Are Disability Insurance benefits taxable?

No, Disability Insurance benefits in California are not taxable. These benefits are paid under the State Disability Insurance (SDI) program, which is a tax-funded program administered by the Employment Development Department (EDD) of California. SDI benefits provide partial wage replacement to eligible workers who are unable to work due to a non-work-related illness, injury, or pregnancy. Since these benefits are not considered earned income, they are not subject to federal or state income taxes. However, it is important to note that if you receive other types of disability benefits, such as those provided by an employer or private insurance company, those benefits may be subject to taxes depending on the specific circumstances.