continued claim certification? Can I send it in early?
No, return the continued claim certification form on the date indicated after the “and” date, unless you have recovered from your disability or returned to work before that date. We can pay only for the days up to the postmark date or the signature date, whichever is earlier.

Remember, if you have recovered, returned to work, or are receiving money from any source, you must advise us by filling in the appropriate areas on the continued claim certification form.

I just sent back the continued claim certification verifying that I'm still disabled. When can I expect a check?
Normally, we issue a check within seven days after we receive your completed continued claim certification.

Can I pick up my check at the local SDI field office?
No. All checks are printed and mailed out from a central location.

I just received a notice that says this is my final SDI payment and that I am able to work, but I am still disabled. What should I do?
SDI can issue benefits only up until the date your doctor confirms you are disabled. In the same envelope as your notice, you should have also received a Physician's Supplemental Certificate, DE2525XXA. Ask your doctor to complete the DE2525XXA and send it back to the address shown on the form. If you did not receive the Physician's Supplemental Certificate, contact SDI for further information.

If your doctor informs you your disability will be longer than first estimated, you may request a Physicians Supplemental Certificate, DE 2525XXB be sent to you prior to the estimated date of recovery in order to keep the 14 day payment cycle of your Disability Insurance benefits from being interrupted.

I am still disabled, but my doctor will not sign the Physician's Supplemental Certificate. What can I do?
If you feel you cannot return to work performing your regular or customary job duties, you should discuss your situation with your doctor. You may also seek the opinion of another doctor. If you do see another doctor, contact SDI to get supplemental forms for him or her to complete.

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Alcohol and Drug Rehabilitation

I am living in a rehabilitation center for alcoholics. Can I get SDI benefits for this?
You may qualify for SDI benefits up to 30 days if you are a resident of an approved alcoholic recovery facility. An additional 60 days may be paid if you remain a resident of the facility and your doctor continues to certify to your disability.

I have become addicted to drugs, and my doctor recommended I go to a drug rehabilitation facility. Does SDI cover this?
You may qualify for SDI benefits up to 45 days if you are a resident of an approved drug-free residential facility. An additional 45 days may be paid if you remain a resident of the facility and your doctor continues to certify to your disability.

The judge said I did not have to go to jail if I entered a recovery home for drug addicts. Can I get SDI benefits for the time I spend there?
No. SDI does not pay benefits for confinement to jail, prison, or recovery home resulting from conviction of a crime.

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Part-time, Intermittent or Reduced Work Schedule

I am currently working, but my doctor tells me I must reduce my working hours due to my disability. Can I file a claim for SDI benefits?
Yes. If you are suffering a wage loss, we suggest that you file a claim. After we receive your properly completed claim, we will determine if you are otherwise eligible for SDI benefits.

I was on disability for a few weeks, and now my doctor tells me I can return to work part-time. Will I still get State Disability Insurance benefits?
If you return to work part time and still suffer a loss of wages, we can pay benefits equal to your wage loss but not more than your weekly benefit rate. We will look at what you earned on a weekly basis before your claim began, then subtract what you're currently earning working part-time. The difference between the two figures is your wage loss, or the amount of wages you are losing by working part-time. If your wage loss is greater than your weekly benefit amount, you will receive benefits at your full SDI rate. If the wage loss is less than your weekly rate, you'll receive the amount of your wage loss only. For an example of this breakdown, see Part-time Worker

I regularly work part-time. Am I still eligible for SDI benefits?
You may receive benefits as long as you have at least $300 in gross wages in your base period, are suffering a loss of wages, and meet other basic eligibility requirements.

Can I receive accrued vacation from my employer and still receive SDI benefits?
Yes. Vacation benefits are not in conflict with SDI.

Can I receive sick leave from my employer and still receive SDI benefits?
You cannot receive SDI benefits for any period for which you also receive sick leave wages that are equivalent to your full (or regular) salary. If you are receiving only partial sick leave wages, however, you may be eligible for full or partial SDI benefits.

Can I receive SDI benefits if my employer offers me unallocated leave or paid time off (PTO)?
No. PTO payments are considered the same as sick leave wages if the payments are made as a replacement for sick leave when you are disabled. However, if you are receiving partial PTO and still suffering a wage loss you may be entitled to full or partial SDI benefits.

Can my employer terminate me while I am on disability?
The Employment Development Department has no jurisdiction over issues involving wages, hours of work, or conditions of employment.

You may want to contact the California Department of Fair Employment and Housing, who has responsibility over the above employment and disability issues, including termination during a disability.

If I am terminated while on SDI, will it affect my SDI benefits?
Termination will not interfere with your entitlement to SDI benefits as long as you continue to meet the other eligibility requirements.

My health benefits were discontinued while I was on SDI. What can I do?
The Employment Development Department has no jurisdiction over issues involving the Consolidated Omnibus Budget Reconciliation Act (COBRA). This program, administered by the United States Department of Labor (DOL), provides temporary continuation of health benefits at group rates for certain former employees. For information you may contact DOL at 1-866-275-7922, TTY 1-877-889-5627. In addition, you may wish to read or download the pamphlet about the COBRA program. You may need to download the free Adobe Reader to view and print linked documents.

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Pregnancy

I'm pregnant and wonder if I can file a claim for State Disability Insurance (SDI) benefits? If so, for how long?
Yes. The usual disability period for a NORMAL pregnancy is up to four weeks before the expected delivery date and up to six weeks after the actual delivery. However, your doctor may certify to a longer period if the delivery is by Cesarean section, if there are medical complications, or if you are unable to perform your regular or customary job duties.

I just found out I'm pregnant. Can I send in my claim form before I stop working?
No. Your claim begins when you are suffering a loss of wages and your doctor confirms that you have a disability which prevents you from doing your regular or customary job duties. However, if your doctor certifies you must limit your hours of work or modify your work duties due to your pregnancy disability you may be eligible for partial or full disability insurance benefits.

I'm going to work up to the day my baby is born. Can I add an extra week to my recovery time?
No. Your post-partum benefits are limited to the period that you are actually disabled and incapable of doing your regular or customary work.

My baby is due in two months. I work as a cosmetologist, but I can't do all this standing. If I stop work next week, will SDI pay me?
You may be eligible for benefits based on an assessment of all factors, including your age, occupation, job limitations, prior pregnancy history, current medical condition, and your medical provider's certification that you are unable to do your regular or customary work.

What can I do as a business owner or a self-employed individual to protect myself against loss of income if I become ill or disabled?
The Disability Insurance Elective Coverage program, administered by the Employment Development Department, offers business owners and self-employed individuals the opportunity to protect themselves against loss of income due to injury, pregnancy or illness, whether or not it is work related.

Is SDI taxable? Disability Insurance (DI) vs. Paid Family Leave (PFL)?
Disability Insurance (DI) benefits are not taxable except when considered to be a substitute for unemployment compensation when paid to an individual who is ineligible for unemployment insurance (UI) benefits solely because of the disability. Only in this instance, where DI benefits are received in lieu of UI benefits, will the EDD provide the claimant with a 1099G form showing amounts paid which are reportable (no more than the original UI maximum) and forward a copy of the 1099G to the Internal Revenue Service (IRS).

Paid Family Leave (PFL) benefits are taxable for federal purposes but not state tax purposes. The EDD will provide all claimants with a 1099G form and forward a copy of the 1099G to the federal IRS. The PFL benefits are not taxable or reportable to the California State Franchise Tax Board.

Are SDI deductions pre-taxed (deducted from the paycheck prior to paying federal, state and social security taxes)?
No, SDI deductions are not pre-taxed.

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State Employees

The State Disability Insurance (SDI) program was negotiated for employees in Bargaining Units 1, 3, 4, 11, 14, 15, 17, 20, and 21.

What is SDI?
SDI pays part of an employee's wages if they have to stop working because of a non-work-related illness or injury. SDI also covers an employee if they take time off due to pregnancy or childbirth, or to bond with a minor child (i.e., under age 18) within one year of its birth, adoption, or foster care placement. SDI also covers time off to care for a seriously ill child, spouse, parent, or domestic partner. See specific benefit eligibility and payment amount information.

Can an employee choose to participate in either SDI or NDI/ENDI?
No. The existing agreement provides for continuing the current NDI program (both the regular and enhanced benefit levels) until the SDI deductions start, and for six months following the initial SDI deduction. After that, the State will discontinue coverage under the NDI program if the employee is in a bargaining unit covered by SDI.

Will the State continue to contribute to the employee's health, dental, and vision benefits if the employee is unable to work and receive SDI benefits?
If an employee is unable to work (for reasons described above) and is receiving SDI benefits, the State will pay the full premiums for an employee and any applicable dependent coverage for health, dental, and vision benefits during that time The State will recover the employee’s portion of the premiums paid through an accounts receivable.

Who administers the SDI program?
The Employment Development Department (EDD) administers the SDI program; the SCO will calculate and withhold the deductions; and the Department of Personnel Administration (DPA) is responsible for the contract administration.

Can an employee use leave credits while receiving SDI benefits?
The agreement between the State and SEIU allows for the use of 40 hours accrued leave credits per month while receiving SDI benefits. Also, an employee may use accrued vacation, annual leave, CTO, holiday credit, personal leave (PLP), or sick leave balances to cover the benefit waiting-period, per the provisions of the Memorandum of Understanding (MOU).

Is an employee covered for Paid Family Leave (PFL) benefits under SDI?
Yes. PFL, known as Family Temporary Disability Insurance (FTDI), provides benefits to individuals who need to be off work to care for a seriously ill family member, or for the birth, adoption, or foster care placement of a child. FTDI is a component of SDI. This means an employee covered by SDI, is also covered for this PFL benefit.

Where can an employee find additional information about SDI, such as eligibility, benefits amounts, claim filing, etc?
See SDI program.

Employers are mandated by law to provide health benefits for employees while they are on a Family and Medical Leave Act (FMLA) leave. Will the State bill the employees for the employee-paid premium when they return to work from their FMLA leave?
Yes. The employer will pay the employer's portion of the health benefits premium for up to 26 weeks. The State Controller's Office (SCO) will set up accounts receivable for the employee's portion of the health benefits premium to be paid when the employee returns to work.

How will this work if the employee is out on a FMLA leave that runs concurrently with SDI?
As stated above, the employer will pay the employer's portion of the health benefits premium for up to 26 weeks and the SCO will set up an accounts receivable for the employee's portion of the health benefits premium to be paid when the employee returns to work. If the employee has not returned to work after the 26 weeks, in order to continue the health benefits, the employee will be required to direct pay the provider for both the employee and employer share of the health benefits premiums.

Will managers and supervisors receive SDI benefits?
No, managerial and supervisory employees will continue to receive the current NDI program (both the regular and enhanced benefit levels).

Please note that these questions and answers are intended to be general in nature, and may not address each individual situation. Specific situations will need to be evaluated on a case-by-case basis and in accordance with the applicable Memorandum of Understanding.

Is SDI taxable? Disability Insurance (DI) vs. Paid Family Leave (PFL)?
Disability Insurance (DI) benefits are not taxable except when considered to be a substitute for unemployment compensation when paid to an individual who is ineligible for unemployment insurance (UI) benefits solely because of the disability. Only in this instance, where DI benefits are received in lieu of UI benefits, will the EDD provide the claimant with a 1099G form showing amounts paid which are reportable (no more than the original UI maximum) and forward a copy of the 1099G to the Internal Revenue Service (IRS).

Paid Family Leave (PFL) benefits are taxable for federal purposes but not state tax purposes. The EDD will provide all claimants with a 1099G form and forward a copy of the 1099G to the federal IRS. The PFL benefits are not taxable/reportable to the California State Franchise Tax Board.

Are SDI deductions pre-taxed (deducted from the paycheck prior to paying federal, state and social security taxes)?
No, SDI deductions are not pre-taxed.

If the employee's spouse has health benefit coverage and the employee is receiving the cash option under FlexElect, will the employee be allowed to reenroll in the cash option after returning from leave?
Yes, the employee's FlexElect Cash Option will resume automatically once the employee returns from leave.

Can an employee work and receive SDI?
Yes, an employee working reduced hours or at modified duty due to a disability and who suffers a wage loss may be eligible for benefits.

How will Annual Leave credits be accrued for employees on SDI?
An employee who is receiving SDI benefits will not accrue Annual Leave credits unless he or she works.

Will an SDI deduction be taken from a lump-sum payment that is being transferred to an employee's 401K plan?
No. Lump sum payments for pay (e.g. vacation, annual leave, CTO) which was earned but not paid for services performed prior to termination of employment, shall not be construed to be wages or compensation for personal services. Therefore, there should be no SDI deduction withheld from lump sum payments. This includes lump sum payments for vacation cash out or lump sum payments for 401K plans.

What happens to a represented employee who has been paying into SDI for quite some time and then they promote/move to a non-SEIU bargaining unit? What happens to their SDI deductions?
Are the funds returned to the employee? Is the employee eligible for both NDI and SDI? The SDI deductions stop. The funds are not returned to the employee. The employee could potentially be eligible for both NDI and SDI as long as the employee has wages in their base period.

Employees may buy back NDI time for retirement purposes. Will employees be able to buy back SDI time?
SDI does not qualify for purchase as retirement service credit.

Are employees in the affected bargaining units who live and work in other states, but are employed by the State of California, covered by State Disability Insurance?
Yes. These employees can file claims and receive benefits, if otherwise eligible, despite residing out of state.

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Voluntary Plan

My employer told me I was not eligible for State Disability Insurance (SDI) benefits because I belong to a Voluntary Plan (VP). What is that?
California law allows your employer to offer you a voluntary disability plan in place of SDI coverage. Your VP must provide all the benefits of SDI, at least one benefit that is better than SDI, and it cannot cost you more than SDI does.

How can I find out if my employer offers a VP or if I am covered by SDI? If I am covered by a VP, how do I file a claim?
Contact your employer's personnel or benefits office.

I just received a notice that you are referring my claim for SDI benefits to a VP. Why? How long do I have to wait?
Your claim for SDI benefits was referred to a VP because there is a question of who your disability provider is. The VP carrier has 25 days to respond to our referral. We will contact you after we receive their response, but we cannot pay you benefits during the interim period.

My VP stopped paying me benefits. Can SDI pay me now?
No. You are covered for disability insurance benefits under the VP, and SDI will not pay.

My employer's VP said I was not covered by them. What should I do?
If your employer's VP advises you that you are not covered by them, they will refer your claim for disability benefits to SDI. Check with your employer to ensure your claim was referred.

My employer's VP said I was covered, but denied my disability benefits. What can I do?
If your VP denies benefits and you disagree with the denial, you have the right to appeal the decision and have a hearing before an impartial Administrative Law Judge. To file an appeal, send SDI a detailed letter stating why you think the VP denial is incorrect. Be sure to print and sign your name on the appeal letter, and include your social security number, address, and telephone number. SDI will file the necessary appeal documents with the California Unemployment Insurance Office of Appeals but will not pay SDI benefits in the interim, nor attend the appeal hearing. It is important for you to attend your appeal hearing.

I am covered by a VP, but I received a State Notice of Computation from SDI. Why? Is this the weekly amount I am going to receive?
State Disability Insurance provides this information to you and your employer to assist in determining your wages and benefit amount. The benefit amount listed on the State Notice of Computation shows the minimum amount your employer's plan must pay you.

I filed a claim with my employer over a month ago and still have not heard anything. What can I do?
Contact your employer or agent to find out the reason for the delay. If you feel the reason is unsatisfactory, you can file an appeal for presumed denial of benefits. Contact SDI for help with your appeal.

I work for two employers. One has a VP coverage and the other has SDI coverage. Can I receive disability benefits from both SDI and the VP?
Yes. If you are working for two different employers at the time of your disability, with one employer carrying SDI and the other a VP, you can receive simultaneous coverage. Both companies are equally responsible for paying a portion of your disability benefit.

I am currently covered by a VP. Can I change coverage to SDI?
Yes. Contact your employer's VP representative or benefits department for information on transferring coverage to SDI.

I am an employer and am interested in establishing my own VP. Where can I get more information?
Contact the Voluntary Plan Unit at (916) 653-6839.

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Workers' Compensation

What is the difference between Workers' Compensation (WC) benefits and State Disability Insurance (SDI) benefits?
SDI pays a weekly benefit when an injury or illness is NOT caused by or related to your work. SDI benefits are paid for a temporary period of time only. WC helps workers when their injury or illness is work-related. WC may also pay medical bills, benefits for temporary or permanent disabilities, and retraining benefits.

I was hurt at work. Can I still file for SDI?
You can file an SDI claim, but usually you cannot be paid both WC and SDI benefits for the same period of time except in limited situations. For example, we may pay interim benefits if your employer or your employer's WC insurance carrier denies or delays WC payment, or we may also pay the difference in rates if your WC benefits are less than your SDI benefits. If SDI does pay you benefits while your WC case is pending, we will file a lien to recover those benefits when you resolve your WC case.

I am not sure if I should pursue this as a work-related disability. Who can I talk to?
Your doctor may be able to help you determine if the cause of your disability is work-related. If you believe you have suffered a work-related disability, you must report it to your employer and have your doctor submit a medical report to your employer's WC insurance company.

I was told to file an appeal with the Workers' Compensation Appeals Board (WCAB). What is it, and what does it do?
If you, your employer, or your employer's WC insurance carrier disagrees over issues regarding your WC claim and you wish to appeal that disagreement, contact the Workers' Compensation Appeals Board (WCAB), the California state agency through which you file your appeal. A judge from the WCAB will hear both your side and your employer's side of the issue and make a determination regarding your case. The information and Assistance Officer at the WCAB can provide more information about the WC appeal process and your right to file an appeal.

I am receiving rehabilitation benefits (or maintenance allowance). Can I still get SDI benefits?
If you are receiving Temporary Disability, Vocational Rehabilitation Temporary Disability, or Maintenance Allowance from your employer's WC carrier, you generally cannot receive SDI benefits. However, if your WC benefits are less than your SDI benefits, you may be able to receive the difference between the two rates. Contact SDI for further information.

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Appeals

See Appeals for more information regarding the appeals process

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Fraud Detection and Deterrence

See Fraud for more information regarding fraud detection.