Contribution Rates, Withholding Schedules, and Meals and Lodging Values

Your Unemployment Insurance (UI) and Employment Training Tax (ETT) rates are combined on the Notice of Contribution Rates and Statement of UI Reserve Account (DE 2088). The State Disability Insurance (SDI) tax rate can be found by visiting Tax-Rated Employers. We will mail your DE 2088 in December and you can get a copy by logging in to e-Services for Business.

UI Rate

The UI rate schedule for 2025 is Schedule F+. This is Schedule F, plus a 15 percent emergency surcharge, rounded to the nearest tenth. Schedule F+ provides for UI contribution rates from 1.5 percent to 6.2 percent. The taxable wage limit is $7,000 per employee, per calendar year.

For more information, review Tax-Rated Employers.

ETT Rate

The ETT rate for 2025 is 0.1 percent. The ETT taxable wage limit is $7,000 per employee, per calendar year.

SDI Rate

The SDI withholding rate for 2025 is 1.2 percent. Effective January 1, 2024, all wages are subject to SDI contributions.

For past tax rates and taxable wage limits, refer to Tax Rates, Wage Limits, and Value of Meals and Lodging (DE 3395) (PDF) or Historical Information.

California provides two methods for determining the withholding amount from wages and salaries for state personal income tax.

• 2025 Withholding Schedules - Method A – Wage Bracket Table Method (PDF) – Includes instructions for:
• Low Income Exemption
• Estimated Deduction
• Weekly Payroll Period
• Biweekly Payroll Period
• Semi-Monthly Payroll Period
• Monthly Payroll Period
• Daily/Miscellaneous Payroll Period
• 2025 Withholding Schedules - Method B – Exact Calculation Method (PDF) – Includes instructions for:
• Low Income Exemption
• Estimated Deduction
• Standard Deduction
• Personal Exemption Credit
• Annual Payroll Period
• Daily/Miscellaneous Payroll Period
• Quarterly Payroll Period
• Semi-Annual Payroll Period
• Semi-Monthly Payroll Period
• Monthly Payroll Period
• Weekly Payroll Period
• Biweekly Payroll Period

 You can refer to Historical Information for past schedules.

Employee Withholding Allowance

When you hire an employee, they must complete and sign both of the following withholding certificates:

• Federal Form W-4 (Used for federal income tax)
• State DE 4 (used for California Personal Income Tax)

Changes in 2020

Since 2020, allowances are no longer included on the redesigned Form W-4 for PIT withholdings. New hires and existing employees making changes to their withholdings must submit both the Form W-4 and the Employee’s Withholding Allowance Certificate (DE 4) (PDF). If an employee does not give you a properly completed state DE 4, you must withhold state income taxes from the employee’s wages, as if the employee were single and claiming zero withholding allowances.

Employees who submitted a Form W-4 before 2020 are not required to submit a new form if they have no changes to their withholding allowances. Continue to calculate withholdings based on previously submitted forms.

IRS Resources

• Employee’s Withholding Certificate (Form W-4) (PDF) 
• FAQs on the 2020 Federal Form W-4

Non-Maritime Employees

Lodging Value

Value is set at 66-2/3 percent of the ordinary rental value to the public, but not more than $1,946 per month or less than $63.15 per week.

Fishermen

Maritime employees’ values of meals and lodging are different than all other employees. Lodging values for maritime employees apply only when the facilities meet specific minimum standards. Lodging value is $63.15 per week or $8.95 per day for periods of less than a week.

Refer to Historical Information for past values.

Contact the Taxpayer Assistance Center at 1-888-745-3886 or visit your local Employment Tax Office.