EDD SDI and taxes - Will disability send me a tax form since I worked part of the year?

Yes, you should receive a Form 1099-G from EDD for the disability benefits you received. California typically mails these out by January 31st. You can also access it electronically by logging into your SDI Online account. SDI benefits are not taxable for California state income tax, but they are taxable for federal income tax purposes. Make sure to include the amount from your 1099-G when filing your federal return. Your W-2 from your employer will cover the months you worked.

WRONG!!! The previous poster is WRONG about SDI benefits! California State Disability Insurance IS NOT TAXABLE AT ALL!!! Not for federal OR state! People mix this up with Unemployment Insurance all the time - UI is taxable federally (but not state in CA), but SDI is NOT TAXABLE at all! They will NOT send you a 1099-G for SDI benefits. That's for unemployment. They don't send ANY tax forms for disability because you don't need to report it.

I had the same situ last year except I was on disability jan-april and then worked rest of the year. They never sent me anything for taxes and my tax guy said we dont need to report the disability money. Something about it being after-tax deductions from our paychecks already, so its not taxed again. I would double check with a tax professional tho just to be sure.

To clarify this correctly: 1. California SDI benefits are NOT taxable on either your federal or state tax returns. You won't receive any tax forms for these payments, and you don't need to report them as income. 2. The reason SDI isn't taxable is because it's funded by after-tax deductions from your paycheck. You've already paid tax on that money. 3. This is different from Unemployment Insurance (UI), which IS federally taxable and requires a 1099-G form. 4. It's also different from Social Security Disability Insurance (SSDI), which is a federal program and may be partially taxable depending on your income. Just to be 100% clear - for California State Disability Insurance, you won't receive any tax forms and you don't report those benefits as income anywhere on your tax return.

i thought i was gonna get a w2 or whatever for my disability too and waited for weeks n nothing came lol. turns out we dont need it. my sister in law works at H&R block and told me its not taxable.

I went through something similar last year with my disability claim, and the tax situation was just one more headache on top of everything else! I spent WEEKS trying to reach someone at EDD to get a straight answer about tax forms. Kept getting disconnected or waiting for hours. Finally found Claimyr (claimyr.com) which helped me get through to an actual EDD representative in about 20 minutes. They confirmed what others here have said - SDI benefits aren't taxable and no forms are issued. They have a video showing how it works here: https://youtu.be/1X-mEsLtbmQ?si=1hcSq3KFtCr4oAmd Just sharing because tax season is stressful enough without the added confusion!

This is actually a confusing topic because there are different TYPES of disability insurance! If you're talking about California State Disability Insurance (SDI) that comes out of your CA paycheck deductions, then yes, that is NOT taxable (federal or state). But if you're talking about: - Short-term disability from a private insurer: Taxable if your employer paid the premiums - Long-term disability: Usually taxable if employer paid premiums - SSDI (Social Security Disability): Potentially taxable depending on your total income So make sure you know which type you have! For CA SDI specifically, you won't get any tax forms and don't need to report it.

One more important thing to remember - make sure your EMPLOYER reported your wages correctly for the months you DID work. I had a situation where my employer messed up my W-2 the year I was on disability. They somehow included some of my disability payments as if they were regular wages (they aren't supposed to do this). Double-check that your W-2 only shows the 5 months you actually worked and not anything from your disability period. If they made a mistake, ask for a corrected W-2.

my brother got a letter from irs asking bout his disability $ bc he never reported it on his taxes but it turned out the irs was wrong and he had to send proof it was state disability not unemployment. such a hassle. make sure u keep records just in case!

Hope your rotator cuff is healing well! I went through a similar situation a couple years ago with a work injury. Just wanted to add - if you used any medical expenses related to your injury for tax deductions, make sure those align with the period you were actually working vs on disability. My accountant caught that I had some PT expenses that overlapped with my disability period and it helped maximize my deductions. Also, if you had any employer-provided short-term disability that kicked in before SDI, that might be taxable (but sounds like you went straight to state disability). Good luck with your taxes!