EmploymentQuestion 927 of 1605

Which of the following California payroll contributions is withheld from the EMPLOYEE's wages rather than paid by the employer?

a.Employment Training Tax (ETT)
b.Unemployment Insurance (UI)
c.State Disability Insurance (SDI)
d.The employer's FUTA obligation

Explanation

State Disability Insurance (SDI), which funds California's disability and paid family leave benefits, is deducted from the employee's wages. UI and ETT are employer-paid, and FUTA (Federal Unemployment Tax Act) is entirely an employer obligation. Knowing which taxes are employer-paid versus employee-withheld is essential for correct payroll administration.

Law Reference: California Unemployment Insurance Code

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Reviewed by Abraham Chen Licensed California General Contractor (CSLB License #1101856 verify)
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