HomeGlossaryState Disability Insurance (SDI)
Deduction Terms

State Disability Insurance (SDI)

State-mandated insurance for short-term disabilities — applies in CA, NY, NJ, RI, and HI.

Common paystub code: SDI / CASDI

Full Definition

SDI is a state-run insurance program that provides short-term disability benefits to workers who cannot work due to non-work-related illness, injury, or pregnancy. Only 5 states mandate SDI: California (1.1% of wages), New York (0.5%), New Jersey (variable), Rhode Island (1.1%), and Hawaii (0.5%). In California, SDI also covers Paid Family Leave (PFL). This deduction appears on your paystub as SDI or CASDI.

Related Terms

workers-compensationfmlapaid-family-leave

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