The California SDI Glossary: 30 Terms Every Claimant Should Know

By Michael Steiner | SDI Advisor

Filing for California State Disability Insurance is hard enough when you’re already dealing with depression, anxiety, or another condition that’s affecting your ability to function. The last thing you need is to wade through government forms and EDD notices filled with terms you’ve never seen before.

But that’s exactly what happens to most first-time claimants. Words like “base period,” “benefit year,” “medical certification,” and “continuing claim” appear repeatedly — without explanation — in documents that have real financial consequences depending on how you respond to them.

This glossary covers 30 of the most important terms in the California SDI system. Some are eligibility concepts that determine whether you qualify and how much you receive. Some are process terms that describe what stage your claim is at and what you need to do next. And some are common sources of confusion that cause people to make costly mistakes — like applying for the wrong program or missing a deadline they didn’t know existed.

Bookmark this page. Refer back to it when you get a notice from the EDD you don’t understand. And if you’re not sure how any of these terms apply to your specific situation, we’re glad to help you work through it →

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1. Alternative Base Period (ABP)

If you don’t have enough qualifying wages in your standard base period to establish a valid SDI claim, the EDD may evaluate an alternative base period instead. The alternative base period looks at more recent earnings than the standard base period — specifically, the four most recently completed calendar quarters rather than the standard window that skips back further. This is particularly useful for people who recently returned to the workforce, changed jobs, or whose highest-earning quarters happened to fall outside the standard window. Not everyone knows this option exists, and it can make the difference between a denied claim and an approved one.

👉 Full explanation of the base period and how it’s calculated →

2. Appeal

A formal request to have a denied SDI claim reviewed and reconsidered. If the EDD denies your claim, you have 30 days from the date of the denial notice to file an appeal with the California Unemployment Insurance Appeals Board (CUIAB). The appeals process involves a formal hearing before an administrative law judge, where you can present additional evidence — including stronger medical documentation — to support your claim. Many valid claims that are initially denied are overturned on appeal. Missing the 30-day appeal window forfeits your right to challenge the denial.

👉 What to do when your SDI claim is denied →

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3. Base Period

The 12-month window of past wages the EDD uses to determine whether your SDI claim is valid and how much you’ll receive each week. The base period covers earnings from roughly 5 to 18 months before your claim begins — not the most recent 12 months. It is divided into four calendar quarters, and your benefit amount is calculated from the quarter in which you earned the most. You need at least $300 in wages subject to SDI deductions during your base period for your claim to be valid.

The specific base period for your claim depends on which calendar quarter your disability begins:

January–March: Base period is October 1 of two years prior through September 30 of last year
April–June: Base period is January 1 through December 31 of last year
July–September: Base period is April 1 of last year through March 31 of this year
October–December: Base period is July 1 of last year through June 30 of this year

👉 Complete base period guide with 2026 examples →

4. Benefit Year

Not to be confused with the base period. The benefit year is the 52-week period during which you can collect SDI benefits. Your benefit year begins on the first day of your disability — the date you became unable to work. SDI benefits can last for up to 52 weeks within that benefit year, as long as your disability continues and your provider keeps certifying it.

5. Benefit Amount / Weekly Benefit Amount (WBA)

The dollar amount you receive each week from SDI. Your WBA is calculated based on the wages you earned during your highest-earning quarter within your base period. For 2026:

Workers earning below a certain income threshold receive approximately 90% of their average weekly wages
Higher earners receive approximately 70% of their average weekly wages
The maximum weekly benefit is $1,765
The minimum weekly benefit is $50

Your exact WBA is confirmed by the EDD after your claim is processed, and you’ll see it on your Notice of Computation (DE 429D).

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6. CASDI (California State Disability Insurance)

The abbreviation you’ll see on your pay stub, listed as a payroll deduction. If you see “CASDI” or “CA SDI” on your check stub, it means SDI taxes are being withheld from your wages — and those wages count toward your base period. If you don’t see this deduction, your wages may not qualify. This is one of the first things to check if you’re wondering whether you’re covered.

7. Claim Start Date

The first day of your disability — the date your condition first prevented you from performing your regular and customary work. This is one of the most important dates in your entire claim. It determines your benefit year, your base period, and the 49-day filing deadline. Once your claim is filed and a valid claim is established, you cannot change your claim start date. Get it right from the beginning.

8. Continuing Claim / Continued Disability Benefits

After your initial SDI claim is approved and your first certification period ends, you may need to file a continuing claim to keep receiving benefits. This involves either submitting a Claim for Continued Disability Benefits form (DE 2500A) or completing a questionnaire online through SDI Online, confirming that your disability is ongoing. Your provider may also need to submit additional medical documentation. If you don’t complete your continuing claim on time, your benefits can be delayed or stopped. The EDD will send you notice when it’s time to certify, but don’t rely solely on that — track the dates yourself.

9. Contingency Fee / Contingency Basis

A payment arrangement where a service provider is only paid if they achieve a successful outcome for you. At SDI Advisor, we work on a contingency basis: you pay nothing upfront, and we only receive payment if your SDI claim is approved. This means there is no financial risk to reaching out and exploring your options.

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10. DE 2501 (Claim for Disability Insurance Benefits)

The primary SDI claim form. This is the form you complete when filing your initial SDI claim. It has two parts: Part A is your section (claimant portion), and Part B is the physician/practitioner’s section (the medical certification). Both parts must be completed and submitted — an incomplete claim will not be processed. Filing online through SDI Online is the recommended method, as it is faster and allows you to track your claim status in real time.

11. DE 2500A (Claim for Continued Disability Benefits)

The form used to certify that your disability is ongoing beyond your initial claim period. If you are not on automatic payment, you will receive this form approximately every two weeks and must return it within 20 days of the mailing date. Missing this deadline can result in lost benefits. If you misplace the form, call the EDD at 1-800-480-3287 or log in to SDI Online to access it.

12. DE 2525XX (Physician/Practitioner’s Supplementary Certificate)

The form your doctor or mental health provider uses to extend your SDI benefits beyond your initial certification period. You will receive this form with your final payment under the original certification. Your provider must complete and return it for your benefits to continue. Make sure your provider knows this is coming and is prepared to submit it promptly.

13. Disability (EDD Definition)

Under California law, a disability is defined as any illness or injury — physical or mental — that prevents you from performing your regular and customary work. This definition explicitly includes mental health conditions such as depression, anxiety, PTSD, and panic disorder. Many people do not realize that mental health qualifies under this definition. You do not need to be hospitalized, permanently disabled, or unable to perform any work at all — you simply need to be unable to perform your regular job.

👉 Can you get disability for anxiety or depression? →

14. DSM-5 (Diagnostic and Statistical Manual of Mental Disorders, Fifth Edition)

The standard clinical reference used by mental health professionals to diagnose psychiatric conditions. When your psychologist or psychiatrist documents your depression, anxiety, PTSD, or other condition for an SDI claim, they are typically using DSM-5 diagnostic criteria. The EDD expects mental health diagnoses to be grounded in recognized clinical standards, and DSM-5 is the benchmark. A diagnosis code from DSM-5 on your provider’s certification form strengthens your claim’s clinical credibility.

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15. EDD (California Employment Development Department)

The California state agency that administers the SDI program, as well as unemployment insurance and Paid Family Leave. The EDD processes your SDI claim, reviews your eligibility, determines your benefit amount, and issues your payments. Correspondence from the EDD — letters, notices, requests for information — should always be responded to promptly, as most have strict deadlines.

16. Elective Coverage (DIEC)

A voluntary program that allows self-employed workers, independent contractors, and business owners to opt into California SDI by paying premiums directly to the EDD. Under standard SDI, only employees who have CASDI withheld from their wages are covered. If you are self-employed or work as a contractor and want SDI coverage, you must proactively enroll in the Disability Insurance Elective Coverage (DIEC) program. Benefits under DIEC are capped at 39 weeks (rather than 52) and premiums are based on your prior year’s net profit.

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17. Filing Deadline (49-Day Rule)

You have 49 days from the date your disability began to file your SDI claim. This is a hard deadline — miss it and you lose benefits for every day you were late. Many people delay filing because they’re waiting to gather documentation, feel uncertain about whether they qualify, or are simply too overwhelmed by their condition to take action. Filing promptly — even before all documentation is in order — is almost always better than waiting. You can supplement your record after the initial filing.

18. Form 1099-G

The tax form the EDD issues when your SDI benefits are taxable. In most cases, SDI disability benefits are not taxable — either at the federal or California state level. However, if your SDI was paid as a substitute for unemployment insurance (meaning you transitioned from unemployment to SDI), the portion that substitutes for unemployment benefits is federally taxable, and you will receive a 1099-G reflecting that amount. Paid Family Leave benefits are always federally taxable and will always generate a 1099-G.

👉 Is California SDI taxable? Full explanation →

19. Functional Limitations

The specific ways a medical condition restricts what a person can do — not just the diagnosis itself, but how the symptoms affect the ability to work. The EDD evaluates functional limitations, not just diagnoses. A mental health certification that only states “patient has depression” does not give the EDD enough information. A certification that explains “patient is unable to concentrate for more than 15 minutes, experiences disorienting panic episodes triggered by work-related stimuli, and cannot maintain a consistent schedule due to severe sleep disruption” provides the functional picture the EDD actually needs.

Understanding this distinction is critical for anyone filing a mental health SDI claim.

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20. Maximum Benefit Amount (MBA)

The total amount of SDI benefits available to you during your benefit year. This is different from your weekly benefit amount (WBA). Your MBA is generally equal to your WBA multiplied by the number of weeks your disability lasts, up to a maximum of 52 times your WBA. If you return to work part-time during your disability period, your benefits may be reduced proportionally — but this can also extend the duration of your claim beyond 52 weeks in some situations.

21. Medical Certification

The portion of your SDI claim that must be completed by a licensed medical or mental health provider. This is not optional — without a completed medical certification, your claim cannot be approved. For mental health claims, the medical certification is the most important document in your entire file. Your provider must certify your diagnosis, describe the functional limitations your condition creates, confirm that those limitations prevent you from performing your regular work, and estimate how long the disability is expected to last. Vague or incomplete certifications are the most common cause of denied mental health claims.

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22. Notice of Computation (DE 429D)

The document the EDD sends after processing your claim, showing your base period wages by quarter and your calculated weekly benefit amount. Review this carefully when you receive it. If you believe the wages shown are incorrect — perhaps because an employer failed to report them, or because you worked multiple jobs — you have the right to appeal the determination. Errors on the Notice of Computation can reduce your benefit amount significantly.

P

23. Paid Family Leave (PFL)

A program funded through the same CASDI payroll deduction as SDI, but with a different purpose. While SDI covers your own disability, PFL covers time away from work to bond with a new child, care for a seriously ill family member, or support a family member during a military deployment. PFL benefits last up to 8 weeks per year. Unlike SDI disability benefits, PFL benefits are always federally taxable and will generate a 1099-G. There is no 7-day waiting period for PFL. You cannot collect SDI and PFL simultaneously.

Q

24. Qualification Status

One of the intermediate statuses your claim may show in SDI Online during the review process. “Qualification” does not mean your claim has been fully approved — it means it is in the final stage of review. Full approval and payment processing typically follow within a few business days of reaching this status. Other statuses you may see include “Pending,” “Under Review,” and “Approved.” Monitor your SDI Online account regularly, as status changes don’t always trigger a notification.

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25. SDI Online

The EDD’s online portal for filing and managing SDI and Paid Family Leave claims. SDI Online allows you to submit your claim, track your status, receive electronic correspondence, submit continuing certifications, and update your personal information. Filing through SDI Online is strongly recommended over paper forms — it is faster, more trackable, and reduces the risk of documentation getting lost. You can also set up text or email alerts to notify you when your claim status changes. Visit edd.ca.gov to access SDI Online.

26. Special Base Period (SBP)

A rarely used provision that allows the EDD to look at an extended or different window of wages when calculating your claim, in cases where your standard base period was negatively affected by a prior disability, military service, or other qualifying circumstances. Unlike the Alternative Base Period (which is relatively common), the Special Base Period is an exception and requires specific qualifying conditions. It is only available for SDI claims — not for unemployment insurance.

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27. UI (Unemployment Insurance)

California’s unemployment benefit program — a separate and distinct program from SDI. UI is for people who are able and available to work but don’t currently have a job. SDI is for people who cannot work due to a medical condition. The two programs are mutually exclusive — you cannot collect both at the same time. Unemployment benefits in California are capped at $450 per week for up to 26 weeks. SDI pays significantly more for significantly longer. Choosing the wrong program is one of the most costly mistakes a person in a mental health crisis can make.

👉 SDI vs. unemployment in California — the complete comparison →

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28. Voluntary Plan (VP)

Some California employers offer their own employer-sponsored disability insurance plan in place of the state SDI plan. These are called Voluntary Plans. They must be approved by the EDD, cover at least as many situations as the state plan, and cannot cost employees more than the state SDI rate. If your employer has a Voluntary Plan, you file your disability claim through that plan — not through the EDD directly. Check with your HR department if you’re unsure which plan covers you. Your pay stub may show “SDI” even if your employer uses a Voluntary Plan.

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29. Wage Loss

One of the core eligibility requirements for SDI. To qualify, your disability must be causing you to lose wages — meaning you are either not working at all or working reduced hours and earning less as a result of your condition. This requirement exists because SDI is a wage replacement program — it is designed to replace income you are actually losing, not to supplement income you are still earning in full. If you are receiving your full salary through a paid leave arrangement, your SDI benefit may be reduced or eliminated accordingly.

30. Waiting Period (7-Day Non-Payable Period)

The first seven days of every new SDI claim are a non-payable waiting period — no benefits are paid for this initial week, regardless of when you file or how quickly your claim is approved. Your benefit period begins on day eight. Your first payment will cover from day eight onward through the end of your first certification period, which is why the first payment is often larger than subsequent biweekly payments. There is no waiting period for Paid Family Leave (PFL).

Putting It All Together

Understanding these 30 terms doesn’t make you an SDI expert — but it does mean you’ll be able to read your EDD notices, understand where your claim stands, and catch potential problems before they become costly mistakes.

A few of the most important takeaways from this glossary:

The base period determines both your eligibility and your benefit amount — and it’s not the most recent 12 months of your earnings. Understanding which quarter falls in your base period can affect your claim timing.

The medical certification is the document that makes or breaks a mental health claim. Functional limitations — not just the diagnosis — are what the EDD needs to see.

The 49-day filing deadline is firm. File as soon as your disability begins, even if you’re still organizing your documentation.

The 7-day waiting period affects when your benefits start, not when you file.

SDI and unemployment are not the same program. If you cannot work, SDI is likely the right program — and it pays significantly more.

Still Have Questions?

If a term isn’t in this glossary, or if you’re trying to understand how any of these concepts apply to your specific situation, we’re here to help.

Since 2016, we’ve helped over 1,000 Californians navigate the SDI system — including many who came to us confused, overwhelmed, and not sure where to start.

Contact us for a free consultation →

No upfront cost, no pressure — just a straight conversation about your situation and your options.