CASDI - California State Disability Insurance

What is CASDI?

The California State Disability Insurance (SDI) program offers short-term wage replacement benefits to eligible workers who are unable to work due to non-work-related illnesses, injuries, or pregnancy. Funded through employee payroll deductions, SDI ensures financial support during periods when employees cannot perform their regular work duties.

Is CASDI the Same as SDI?

Yes, CASDI and SDI refer to the same program. CASDI stands for California State Disability Insurance, which is the official name of the SDI program in California.

The term CASDI is often used on pay stubs and W-2 forms to indicate the tax withheld from an employee’s paycheck to fund SDI benefits.

Key Benefits of the SDI Program

The California State Disability Insurance (SDI) program provides two main benefit types: Disability Insurance (DI) and Paid Family Leave (PFL). Both offer short-term wage replacement to eligible California workers.

Disability Insurance (DI)

Disability Insurance offers partial wage replacement to workers who are unable to perform their regular job duties due to a non-work-related illness, injury, or pregnancy. It provides financial support while the employee recovers and is unable to work.

Example: An office employee is diagnosed with a severe case of the flu and is advised by a doctor to rest for two weeks. Since the illness is not job-related and results in missed income, they may qualify for DI benefits.

Paid Family Leave (PFL)

Paid Family Leave offers partial wage replacement to workers who need to take time off to care for a seriously ill family member, bond with a new child, or assist with a qualifying military event involving a family member.

Example: A new parent takes time off work to bond with their newborn. During this bonding period, they can apply for PFL benefits to partially replace their lost income while away from work.

What Is CASDI Tax and CASDI on a W-2?

CASDI tax is mandatory for most employees in California and is automatically withheld from their paycheck. CA-SDI is funded entirely by employees, not employers.

The amount deducted is based on a percentage of your wages, up to an annual wage cap set by the state. These deductions appear as CASDI tax on your pay stub.

When tax season arrives, you'll see CASDI on your W-2 form, usually listed in Box 14. This simply shows how much CASDI tax was withheld from your pay during the year. It’s important for recordkeeping but is not deductible on your federal tax return.

CASDI Tax = The actual amount taken from your paycheck

CASDI on W-2 = A record of how much was withheld throughout the year

Eligibility Criteria for California SDI Benefits

To qualify for California State Disability Insurance (SDI) benefits, you must meet the following requirements:

• Inability to Work: You are unable to perform your regular or customary work for at least eight consecutive days due to a non-work-related illness, injury, pregnancy, or childbirth.
• Loss of Wages: You have experienced a loss of wages because of your disability.​
• Employment Status: You were employed or actively looking for work at the time your disability began.​
• Earnings Requirement: You earned at least $300 during your base period, and SDI deductions were withheld from those wages.​
• Medical Certification: You are under the care of a licensed health professional who certifies your disability.​
• Timely Filing: You file your claim within the required timeframe, which is no earlier than nine days and no later than 49 days after the onset of your disability.​

Note: Citizenship and immigration status do not affect eligibility for SDI benefits.​

For more detailed information, visit the California Employment Development Department (EDD) website.​

How to Apply for California's SDI Benefits: A Step-by-Step Guide

If you’re unable to work due to a non-work-related illness, injury, pregnancy, or childbirth, you may be eligible for SDI benefits through the California Employment Development Department (EDD). Here's how to apply, step by step:

Step 1: Confirm Your Eligibility

Before applying, make sure you meet the basic requirements:

• You’re unable to work for at least eight consecutive days
• You’ve lost wages due to your disability
• You earned at least $300 in wages during your base period, with CASDI deductions
• You're under the care of a licensed medical provider who will certify your condition
• You apply within 49 days from the start of your disability

Step 2: Choose How to Apply

There are two ways to apply for SDI benefits:

Option 1: Apply Online (Recommended)

• Visit SDI Online
• Create or log into your EDD account
• Complete the Disability Insurance Claim (DI) application
• After submitting, your medical provider will receive a request to complete their part electronically

Option 2: Apply by Mail

• Request a paper claim form (DE 2501) from:
  • Your employer
  • Your doctor’s office
  • The EDD (call 1-800-480-3287)
• Complete Part A of the form yourself
• Have your medical provider complete Part B
• Mail the completed form to the address provided in the instructions

Note: Online applications are processed faster and allow you to track your claim status in real time.

Step 3: Prepare the Required Information

Whether applying online or by mail, you’ll need:

• Your full name and Social Security number
• Last day you worked
• Employer name and contact info
• Description of your medical condition
• Your doctor’s details for certification
• Bank info if you want direct deposit

Step 4: Ensure Medical Certification Is Completed

Your claim must be certified by a:

• Doctor or surgeon
• Chiropractor
• Optometrist
• Podiatrist
• Psychologist
• Dentist
• Nurse practitioner or physician assistant (in some cases)

Without a certified claim, you won’t receive any benefits.

Step 5: Submit Your Claim Within the Deadline

Claims must be filed no earlier than 9 days and no later than 49 days after your disability begins. Filing late may reduce or disqualify your benefits unless you have a valid reason.

Step 6: Wait for EDD Processing and Notifications

Once you apply:

• EDD will send a Notice of Computation (DE 429D) showing your potential weekly benefit
• If approved, you’ll receive your first payment and a Notice of Payment
• Payments are usually issued by EDD Debit Card, unless you choose direct deposit

Step 7: Keep Certifying if Your Leave Continues

If your disability lasts beyond your initial approval:

• You may need to submit a Continued Claim Certification (DE 2500A)
• Your provider may be required to confirm you're still disabled

Step 8: Report Any Changes

Let EDD know immediately if:

• You return to work
• Your condition improves
• You receive other types of income (like paid sick leave or unemployment)