California Expands Disability Aid in 2025: What You Need to Know

California increases its Paid Family Leave and Disability Insurance benefits, effective January 1, 2025. The result of these historic changes will be great benefits for workers who earn less than $63,000 per year, since they will receive up to 90% of their regular pay, while higher-income individuals will receive at least 70%.

Passed by Senate Bill 951 (SB 951), the law is nonretroactive, so applications for 2024 will receive payments at the same percentages (60%–70%).

What does it all mean for disability beneficiaries?

The new increases will give millions of California workers the flexibility to be able to take time off to cope with illness, heal from an injury, or take care of a seriously ill family member without worrying about how they will pay their bills. The benefit will also include bonding with a new baby, helping the family travel overseas as your spouse gets deployed to the military, as well as pregnancy or postpartum recovery.

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Key Details of Benefits

Paid Family Leave: You can take up to 8 weeks of leave, and pregnant women get 4 weeks before birth.
Disability Insurance: Up to 52 weeks of benefits are provided to employees who can’t carry out their job due to health problems.
Average Payout: For family leave and disability, workers received an average of $870 per week in pay in 2024 and $780 for disability.

The program costs more than $18 million for California workers and is funded through payroll deductions.

Impact on Workers

As the benefits increase, low- and middle-income workers can focus on their health and well-being and spend time with their family without the threat of financial hardship. The change is particularly important for people who would otherwise find themselves unemployed with the loss of a substantial amount of income while furloughed.

Change Process and Additional Information

The big news here is that the process for determining new benefits has changed, and a guide released by the California Employment Development Department (EDD) will answer the common questions associated with these changes. If you’re thinking about applying in 2025, it’s crucial that you know about these changes and what the new percentages may mean for you.

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Expanded Benefits: An Investment for California

This change serves as a reminder to California of its dedication to the health and safety of its workers, furthering accessibility and equity for all. By taking this move, the workers will have the ability to take care of themselves and even of their loved ones while they will not give up their financial status and have a stronger and healthier workforce.

Another example of California’s forward-thinking in bringing worker support measures and their effect on the state’s economy and social fabric is this benefit.

FAQs

Q. What is the new change in California’s Paid Family Leave and Disability Insurance benefits in 2025?

A. Starting January 1, 2025, workers earning less than $63,000 will receive 90% of their wages, while those with higher earnings will receive 70%.

Q. Who is eligible for the new benefits?

A. All workers in California earning less than $63,000 annually are eligible for the 90% wage replacement, and those with higher earnings will receive 70%.