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Voluntary Plan

Overview

A Voluntary Plan (VP) can be set up by an employer instead of using State Disability Insurance (SDI). Both SDI and VP provide short-term wage replacement benefits for disability and family leave. Employer and employee groups may set up a VP with mutual consent of the employer and a majority of the employees. To offer a VP, you must first apply and get approval from us. For information on how to apply, visit Become a Voluntary Plan Employer.

A VP must:

  • Offer all the same benefits equal to SDI and at least one benefit that is better.
  • Have a contribution rate that less than or equal to SDI for employees.
  • Match any increase to SDI benefits that result from legislation or approved regulation.

Important: Employees covered by a VP must contact their employer to file a disability or family leave claim.

Use SDI Online to process VP Disability Insurance or Paid Family Leave claims.

For online access, VP employers and their Third-Party Administrator (TPA) must follow these steps:

Step 1: myEDD

  • Register for an account with myEDD to set up your online access.
    • Select Create Account
    • Create a profile with a unique email, password, and language preference. Check I agree then select Submit. Note: Each employer or TPA Rep must have their own unique email address. The email serves as their username.
    • Check your email for the link that you must verify within 48 hours and select Confirm Email.
    • Set up your Multi-Factor Authentication (MFA) and Security information.
    • You can now use your account to access SDI Online.

For more information, view myEDD: Overview and Registration for New Users (YouTube).

 

Step 2: SDI Online

Before you can register for SDI Online:

  • Contact us to get an EDD VP SDI Online Registration Form by email at VPProgram@edd.ca.gov or call 1-916-653-6839. (TTY users, dial the California Relay Service at 711.)
  • Complete the registration form and return it to us via email to: VPProgram@edd.ca.gov
  • When we get your completed form, we enter your data then send a Notice of Online Account Registration (DE 8509) to the email you gave us.
  • When you get the confirmation email:
    • Log in to myEDD
    • Select SDI Online.
    • Select Agree and follow the instructions.

For all future account access, log into myEDD and select SDI Online.

SDI Online is the convenient and secure way for you or your TPA  to process VP Claims. You can log into myEDD and select SDI Online to submit a State Award Request (SAR):

  • Report of Voluntary Plan Disability Claim (DE 2523)
  • Report of Voluntary Plan Family Leave (VPFL) Claim (DE 2523F)

For more information, visit Online Services to Manage Your Voluntary Plan.

You do not need to send in SDI contributions for employees covered under a VP. But, you must send SDI contributions for employees with SDI coverage. You must secure any contributions required from VP employees in a trust fund.

For employees who opt out, you must send their SDI contributions to the EDD Tax Branch. To learn how to file online, visit Voluntary Plan Tax Reporting.

You can contact the Voluntary Plan Group for help by phone, email, or mail:

  • Email: VPProgram@edd.ca.gov
  • Call 1-916-653-6839 or TTY users, dial the California Relay Service at 711
  • Mail to:

Employment Development Department
Disability Insurance Branch
Voluntary Plan Group, MIC 29VP
PO Box 826880
Sacramento, CA 94280-0001

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