CA resident working out-of-state - how to contribute to SDI before surgery?

u can probly still file for CA disability if u were a resident and paid into it before. did u ever work in CA and pay SDI before?

This is a common issue with remote workers. The good news is that EDD bases eligibility on your base period wages, which looks back at wages earned 5-18 months before your claim starts. If you file in April 2025, your base period would be roughly October 2023 through September 2024. If you were paying into SDI during any portion of that base period, you might still qualify for some benefits, though your weekly benefit amount would be calculated based only on the wages where SDI was withheld. To be clear: your employer is correct that they generally withhold state taxes based on where the work is physically performed, not where you reside. However, California does have special provisions for residents working remotely for out-of-state employers.

I went through something SIMILAR!!! I moved to Oregon but kept my California job and they STOPPED taking out SDI even though I told them I wanted it!!! When I needed disability for my pregnancy they told me I wasn't eligible because I hadn't contributed!!!! I was SO MAD because no one told me this would happen when I moved!!!! You should talk to an EDD representative IMMEDIATELY before your surgery to see what options you have!!!

You actually have two options here: 1) You can make voluntary contributions to California SDI if you're a self-employed individual by enrolling in the Disability Insurance Elective Coverage (DIEC) program. However, there's a catch - you need to be truly self-employed, not just a remote W-2 employee. 2) The better option might be to file Form DE 2588 (Notice of Contribution Adjustment) with EDD when you apply for disability. You'll need to explain your situation - that you're a California resident who's been working remotely for an out-of-state employer. In some cases, EDD may determine that SDI contributions should have been withheld and adjust your claim accordingly. One important note: there's a minimum earnings requirement during your base period to qualify for SDI. For 2025 claims, you need to have earned at least $300 in wages subject to SDI withholding during your base period, which sounds like you might still meet with your previous California work.

I've been trying to reach EDD for THREE WEEKS about a similar issue (mine was about working for a hybrid CA/Oregon company) and cannot get through on the phones. I literally spent 8 hours on hold last Thursday just to get disconnected when they finally answered. Then two more hours on Friday with the same result. It's absolutely maddening trying to get an actual person on the line who can help with these complex situations.

To answer your follow-up question: Yes, there can be penalties for the employer if EDD determines they should have been withholding SDI. If the employer is found to have misclassified your work location, they could be responsible for both the employer and employee portions of any required contributions, plus penalties and interest. That said, this is a genuinely complex area where even many HR departments get confused. Since employer SDI obligations are determined by where the work is physically performed, not where the employee resides, your employer might actually be correct in their determination - especially if you've been physically working in Nevada this whole time. If you have any documentation showing your employer knew you were working remotely from California (emails, official work-from-home agreements, etc.), those would be valuable to include with your Form DE 2588 submission.

wait im confused. i thought CA law says if ur a CA resident u HAVE to pay CA taxes even if u work elsewhere? isnt SDI part of that??

I'm going through the exact same thing but in reverse! I live in Nevada but work in CA and they DO take out SDI even though I'll never use it since I don't live there! The whole system is broken if you ask me. I've been paying into CA disability for years with zero benefit. Wish I could just give you my contributions lol

Update: I called EDD this morning (finally got through after using that Claimyr service someone mentioned) and spoke with a really helpful representative. They confirmed I might still qualify for partial benefits based on my previous CA work history, and suggested I file Form DE 2588 along with my disability claim in April. The rep also mentioned I should submit any documentation showing I've been working from California, like my lease agreement, utility bills, etc. They couldn't guarantee anything, but said many remote workers are in similar situations and there's a good chance I'll at least get partial benefits. Just wanted to update everyone who helped me here. Planning to file everything properly when my surgery date gets closer.

This is such a helpful thread! I'm in a similar situation - CA resident working remotely for a TX company for the past 8 months. My HR department also said they don't withhold CA SDI because I'm "working in Texas" even though I'm physically at my home office in San Diego every day. I've been worried about what would happen if I needed to file for disability. Reading through all the responses here, it sounds like the key is having documentation that shows you're actually working from California, not just living here. I'm going to start collecting emails, my home office setup receipts, and other proof that I'm physically working in CA. Also definitely bookmarking that Claimyr service for when I need to actually talk to someone at EDD! Thanks everyone for sharing your experiences - this is exactly the kind of real-world advice you can't find in the official EDD materials.

This whole thread has been eye-opening! I'm a newcomer here but going through something very similar. I'm a CA resident who's been working remotely for a Florida company for about 6 months, and they also refuse to withhold CA SDI. I had no idea about Form DE 2588 or that there might still be options based on previous work history. Quick question for those who've been through this - when you say "documentation showing you're working from California," does that include things like internet bills showing your home address, or is it more about work-specific proof? I want to make sure I'm collecting the right evidence in case I need to file a claim down the road. Also really appreciate the tip about Claimyr - the idea of spending 8+ hours on hold with EDD sounds like a nightmare! Has anyone else here used it successfully?

This is such a valuable discussion! I'm new to this community but dealing with a very similar situation. I'm a CA resident who's been working remotely for an Arizona company for about 10 months, and they also won't withhold CA SDI. I had been really worried about what would happen if I needed disability benefits, but reading through everyone's experiences here gives me hope that there might still be options. The Form DE 2588 that Lincoln mentioned sounds like it could be a game-changer - I had no idea that existed! I'm definitely going to start documenting everything now while I don't need it, rather than scrambling later. Already have some emails where I told HR I'm working from my home office in Sacramento, plus my lease and utility bills. Going to add work-from-home expense receipts and any other proof I can think of. One question - for those who've successfully used Form DE 2588, how long did the review process take? I'm wondering if there's a typical timeline in case I ever need to file a claim. Thanks everyone for sharing your experiences - this kind of real-world advice is invaluable!

I'm new to this community but dealing with almost the exact same situation! I'm a CA resident working remotely for a company based in Washington state for about 7 months now. They also refuse to withhold CA SDI, saying they only handle taxes for Washington. I've been stressed about this because I have a chronic condition that could potentially require me to take disability leave at some point. Reading through all these responses has been incredibly helpful - I had no idea about Form DE 2588 or that previous CA work history might still count toward eligibility. I worked in California for about 4 years before taking this remote position, so it sounds like I might have some options if I ever need to file a claim. Starting today I'm going to document everything - emails mentioning my home office location, utility bills, work expense receipts, the whole works. Better to have it all ready just in case! Thanks to everyone who shared their experiences here. This is exactly the kind of practical advice you can't find anywhere in the official EDD documentation. Really appreciate this community!

I'm new here but wanted to share my experience since I just went through something very similar! I'm a CA resident who was working remotely for a Texas company for about 18 months with no CA SDI withholding. I had to file for disability last fall after a car accident and was initially denied because of the SDI issue. However, I filed Form DE 2588 like Lincoln mentioned, along with tons of documentation showing I was physically working from my California home office - emails with my employer, home office expense receipts, utility bills, even photos of my workspace setup. It took about 6 weeks for review, but EDD ultimately approved partial benefits based on my previous California employment. The key was being super thorough with documentation and clearly explaining that I was performing work from California, not just living here while working elsewhere. My weekly benefit amount was lower than it would have been with full SDI contributions, but I still received meaningful support during my recovery period. Don't give up hope - the system is confusing but there are options for remote workers in situations like this!

I'm new to this community and going through a very similar situation! I'm a CA resident who's been working remotely for a company in Oregon for about 9 months now. They also won't withhold CA SDI, claiming they only handle Oregon state taxes since that's where the company is based. I've been really anxious about this because I'm planning to start a family soon and know I'll need disability benefits for maternity leave. Reading through all these responses has been such a relief - I had no idea there were potential options like Form DE 2588 or that previous CA work history could still count! I worked in California for about 5 years before taking this remote position, so hopefully that gives me a decent foundation if I need to file a claim. Luca's success story is especially encouraging - knowing someone actually got through the process and received partial benefits makes this feel much more manageable. I'm definitely going to start documenting everything immediately. Already have emails where I told my employer about working from my home office in San Francisco, plus lease and utility bills. Going to add work expense receipts and maybe even those workspace photos Luca mentioned. This thread has been incredibly valuable - thank you all for sharing your real experiences with navigating this confusing system!