So, You Think You Got That 2023 California SDI Down Pat?
Ah, yes, the glorious world of California State Disability Insurance (SDI). It's there to catch you when a rogue illness or injury decides to play vacation tag with your work schedule. But hey, let's be honest, navigating these acronyms and contribution rates can feel like deciphering ancient tax scrolls. Worry not, fellow Californian, for I, your friendly neighborhood source of (hopefully) helpful humor, am here to break it down for you in 2024!
But First, a History Lesson (Cliff Notes Version)
For those of you stuck in a time warp (or maybe just skipped last year's memo), the SDI rate for California in 2023 was a cool 0.9%. That means, if you were working in the Golden State last year, a tiny little chunk of your paycheck (up to a maximum of $1,378.48 - whaddya buy with that these days?) went towards this safety net, should you ever need it.
Important Note: This applies only to your earnings up to $153,164. Because, hey, even California has its limits when it comes to how much "disability insurance" a CEO might need (although, with those board meetings, who are we to judge?).
Okay, Enough About the Past, Let's Talk About... Wait, Is This Still Relevant?
Hold on a sec, you history buffs! This is where things get interesting. See, as of January 1st, 2024, the whole SDI system in California did a little switcheroo. They got rid of that pesky wage limit, and bumped the rate up to 1.1% across the board. So, if you're reading this in 2024, this post is about as useful as a chocolate teapot for your current SDI situation. But fear not, for the internet is vast and full of resources on the new and improved (hopefully) system!
The Moral of the Story? Don't get stuck in the past (or this blog post) when it comes to your finances! Check the California EDD website for the latest info on SDI, and remember, a little planning goes a long way (unless you trip over that rogue skateboard and land smack in the emergency room, then planning might not help much).
