EDDPublished September 2, 2026

EDD 2026 Payroll Tax Rates: SDI 1.3%, ETT 0.1%, and New Withholding Schedules

What changed

EDD posted 2026 payroll tax rates: SDI withholding 1.3% on all wages, ETT 0.1% on the first $7,000 per employee, UI Schedule F+ (1.5%–6.2%, new employers 3.4%, $7,000 wage base), plus the 2026 Method A and Method B withholding schedules.

Who it applies to

All California employers who withhold State Disability Insurance (SDI) from employee wages.

What employers may need to do

  • Withhold SDI at 1.3% on all 2026 wages (no taxable wage cap).
  • Apply ETT at 0.1% on the first $7,000 of each employee's 2026 wages.
  • Load the 2026 Method A or Method B California withholding schedules into payroll.

Official source

https://edd.ca.gov/en/payroll_taxes/rates_and_withholding/#collapse-7deb5fc1-5ae0-4ec7-8c7f-b03e26e9ad36

Detected by RegWatch monitoring on August 5, 2026. Always confirm details against the official source above — this page is a summary, not legal advice.

Related updates

More EDD updates · All California employer updates

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