This new payroll deduction for the state or California, CA OASDI/EE, was taken during this pay period and will amount to over $800.00 per year! What is it, what is the rate, and are there any limits to the taxable amount. Thanks,
Mike

It's California's State Old Age Survivors Disability Insurance, which is paid by workers unless their employer can show that they offer comparable benefits to their employees. The tax rate is 1.1% on the first $93,316 of wages. Here's some good info on it: DB101 California - California State Disability Insurance (SDI): The Details (http://www.disabilitybenefits101.org/ca/programs/income_support/sdi/program2.htm)

If your employer was not deducting this previously, I wonder if they may have dropped out of some private insurance deal they may have had? Ask your payroll department about it.

Right! Agreed;the State Disability Insurance (SDI) of Cali. State withholding rate for 2010 is 1.1 percent. The taxable wage limit is $93,316 for each employee per calendar year. The maximum to withhold for each employee is $1,026.48.