What does the acronym SDI stand for in California payroll?

What does the acronym SDI stand for in California payroll?

• A. Social Security Disability Insurance
• B. Self-Directed Insurance
• C. System Disability Insurance
• D. State Disability Insurance

Answer: (D)

SDI in California payroll stands for State Disability Insurance, a state program that provides partial wage replacement for employees who are temporarily unable to work due to non-work-related illness, injury, or pregnancy and also funds Paid Family Leave. It’s funded through employee payroll deductions and administered by the California Employment Development Department. This is different from federal Social Security Disability Insurance (SSDI), which is a separate program administered by the Social Security Administration and funded through FICA taxes. The other options don’t reflect a real California payroll term.

SDI in California payroll stands for State Disability Insurance, a state program that provides partial wage replacement for employees who are temporarily unable to work due to non-work-related illness, injury, or pregnancy and also funds Paid Family Leave. It’s funded through employee payroll deductions and administered by the California Employment Development Department. This is different from federal Social Security Disability Insurance (SSDI), which is a separate program administered by the Social Security Administration and funded through FICA taxes. The other options don’t reflect a real California payroll term.