Overview: If you’re starting a business in California with employees, you must register with the Employment Development Department (EDD) for State Personal Income Tax Withholding (PIT), Unemployment Insurance (UI), and State Disability Insurance (SDI). Employers are required to register once they pay more than $100 in wages during a calendar quarter.
Important! This guide does not constitute legal or tax advice. You can consult a CPA or attorney for official guidance.
Taxes You Must Register For:
Registration Process
Tax Agency: California Employment Development Department (EDD)
Trigger: If you pay more than $100 in wages in a calendar quarter
Registration Steps
Step 1: Enroll in e-Services for Business
Click the “Enroll” button
Enter the required personal and contact information
EDD will send you a verification email
Click the email verification link within 24 hours to activate your account
⚠️ If you don’t verify your email within 24 hours, you must restart the enrollment process
Step 2: Register Your Business
Log into your e-Services for Business account: https://edd.ca.gov/Payroll_Taxes/e-Services_for_Business.htm
Click “New Customer”
Select “Register for Employer Payroll Tax Account Number”
Complete and submit the online registration application
What You’ll Receive
Once registered, you’ll receive a California Employer Payroll Tax Account Number, also referred to as:
State Employer Identification Number (SEIN)
Employer State ID Number
EDD Account Number
Format: 000-0000-0 (eight-digit numeric code)
Update your Buddy Punch account with this number to enable proper payroll tax filings.
Need help?
EDD Taxpayer Assistance Center: 1-888-745-3886