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Explanation of the Notice of Contribution Rates and Statement of UI Reserve Account (DE 2088) for
the Period Shown on Your DE 2088
The Notice of Contribution Rates and Statement of A copy of the Contribution Rate Schedule is on the last page
UI Reserve Account (DE 2088) informs you of your of this explanation sheet.
Unemployment Insurance (UI), and Employment Training To determine your rate, find your reserve ratio (shown on
Tax (ETT) contribution rates for the period shown on your line 17 of the DE 2088) on the assigned UI rate schedule
DE 2088, as well as the website where the State Disability (i.e., on Schedule “F,” ratio .129 would be 2.7 percent).
Insurance (SDI) rate can be found. It also shows the items When the ratio between the UI Fund balance and the
used to determine your UI rate and the balance in your UI total wages paid by all employers is less than 0.6 percent,
reserve account shown on line 15 of your DE 2088. For rates in Schedule F are multiplied by 1.15 (i.e., 2.7 percent
more information on experience rating and/or any further multiplied by 1.15 equals 3.1 percent).
questions, refer to Information Sheet: California System of
Experience Rating (DE 231Z) (PDF) (edd.ca.gov/pdf_pub_ ETT Rate - Employers whose UI reserve account balance
ctr/de231z.pdf), visit your local Employment Tax Office is positive (zero or greater) pay an ETT of 0.1 percent.
(edd.ca.gov/Office_Locator) listed in the California Employers whose UI reserve account balance is negative
Employer’s Guide (DE 44) (PDF) (edd.ca.gov/pdf_pub_ctr/ (shows a minus sign before the amount) do not pay ETT
de44.pdf), or call the Taxpayer Assistance Center at and it is shown as 0.0 percent on the notice.
1-888-745-3886 or TTY at 1-800-547-9565. Exception: Employers subject to section 977(c) of the CUIC.
SDI Contribution Rate - This is the percentage amount
Issued Date to be withheld from each employee’s salary. SDI is a
This is the official mail date for the Notice of Contribution wage continuation plan for employees who are unable
Rates and Statement of UI Reserve Account for the period to work because of nonoccupational illness, injury, or
shown on your DE 2088. Due to bulk mailing, some notices due to pregnancy. It is funded through employee payroll
are mailed prior to this date. deductions.
The SDI withholding rate is the same for all employers and
Your Employer Payroll Tax Account Number
is calculated pursuant to section 984 of the CUIC. The rate
This is the eight-digit number assigned to you when you is based on the balance in the SDI Fund and the amount
registered as an employer with the EDD. This number is of disbursements and wages paid. For SDI information visit
assigned to you for UI, ETT, SDI, Personal Income Tax (edd.ca.gov/en/payroll_taxes/tax-rated-employers).
(PIT), and Federal Unemployment Tax Act (FUTA) purposes.
Please refer to your employer payroll tax account number Annual Taxable Wage Limits
(shown as Account ID on the DE 2088) when making UI and ETT are paid and SDI is withheld on the first wages
inquiries about your account. earned by each employee per calendar year up to the
annual taxable wage limit shown on your DE 2088.
Contribution Rates
UI Contribution Rate - This is your UI contribution rate for Right to Protest
the period shown on your DE 2088. New employers are Any item on the DE 2088 may be protested except SDI and
assigned a 3.4 percent UI rate for a period of two to three ETT, which are specifically set by law. To protest online, visit
years. This will depend on when the employer meets the the EDD e-Services for Business (edd.ca.gov/e-Services_
criteria under section 982(b) of the California Unemployment for_Business). You must provide a valid Letter ID with the
Insurance Code (CUIC) (leginfo.legislature.ca.gov/faces/ associated tax rate year you are protesting, and it must be
codes). After that, an employer’s contribution rate is submitted within 60 days of the issued date on the notice. A
determined by his/her experience rating and the condition of protest may also be filed in writing and must be postmarked
the UI Fund. within 60 days of the issued date on the notice. Please
UI Rate Schedule - Section 977 of the CUIC mandates include your employer payroll tax account number, the
which Contribution Rate Schedule is in in effect. Each year, specific item(s) you wish to protest, and the reason you are
the schedule is determined by the ratio between the UI protesting. To request an extension of up to 60 days, it must
Fund balance on September 30 and the total wages paid by be in writing and show good cause. Mail your written protest
all employers. When this calculation produces a ratio of less and/or request for an extension to:
than 0.6 percent, the rate the employer would have paid in
Schedule F is multiplied by 1.15, rounded to the nearest Employment Development Department
tenth, as mandated by section 977.5 of the CUIC. All Rate Management Group, MIC 4
tax-rated employers are rated under the same schedule. PO Box 826880
Sacramento, CA 94280-0001
Page 1 of 4 CU
DE 2088C Rev. 48 (7-22) (INTERNET)
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